How much is employer allowed to contribute to HSA?

One of the key benefits of a Health Savings Account (HSA) is the ability for both individuals and employers to contribute funds to the account, providing a tax-advantaged way to save for medical expenses.

Employers are allowed to contribute to their employees' HSAs, making it a valuable perk for many workers. So, how much exactly is an employer allowed to contribute to an HSA?

For 2021, the maximum annual contribution limit from all sources (individual and employer combined) is $3,600 for individuals with self-only coverage and $7,200 for those with family coverage.

Employers can contribute to their employees' HSAs up to these annual limits, providing a significant boost to their healthcare savings.

Understanding how much employers can contribute to Health Savings Accounts (HSAs) is crucial for maximizing your healthcare savings. In 2021, the combined contribution limit for self-only coverage is set at $3,600, while family coverage allows for a more generous $7,200.