The IRS has released the 2021 inflation-adjusted figures for contributions to Health Savings Accounts, which are as follows:
- The annual contribution limitation for an individual with self-only coverage under a High Deductible Health Plan (“HDHP”) is $3,600; the amount is $7,200 for an individual with family coverage.
- For calendar year 2021, an HDHP is a health plan with an annual deductible that is not less than $1,400 for self-only coverage or $2,800 for family coverage, and annual out-of-pocket expenses (deductibles, co-payments, and other amounts, but not premiums) that do not exceed $7,000 for self-only coverage or $14,000 for family coverage.
If you have any questions contact Perry Barnett at 770-287-7800 or Pbarnett@rushtonandcompany.com. Stay tuned for more tax tips or follow them on our social media accounts every #TaxTipTuesday!