IRS 2020 Contribution Limits

The IRS announced their HSA contribution limits, deductible and out-of-pocket information for 2020. Contributing the maximum allowed by law each year lets you get the most tax savings. Be sure to keep these contribution limits set by the IRS in mind.

For 2020 the IRS defines a qualifying high-deductible health plan as having:

• A minimum annual deductible of $1,400 individual/$2,800 family
• An out-of-pocket maximum of $6,900 individual/$13,800 family

2020 HSA contribution limits:

• Individual coverage – $3,550
• Family coverage - $7,100
• Age 55+ — additional $1,000 catch-up contribution, meaning you can deposit an additional $1,000 per year. If your spouse is also 55 or older, he or she may establish a separate HSA and make a “catch-up” contribution to that account.