How Much Can I Deposit into My HSA for 2018?

Are you wondering about the contribution limits for your Health Savings Account (HSA) in 2018? Let's delve into the details to help you understand how much you can deposit.

An HSA allows individuals to set aside pre-tax dollars for qualified medical expenses. The contributions you make to your HSA are tax-deductible, and the funds can accumulate and roll over from year to year.

For the tax year 2018, the maximum annual contribution limits for HSAs are:

• Individual Coverage: $3,450
• Family Coverage: $6,900
• Catch-up Contribution (age 55 or older): $1,000

These limits include both employer and employee contributions combined. If you have an HSA through your employer, make sure to coordinate your contributions to stay within the allowable limits to avoid any tax implications.

If you are eligible for an HSA for only part of the year, the contribution limits are prorated based on the number of months you were eligible. Also, keep in mind that these limits are subject to annual adjustments for inflation.

It's important to track your HSA contributions to ensure compliance with the IRS regulations. Understanding the contribution limits and maximizing your contributions can help you save on taxes and build a financial cushion for future medical expenses.

If you’re trying to maximize your savings while being proactive about future health expenses, it’s crucial to know the contribution limits for your Health Savings Account (HSA) in 2018. These limits can significantly boost your budget for medical costs down the road.