News

IRS Announces 2020 HSA Limits

By Bolton June 7th, 2019

On May 28, 2019, the IRS announced the inflation-adjusted contribution limits for Health Savings Accounts for 2020.  The limit for self-only coverage will increase by $50 to $3,550 and the limit for family coverage will increase by $100 to $7,100.

 

Contribution and Out-of-Pocket-Limits

For HSA Accounts and High Deductible Health Plans

   

2019

 

 

2020

 

Change
HSA contribution limit

(employer & employee)

Self-only: $3,500

Family: $7,000

Self-only: $3,550

Family: $7,100

Self-only: +$50

Family: +$100

HSA catch-up contributions

(age 55 & older)

 

$1,000

 

$1,000

 

No change

HDHP minimum deductibles Self-only: $1,350

Family: $2,700

Self-only: $1,400

Family: $2,800

Self-only: +$50

Family: +$100

HDHP maximum out-of-pocket amounts

(not including premiums)

Self-only: $6,750

Family: $13,500

Self-only: $6,900

Family: $13,800

Self-only: +$150

Family: +$300

 

Source: IRS, Notice 2019-25

 

Employers should make sure plan designs for 2020 reflect the updated limits as well as communicate the changes to employees.

 

If you would like more information, please contact Sandy Geho at 443-573-3930.