What is the Amount I Need in My High Deductible Health Plan to Qualify for an HSA?

When it comes to opening a Health Savings Account (HSA), one of the key requirements is being enrolled in a High Deductible Health Plan (HDHP). To qualify for an HSA, your HDHP must meet certain criteria, including the minimum deductible amount set by the IRS.

The IRS sets the minimum deductible amounts for HSA-qualifying HDHPs annually. For 2021, the minimum deductible amounts are $1,400 for self-only coverage and $2,800 for family coverage. This means that your HDHP must have a deductible equal to or higher than these amounts for you to be eligible to open and contribute to an HSA.

It's important to note that the out-of-pocket maximum limits for HSA-qualifying HDHPs are also governed by the IRS. For 2021, the out-of-pocket maximum limits are $7,000 for self-only coverage and $14,000 for family coverage. These limits cap the total amount you can be required to pay for covered expenses under your HDHP.

To be eligible for a Health Savings Account (HSA), it's essential to ensure that your High Deductible Health Plan (HDHP) meets the minimum deductible criteria established by the IRS. For 2021, you need a minimum deductible of $1,400 for individual coverage or $2,800 for family coverage to qualify.