What is the max you can put into HSA each year?

When it comes to contributing to your Health Savings Account (HSA), there are annual limits set by the IRS. These limits determine the maximum amount you can put into your HSA each year. It's important to be aware of these limits to make the most of your HSA benefits.

For 2021, the maximum contribution limits for HSAs are:

• Individual Coverage: $3,600
• Family Coverage: $7,200

These limits are for both employee and employer contributions combined. If you are 55 or older, you are eligible for an additional catch-up contribution of $1,000 per year.

It's essential to keep in mind that these limits can change annually, so it's important to stay updated on the current limits set by the IRS.

Understanding the maximum contributions for your Health Savings Account (HSA) is crucial for effective financial planning. For the year 2021, the IRS has established limits that are vital for both employees and employers.

The contribution ceilings are set at:

• Individual Coverage: $3,600
• Family Coverage: $7,200

Moreover, if you're aged 55 or older, you have the opportunity to make an additional catch-up contribution of $1,000. This feature is a fantastic way to boost your savings for healthcare.

Stay informed, as these limits may change yearly and can significantly impact your HSA planning.