How Much Money Can You Put Into an HSA Account Per Year?

Health Savings Accounts (HSAs) are a valuable tool for saving money on healthcare expenses while also enjoying tax benefits. One common question that individuals have about HSAs is: how much money can you put into an HSA account per year?

For the 2021 tax year, the maximum contribution limits for HSA accounts are:

• $3,600 for individuals
• $7,200 for families
• Individuals over the age of 55 can contribute an additional $1,000 as a catch-up contribution

It's important to note that these contribution limits are set by the IRS and can change each year. Contributing the maximum amount to your HSA can help you maximize your tax savings and build a fund for future healthcare expenses.

Some key points to know about HSA contributions include:

• Contributions can be made by you, your employer, or both
• Contributions made by your employer are not included in your taxable income
• Unused funds in your HSA can roll over from year to year, unlike Flexible Spending Accounts (FSAs)

By taking advantage of the tax benefits and flexibility of HSAs, you can better manage your healthcare expenses and save for the future.

Health Savings Accounts (HSAs) are an essential financial tool that allows individuals to save money for healthcare expenses while taking advantage of tax benefits. One common question people often ask is: how much can you contribute to an HSA each year?

In 2023, the maximum contribution limits for Health Savings Accounts are:

• $3,850 for individuals
• $7,750 for families
• Those aged 55 and older can make an additional catch-up contribution of $1,000

It's crucial to keep in mind that these limits are established by the IRS and may change annually. By maximizing your contributions to your HSA, you can significantly enhance your tax savings and create a financial cushion for future medical expenses.