May 15, 2018

IRS Announces 2019 HSA Amounts

by Anu Gogna and Cindy Brockhausen, Willis Towers Watson

Summary
On May 10, 2018, the IRS released Revenue Procedure 2018-30 announcing the official 2019 inflation adjusted amounts for health savings accounts (HSAs) as determined under IRC § 223. This includes the maximum annual HSA contribution amount, the minimum annual deductible for a high deductible health plan (HDHP), and the maximum annual out-of-pocket expense limits for a HDHP. These amounts are updated annually to reflect the cost-of-living adjustments.

Key Action Items
1. For employers sponsoring HSA-qualifying HDHPs, this information will impact benefit plan administration and communication materials for 2019.

2. The information also may influence an employer’s HDHP design and its HSA contribution strategy in 2019.

Timing
Calendar year 2019 for HSAs and HSA-qualifying HDHPs.



The 2019 HSA catch-up contribution amount for participants attaining age 55 by 12/31/2019 remains $1,000. This amount is fixed by statute, and is the same catch-up contribution amount that applied in 2018.