How Much Should I Contribute to My HSA in 2018?

When it comes to deciding how much you should contribute to your Health Savings Account (HSA) in 2018, there are a few factors to consider that can help you make an informed decision.

Benefits of contributing to your HSA:

• Tax advantages - contributions are tax-deductible
• Employer contributions may be available
• Interest and investment earnings grow tax-free
• Withdrawals for qualified medical expenses are tax-free

Now, to determine how much to contribute:

1. Assess your expected medical expenses for the year
2. Consider any employer contributions
3. Review your financial situation
4. Understand the annual contribution limits set by the IRS

For 2018, the contribution limits for HSAs are:

• Individual coverage: $3,450
• Family coverage: $6,900
• Additional $1,000 catch-up contribution for those aged 55 and older

It's recommended to contribute the maximum allowed if possible to take full advantage of the benefits that an HSA offers.

When determining your Health Savings Account (HSA) contributions for 2018, it's essential to consider not only your anticipated medical expenses but also the long-term benefits of saving in an HSA.