Can Both Spouses Make Catch Up Contributions to HSA?

When it comes to Health Savings Accounts (HSAs), many married couples wonder if both spouses can make catch-up contributions. The answer is no – only the account holder who is 55 or older can make catch-up contributions to their HSA. However, there are other rules and benefits related to HSA contributions for spouses to consider.

What You Need to Know About HSA Contributions for Spouses:

• Only the account holder who is 55 or older can make catch-up contributions to their HSA.
• The catch-up contribution limit for 2021 is $1,000.
• If both spouses are 55 or older and each has their own HSA, they can each make catch-up contributions to their respective accounts.
• Regular contribution limits for 2021 are $3,600 for individuals and $7,200 for families.
• Spouses can contribute to each other's HSA accounts as long as the total contributions do not exceed the annual limit for the account holder.

Health Savings Accounts (HSAs) are an excellent way for individuals and families to save for healthcare expenses while enjoying amazing tax benefits. A frequent question many couples have is whether both spouses can make catch-up contributions to an HSA. Let's explore this together!

Catch-up contributions are additional amounts that those aged 55 and older can add to their HSAs. For 2021, the catch-up contribution limit is $1,000. This can significantly boost your savings!

For married couples, each spouse can open their own Individual HSA accounts if they meet eligibility requirements. This means you're both able to make contributions to your respective HSAs. However, when discussing catch-up contributions, the rules vary:

• If both spouses are 55 or older and have separate HSA accounts, they can each contribute $1,000 as catch-up contributions. This is a fantastic opportunity for couples to maximize their retirement healthcare savings!
• If one spouse is under 55 and they share an HSA, only the older spouse can contribute the catch-up amount, while the younger spouse misses out. This is crucial for couples to consider when planning their contributions.

Understanding the specific rules surrounding HSA catch-up contributions is key to ensuring compliance and to help you gain the most from your HSA. Don’t hesitate to reach out to a financial advisor if you have questions!