HSA Contribution Limits Rise for New Year

Health Savings Account contribution limits have increased, offering more tax-advantaged savings opportunities for those with qualifying high-deductible health plans.

New Limits

Individual coverage limits rose to $4,300, while family coverage now allows $8,550 annually. Those 55 and older can add an extra $1,000 catch-up contribution.

Triple Tax Advantage

HSAs offer unmatched tax benefits: deductible contributions, tax-free growth, and tax-free withdrawals for qualified medical expenses. Unlike FSAs, unused funds roll over indefinitely.

Consider maxing your HSA before other retirement accounts if you’re healthy and can pay current medical expenses from other funds.