Health Savings Account Cost-of-Living Adjustments for 2016
The Internal Revenue Service has announced the annual cost-of-living adjustments for health savings account (HSA) contribution limits for calendar year 2016. These limits apply for qualifying high-deductible health plan (HDHP) deductibles and out-of-pocket maximums. Plan sponsors should verify that their administrative and payroll systems reflect the appropriate limits.
|
2015 | 2016 |
---|---|---|
Limit on HSA Contributions* - single coverage | $3,350 | $3,350 |
Limit on HSA Contributions* - family coverage | $6,650 | $6,750 |
HDHP Required Minimum Deductible – single coverage | $1,300 | $1,300 |
HDHP Required Minimum Deductible – family coverage | $2,600 | $2,600 |
HDHP Out-of-Pocket Maximum – single coverage | $6,450 | $6,550 |
HDHP Out-of-Pocket Maximum – family coverage | $12,900 | $13,100 |
* The figures above do not include the catch-up contribution limit, which is $1,000 for participants age 55 or older. Catch-up contributions can be made any time during the year in which the HSA participant turns 55. Note that two catch-up contributions (i.e., for spouses) may not go into the same HSA account because it is an individual account. The second catch-up contribution must be deposited to another HSA account in the name of the other spouse.
If you have any questions, or for more information about the 2016 HSA cost-of-living adjustments, please contact Pam Branshaw, Tom Krieg, Bob Buss, or your Wipfli relationship executive.