What Deductible Qualifies for HSA - Everything You Need to Know

One of the key aspects of a Health Savings Account (HSA) is the deductible requirement. To qualify for an HSA, your health insurance plan must meet certain criteria regarding the deductible. So, what deductible qualifies for HSA?

There are specific guidelines that determine if a health insurance plan qualifies for an HSA:

• The deductible must be at least a certain amount for self-only coverage or family coverage.
• There is a maximum out-of-pocket limit that cannot be exceeded for the plan to qualify.
• The plan must be a High Deductible Health Plan (HDHP).

Here are more details on each requirement:

• The deductible for an HSA-qualified HDHP must meet certain minimum amounts set by the IRS each year.
• For 2021, a qualifying HDHP must have a deductible of at least $1,400 for self-only coverage and $2,800 for family coverage.
• The out-of-pocket maximum limit for 2021 is $7,000 for self-only coverage and $14,000 for family coverage.
• These limits are adjusted annually by the IRS for inflation.

By understanding the deductible requirements for an HSA, you can make informed decisions about your health insurance coverage and savings strategies. Remember to consult with a tax advisor or financial professional for personalized guidance.

Health Savings Accounts (HSAs) are an excellent way for individuals to manage their healthcare costs while enjoying significant tax savings. Understanding the deductible is essential for making the most of an HSA.