- About PS&F
- Industry Focus
- Client Tools
- Education & Events
- Case Studies
April 30, 2018
IRS just released Rev. Proc. 2018-27 modifying (again) the HSA contribution limits for family coverage for 2018, returning the contribution limit to $6,900.
In May 2017, the IRS released Revenue Procedure 2017-37, which set forth the 2018 inflation adjusted amounts for HSA contributions ($3,450 for self-only, and $6,900 for other than self-only). However, in accordance with the Tax Cuts and Jobs Act passed late in 2017, Rev. Proc. 2018-18 set forth a variety of changes to tax rates and inflation-adjusted thresholds, including a different methodology for determining adjustments to limits for things such as contributions to health flexible spending accounts (FSAs) and health savings accounts (HSAs) using a “chained CPI”. This resulted in the HSA contribution limits for family coverage being reduced by $50 (to $6,850) for 2018. Following this change, after receiving feedback from many several stakeholders, the IRS made the decision to return the amount to $6,900 for 2018.
Below are the updated dollar amounts for 2018 HSA contributions. The 2018 requirements for a qualifying high deductible health plan (HDHP), the minimum deductibles and maximum out-of-pockets, are unchanged.
• Self-only (single) HDHP coverage = $3,450 ($3,400 in 2017)
• Other than self-only (family) HDHP coverage = $6,900 ($6,750 in 2017), previously set at $6,850 for 2018
The views and opinions expressed within are those of the author(s) and do not necessarily reflect the official policy or position of Parker, Smith & Feek. While every effort has been taken in compiling this information to ensure that its contents are totally accurate, neither the publisher nor the author can accept liability for any inaccuracies or changed circumstances of any information herein or for the consequences of any reliance placed upon it.