What is the Contribution Max for HSA?

Health Savings Accounts (HSAs) are a fantastic way to save for medical expenses while also enjoying tax benefits. One common question that individuals have is, what is the contribution max for HSA?

The contribution maximum for Health Savings Accounts changes annually, and for the year 2021, the limit is:

• $3,600 for individuals
• $7,200 for families
• Those who are 55 or older can contribute an additional $1,000 as a catch-up contribution

It's important to note that these contribution limits are set by the IRS, and exceeding them can result in penalties. However, any unused funds in your HSA roll over from year to year, so you don't lose them if you don't spend them immediately.

Health Savings Accounts (HSAs) are one of the smartest ways to save for your healthcare expenses, while also giving you some incredible tax advantages. You might be wondering, what is the contribution max for HSA? The annual limits can change, and for 2021, the maximum contributions are:

• $3,600 for individual account holders
• $7,200 for families needing to share an account
• Those aged 55 and up can also contribute an additional $1,000 as a catch-up contribution

It's crucial to keep these limits in mind, as they are set by the IRS. If you accidentally exceed them, there may be penalties. Don't worry though; any funds you don't use in your HSA will carry over to the next year, so there's no rush to spend everything!