How Much Can a Single Person Put into Their HSA?

Health Savings Accounts (HSAs) are a valuable tool for individuals to save money for medical expenses while enjoying tax benefits. If you are wondering how much a single person can contribute to their HSA, the answer is that the annual contribution limits are set by the IRS.

For 2021, the maximum contribution for an individual with self-only coverage is $3,600, and for those with family coverage, it is $7,200. If you are 55 years or older, you can also make an additional catch-up contribution of $1,000 per year. It's important to note that these limits are subject to change, so it's a good idea to stay updated on the latest figures.

Contributions to an HSA are tax-deductible, grow tax-free, and can be withdrawn tax-free for qualified medical expenses. This triple tax advantage makes HSAs a smart choice for managing healthcare costs.

Health Savings Accounts (HSAs) offer an incredible opportunity for individuals to not only save money for medical expenses but also to take advantage of significant tax benefits. If you're a single person looking to maximize your contributions to your HSA, you should know that for the tax year 2023, the IRS has set an annual contribution limit of $3,850 for those with self-only coverage. This represents the perfect chance to secure your financial future while preparing for unforeseen healthcare costs.