The IRS has recently announced the updated limits for HSA contributions as well as what deductible values qualify for an HDHP. These values will take effect for calendar year 2025. The updates are as follows:

- The HSA Maximum Individual Contribution has increased from $4,150 (2024) to $4,300 (2025).

- The HSA Maximum Family Contribution has increased from $8,300 (2024) to $8,500 (2025).

- The HDHP Minimum Annual Individual Deductible has increased from $1,600 (2024) to $1,650 (2025).

- The HDHP Minimum Annual Family Deductible has increased from $3,200 (2024) to $3,300 (2025).

- The HDHP Maximum Individual Out-of-Pocket Limit has increased from $8,050 (2024) to $8,300 (2025).

- The HDHP Maximum Family Out-of-Pocket Limit has increased from $16,00 (2024) to $16,600 (2025).

Plan administrators who offer HSAs and HDHPs to plan participants should be mindful of the new values when making decisions for 2025.

You can read the IRS notice HERE.