Is the HSA Contribution Limit for More than One HSA?

Health Savings Accounts (HSAs) are a great way to save for medical expenses while enjoying tax advantages. One common question people have is whether they can contribute to more than one HSA account. The short answer is yes, you can contribute to multiple HSAs, but there are some key points to keep in mind.

Here are some important details regarding the HSA contribution limit for more than one HSA:

• For those eligible for an HSA, you can contribute to multiple HSAs, but the total contribution across all accounts cannot exceed the annual contribution limit set by the IRS.
• The contribution limit for 2021 is $3,600 for individuals and $7,200 for families. If you are 55 or older, you can make an additional catch-up contribution of $1,000 per year.
• If you have multiple HSAs, you need to keep track of your contributions to ensure you do not exceed the annual limit.
• Contributions to an HSA are tax-deductible, and the funds can be used for qualified medical expenses tax-free.
• Having multiple HSAs can provide flexibility in managing healthcare expenses and investing your HSA funds.

Ultimately, it is possible to contribute to more than one HSA, but it is essential to stay within the annual contribution limit to avoid any tax penalties or complications.

Health Savings Accounts (HSAs) allow individuals to save for medical expenses while enjoying tax benefits. You might wonder if you can manage more than one HSA. The good news is, you can!

But remember, while you can contribute to multiple HSAs, the total amount you can add across all accounts cannot exceed the annual limit set by the IRS. For 2021, that limit is $3,600 for individuals and $7,200 for families. Plus, if you’re 55 or older, don't forget about the extra $1,000 catch-up contribution!