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IRS Announces 2025 HSA Limits

On May 9, the IRS announced inflation adjustments to HSA contribution limits for 2025, along with a few other benefit limits, providing insight into what individuals and families can expect for their healthcare savings.

2025 HSA Contribution Limits

Individual HSA limits will see a small rise to $4,300, up just $150 from 2024, while family HSAs will increase by $250 to $8,550. This adjustment follows a significant boost in 2024, marking the largest-ever increase in HSA limits. Employees aged 55 and older are granted catch-up contributions, allowing them to deposit an additional $1,000 into their HSAs in 2025. This amount remains the same from 2024.

Let's take a closer look at the changes:













2025 HDHP Limits

Adjustments to high-deductible health plan (HDHP) amounts and expense limits have also been made for 2025. For individual plans, the deductible is now $1,650, and for family coverage, it's $3,300. The most an individual will pay in a year will be $8,300, and for families, it will be $16,600.

Here's a comparison of the changes:




Minimum Deductible

Individual $1,600

Family $3,200

Individual $1,650

Family $3,300

Maximum Out-of-Pocket Limit

Individual $8,050

Family $16,100

Individual $8,300

Family $16,600

2025 EBHRA Limits

Excepted Benefit Health Reimbursement Arrangements (EBHRAs) are also subject to increases in 2025, with the contribution limit reaching $2,150, up from $2,100 in 2024.




Contribution Limit



Since their inception 20 years ago, HSAs have become a crucial part of benefits packages, providing employees with valuable tax advantages. They serve as a convenient financial tool to cover eligible healthcare expenses not only for the account holder but also for their spouse, eligible dependents, and even individuals they could have claimed as dependents. However, it’s important to note that only employees enrolled in an HSA-eligible health plan (HDHP) can participate in an HSA, and an HSA card can only be used for qualified medical expenses.

Medcom Benefit Solutions offers HSA administration solutions for employers looking to enhance their benefit options. For more information, feel free to contact us at Already have an account with us? Participants can reach out directly to our CDHP customer service team!

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