IRS Provides 2020 Cost-of-Living Adjustments for HSAs

The IRS has issued Revenue Procedure (Rev. Proc.) 2019-25, providing inflation-adjusted amounts for health savings accounts (HSAs) for calendar year 2020. Maximum annual HSA contributions will rise from $3,500 to $3,550 for those with self-only insurance coverage, and from $7,000 to $7,100 for those with family coverage. Minimum deductible amounts for qualifying high-deductible health plans will rise from $1,350 to $1,400 for self-only coverage, and from $2,700 to $2,800 for a family plan. Maximum annual out-of-pocket amounts under self-only coverage will rise from $6,750 to $6,900, and from $13,500 to $13,800 for family coverage.  IRS Rev. Proc. 2019-25 can be found here.