HSA Contribution and HDHP Limits to Increase for 2020
The health savings account (HSA) contribution limits for 2020 are increasing. The IRS has issued Revenue Procedure 2019-25 announcing the HSA inflation-adjusted limitations for calendar year 2020.
The maximum HSA contribution limit for 2020 will rise to $3,550 for those with self-only insurance coverage, and to $7,100 for those with family coverage. The additional catch-up limit for individuals who turn age 55 or older in the calendar year is not subject to inflation adjustments, so it remains at $1,000.
A high deductible health plan (HDHP) is HSA-compatible if it satisfies both an annual deductible and an out-of-pocket expense requirement. The maximum annual out-of-pocket amount will rise to $6,900 for self-only coverage and to $13,800 for family coverage for 2020. The minimum deductible amount will rise to $1,400 for self-only coverage, and to $2,800 for family coverage.
For comparison, here are the 2019 and 2020 HSA-related limitations.
