What Is the Maximum Contribution Limit for an HSA in 2018?

If you have a Health Savings Account (HSA) or are considering opening one, you may wonder what the maximum contribution limit is for 2018. The IRS sets limits each year on how much you can contribute to an HSA, and for 2018, the maximum amount allowed varies based on whether you have an individual or family plan.

For 2018, the maximum HSA contribution limits are:

• Individual Coverage: $3,450
• Family Coverage: $6,900

Contributions made to your HSA are tax-deductible and can be used to pay for qualified medical expenses. Any unused funds in your HSA roll over from year to year, making it a valuable tool for saving and paying for healthcare costs.

It's important to note that individuals aged 55 and older can make an additional catch-up contribution of $1,000, regardless of coverage type. This catch-up contribution allows older individuals to boost their savings for healthcare expenses as they near retirement.

Overall, HSAs offer a tax-advantaged way to save for medical expenses both now and in the future. By understanding the contribution limits and benefits of an HSA, you can make informed decisions about your healthcare savings strategy.

If you're leveraging a Health Savings Account (HSA), understanding the maximum contribution limits is crucial to optimizing your savings. For the year 2018, these limits are determined based on your coverage type.

Specifically, for 2018, you can contribute a maximum of:

• Individual Coverage: $3,450
• Family Coverage: $6,900

It's also worth acknowledging that any contributions you make to an HSA are tax-deductible, which can significantly lighten your tax burden. Plus, any unused funds in your account will roll over annually, making an HSA a smart long-term savings strategy for healthcare expenses.

Additionally, if you're aged 55 or older, you can boost your savings with a catch-up contribution of $1,000, allowing you to better prepare for medical costs as you approach retirement.