How Much Can You Contribute to Your HSA in 2018?

When it comes to planning for healthcare expenses and saving on taxes, a Health Savings Account (HSA) can be a powerful tool. If you're considering opening an HSA or already have one, you might be wondering about the contribution limits for 2018.

In 2018, the maximum annual contribution limits for an HSA are:

• $3,450 for individuals
• $6,900 for families

These limits apply to the total contributions made to your HSA, including both your own contributions and any contributions made by your employer. If you're 55 or older, you can also make an additional $1,000 catch-up contribution.

It's important to keep in mind that these limits are for the entire year, so if you open an HSA mid-year, your contribution limit will be prorated based on the number of months you were eligible. Additionally, if you have more than one HSA, the combined contributions to all accounts must not exceed the annual limit.

Contributing to your HSA not only helps you save for medical expenses tax-free but also provides the flexibility to use the funds for qualified healthcare costs in the future. Be sure to check with your HSA provider or financial advisor to ensure you're maximizing your contributions within the IRS guidelines.

Understanding how much you can contribute to your Health Savings Account (HSA) in 2018 is essential for maximizing your tax savings while preparing for future healthcare costs. In 2018, individuals can contribute up to $3,450, while families have a higher limit of $6,900.