How much can I contribute to an HSA per year?

Many people wonder how much they can contribute to a Health Savings Account (HSA) per year. The good news is that HSAs offer a valuable way to save for medical expenses while enjoying tax benefits. Here's what you need to know about HSA contribution limits:

For 2021, the maximum annual contribution for an individual HSA account is $3,600, and for a family HSA account, it is $7,200. These limits are set by the IRS and are adjusted annually for inflation.

It's important to note that these contribution limits apply to the total amount contributed to all HSA accounts you have, including contributions made by your employer or any other contributors. If you are 55 or older, you can make an additional catch-up contribution of $1,000 per year.

Keep in mind that HSA contributions are tax-deductible, meaning you can lower your taxable income by contributing to your HSA. The funds in your HSA can be used to pay for qualified medical expenses, both now and in the future.

Overall, HSAs are a great way to save for healthcare costs and reduce your tax burden. By understanding the contribution limits and tax benefits, you can make the most of your HSA and take control of your healthcare finances.

If you're considering contributing to a Health Savings Account (HSA), you're likely eager to know the contribution limits. In 2021, the IRS set the maximum annual contribution at $3,600 for individuals and $7,200 for families. Remember, this total includes contributions from all sources, including your employer.