On May 16, 2023, the Internal Revenue Service (IRS) announced the new limits for high-deductible health plans (HDHPs), health savings accounts (HSAs), and excepted benefit health reimbursement arrangements (EBHRAs) in Revenue Procedure 2023-23.
The new limits for both HDHPs and HSAs will go into effect for calendar year 2024 while the HRA limits will go into effect for plan years beginning in 2024.
Highlights of Health & Welfare Plan Limit Increases
High-Deductible Health Plans | 2023 | 2024 | Change |
Self-Only Coverage: Maximum annual out-of-pocket limit | $7,500 | $8,050 | + $550 |
Family Coverage: Maximum annual out-of-pocket limit | $15,000 | $16,100 | + $1,100 |
Self-Only Coverage: Minimum annual deductible | $1,500 | $1,600 | + $100 |
Family Coverage: Minimum annual deductible | $3,000 | $3,200 | + $200 |
Health Savings Accounts | |||
Self-Only Coverage: Annual employee + employer contribution limit | $3,850 | $4,150 | + $300 |
Family Coverage: Annual employee + employer contribution limit | $7,750 | $8,300 | + $550 |
Catch-up Contributions (age 55 and older) | $1,000 | $1,000 |
|
Excepted Benefit Health Reimbursement Arrangements | |||
Annual contribution limit | $1,950 | $2,100 | + $150 |