Inflation-adjusted Health Savings Account (HSA) Figures for 2023
Health Savings Accounts (HSAs) allow eligible individuals to make deductible contributions that can be withdrawn tax-free for reimbursement of eligible medical expenses. For 2023, the limitation on HSA deductions is $3,850 (up from $3,650 for 2022) for an individual with self-only coverage under a high deductible health plan (HDHP) or $7,750 (up from $7,300 for 2022) for family coverage.
An HDHP is defined under IRC Sec. 223(c) as a health plan with an annual deductible not less than $1,500 (up from $1,400 for 2022) for self-only coverage or $3,000 (up from $2,800 for 2022) for family coverage, with annual out-of-pocket expenses (deductibles, copayments, and other amounts, but not premiums) not exceeding $7,500 (up from $7,050 for 2022) for self-only coverage or $15,000 (up from $14,100 for 2022) for family coverage.
For clarification on these or programs, contact your ShindelRock tax professional.