2024 health savings account and high-deductible health plan limits announced

The Internal Revenue Service (IRS) has announced the inflation-adjusted 2024 minimum deductibles, out-of-pocket maximums, and contribution limits for heath savings accounts (HSAs) and qualified high-deductible health plans (HDHPs). Self-only coverage refers to plans for one individual, while family coverage refers to plans for two or more individuals. The out-of-pocket maximum includes copayments, deductibles, and coinsurance amounts, and excludes premiums.

These IRS changes are effective on customers’ renewal dates beginning Jan. 1, 2024, or later:

Minimum deductible

$1,600 for self-only coverage ($100 increase from 2023)

$3,200 for family coverage ($200 increase from 2023)

$3,200 for embedded individual deductible ($200 increase from 2023)

Out-of-pocket maximum

$8,050 for self-only coverage ($550 increase from 2023)

$16,100 for family coverage ($1,100 increase from 2023)

HSA contribution limits

$4,150 for self-only coverage ($300 increase from 2023)

$8,300 for family coverage ($550 increase from 2023)

The annual “catch-up” contribution amount for individuals ages 55 or older remains $1,000

Be aware of the intersection of HSA and Affordable Care Act (ACA) rules. The 2024 ACA maximum is $9,450 for individual coverage (versus $9,100 in 2023)

Examples of compliant HSA/ACA plans:

One plan for self-only and family coverage with an embedded out-of-pocket; maximum amounts for 2024 are $8,050 for an individual and $16,100 for a family

One plan for self-only and family coverage with a non-embedded out-of-pocket; maximum amounts for 2024 are $8,050 for an individual and $9,450 for a family