On Monday, the IRS announced a limit change affecting families contributing to Health Savings Accounts (HSAs).
For 2018, families are limited to $6,850 in contributions to their HSAs, a $50 decrease from the original 2018 threshold of $6,900.
The self-only HSA deduction limit remains $3,450.
Please note: This change is an IRS regulatory change only applicable to HSAs. Unless another qualified event occurs, the change in the HSA amount is an administrative change to comply with the new rules. Any other change in general elections must be a part of a qualified life event.
Next Steps for HSAs
Firms will want to notify their employees of this HSA limit change. Employees and firms may also need to make some election changes in their payroll systems to comply with the new limit. Furthermore, firms will want to check to ensure their benefits systems have safeguards preventing family contributions of more than $6,850.
Let Plexus Lend a Hand
Have questions regarding today's Alert or other employee benefits matters? Contact a Plexus benefits client service team member in Deer Park, Ill. (847.307.6100), Chicago (312.606.4800), Dallas (972.770.5010), or Oklahoma City (405.840.3033). We're here to help, and we're happy to help.