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IRS Announces 2024 HSA and HRA Limits

by | May 23, 2023 |

The IRS has announced the 2024 calendar year dollar limits for health savings account (“HSA”) contributions, the minimum deductible amounts and maximum out-of-pocket expenses for high deductible health plans (“HDHPs”) and the health reimbursement account (“HRA”) excepted benefit limit. By law, these limits are indexed annually to adjust for inflation.

Background. Among other requirements, HSA contributions may only be made by or for individuals who enroll in HDHPs. The Internal Revenue Code provides the definition, annual deductible minimum and out-of-pocket maximum for HDHPs.

NOTE: The HDHP out-of-pocket maximum includes in-network deductibles, copayments and coinsurance, but does not include premiums.

Revenue Procedure 2023-23. For 2024, the HSA contribution limit for a self-only HSA is $4,150 (up from $3,850 in calendar year 2023) and $8,300 for a family HSA ($7,750 for calendar year 2023).

To qualify as an HDHP in 2024, a plan must have a minimum annual deductible of at least $1,600 for self-only coverage ($1,500 in 2023), and $3,200 for family coverage ($3,000 in 2023). The maximum out-of-pocket expenses permitted for an HDHP is $8,050 for self-only coverage ($7,500 in 2023) and $16,100 for family coverage ($15,000 in 2023).

For plan years beginning in 2024, the maximum amount that may be made available for an excepted benefit HRA is $2,100 (up from $1,950 for 2023 plan years).

Rev. Proc. 2023-23 is at: