How Much Can You Invest in an HSA in 2019?

Health Savings Accounts (HSAs) are a useful tool to save for medical expenses while enjoying some tax benefits. If you're considering opening or contributing to an HSA in 2019, you might be wondering about the maximum contribution limits.

In 2019, individuals with self-only coverage under a High Deductible Health Plan (HDHP) can contribute up to $3,500 to their HSA. For those with family coverage under an HDHP, the maximum contribution limit is $7,000.

It's important to note that these limits include both your contributions and any contributions made by your employer. Remember, contributions to an HSA are tax-deductible, and any earnings within the account grow tax-free.

Here are a few key points to keep in mind regarding HSA contributions in 2019:

• The catch-up contribution limit for individuals aged 55 and older remains at an additional $1,000 per year.
• You have until the tax filing deadline (usually April 15 of the following year) to make contributions for the current tax year.
• Contributions can be made through payroll deductions or directly to your HSA provider.
• Unused funds in your HSA roll over from year to year, unlike Flexible Spending Accounts (FSAs).

By understanding the contribution limits and tax advantages of HSAs, you can make informed decisions about how to save for your healthcare costs while maximizing your tax benefits.

Health Savings Accounts (HSAs) are an invaluable resource for managing healthcare expenses, especially with their tax advantages. In 2019, if you're enrolled in a High Deductible Health Plan (HDHP) and have self-only coverage, you're allowed to contribute up to $3,500 to your HSA. If you have family coverage under an HDHP, that limit increases to $7,000.