What is the Maximum HSA Contribution?

Health Savings Accounts (HSAs) are a valuable tool for managing healthcare expenses while saving for the future. One common question that often arises is, 'What is the maximum HSA contribution?'

The maximum HSA contribution for 2021 is $3,600 for individuals and $7,200 for families. These limits are set by the IRS and are adjusted annually for inflation. It's important to note that individuals aged 55 and older can make an additional 'catch-up' contribution of $1,000 per year.

Contributions to an HSA are tax-deductible, meaning you can reduce your taxable income by the amount you contribute to the account. Additionally, any interest or investment earnings in the HSA grow tax-free. This makes HSAs a powerful way to save for medical expenses both now and in the future.

Health Savings Accounts (HSAs) are a great financial strategy to save on healthcare costs while preparing for future medical needs. If you're wondering about the maximum HSA contribution limits set by the IRS, for 2021, individuals can contribute up to $3,600 and families can set aside $7,200. Remember, these limits can change yearly, so it's important to stay informed.