Contributions to your HSA
Each year the IRS sets a maximum amount allowable to contribute to your HSA. If you are eligible you, your employer or someone else may contribute to your HSA on your behalf. Contributions made by your employer aren’t included in your annual income.
The maximum contribution amount is dependent on the type of high deductible health plan (HDHP) coverage you have. These contributions maximums can be made up until April 15th the following year.
|Type of Coverage||2023||2022||2021||2020|
Individual HDHP Coverage (Max. Annual Contribution)
|Family HDHP Coverage (Max. Annual Contribution)||$7,750||$7,300||$7,200||$7,100|
Eligible individuals over the age of 55 at the end of their tax year are allowed a catch-up contribution of $1000 more to their HSA. If you are married and both qualify for an HSA, be mindful that this catch-up contribution must be made to an HSA that you are the owner of.
You also have to be aware of the months that you have the HDHP coverage. The IRS calls this the “last-month rule” and “testing period”. If you were eligible on the first day of the last month of your tax year, typically December 1st, you would qualify for the maximum HSA contribution amount for that entire year. However, you must remain an eligible individual throughout the remainder of that entire month, the testing period.
Examples of these instances can be found on the IRS website in Publication 969.
One-time contributions can be made from an individual’s IRA or Roth IRA without being subject to tax. The one-time contribution limit is the same as the maximum annual HSA contribution and both accounts must be in the same individual’s name.