How Much HSA Can I Distribute in 2018?

If you are looking to understand how much you can distribute from your HSA (Health Savings Account) in 2018, you've come to the right place!

As per the IRS guidelines for the year 2018, an individual with self-only coverage under an HSA-qualified high deductible health plan (HDHP) can contribute up to $3,450. For those with family coverage under an HDHP, the contribution limit is $6,900. It's important to note that if you are 55 or older, you are eligible for an additional $1,000 catch-up contribution.

However, the distribution limit is not the same as the contribution limit. You can distribute the funds from your HSA at any time, and there is no limit on the amount you can take out. The key benefit of an HSA is that qualified medical expenses paid with the distributed funds are tax-free, making it a valuable tool for managing healthcare costs.

Understanding the limits on how much you can distribute from your Health Savings Account (HSA) is crucial for managing your healthcare finances wisely. In 2018, individuals with self-only coverage under an HSA-qualified high deductible health plan (HDHP) are allowed to contribute up to $3,450, while those with family coverage can contribute up to $6,900. Also, if you’re 55 or older, you can take advantage of an additional $1,000 catch-up contribution.