HSA Contribution Limits for 2025
An important part of consumer-directed healthcare (CDH), HSAs offer participants enrolled in HSA-qualified (HDHP) health plans a way to save on taxes while setting aside money for out-of-pocket healthcare expenses for themselves and their families. Recently, the Internal Revenue Service (IRS) announced updated annual HSA contribution limits for 2025.
Health Savings Account (HSA) owners will be able to contribute significantly more to their accounts. For those with self-only coverage, the annual limit will be $4,300 vs. $4,150 last year. HSA owners with family coverage will be able to contribute up to $8,550, up from $8,300 in 2024.
Annual HSA Contribution Limits
Header | Self-Only Coverage | Family Coverage |
|---|---|---|
2025 HSA Contribution Limits | $4,300 | $8,550 |
2024 HSA Contribution Limits | $4,150 | $8,300 |
2023 HSA Contribution Limits | $3,850 | $7,750 |
Catch-Up Contributions
As in prior years, HSA account owners aged 55 and older may contribute an additional $1,000 over the standard annual limit. For 2025, that means account owners with individual coverage may contribute $4,300 plus an additional $1,000, whereas those with family coverage may contribute $8,550 plus $1,000. Those turning 55 are eligible to begin their catch-up contributions at the start of the year they turn 55; they do not have to wait until the actual date of birth.
HDHP Minimum Deductibles and Out-of-Pocket Limits
For the calendar year 2025, an HSA-qualified health plan must have a minimum annual deductible of $1,650 for self-only coverage and $3,300 for family coverage. The annual maximum out-of-pocket will be capped at $8,300 for self-only coverage and $16,600 for family coverage.
Annual HDHP Minimum Deductibles and Out-of-Pocket Limits
Header | HSA-Qualified (HDHP) Minimum Deductible | Out-of-Pocket Limits |
|---|---|---|
2025 Minimum Deductibles and Out-of-Pocket Limits | $1,650 for single coverage $3,300 for family coverage | $8,300 for single coverage $16,600 for family coverage |
2024 Minimum Deductibles and Out-of-Pocket Limits | $1,600 for single coverage $3,200 for family coverage | $8,050 for single coverage $16,100 for family coverage |
2023 Minimum Deductibles and Out-of-Pocket Limits | $1,500 for single coverage $3,000 for family coverage | $7,500 for single coverage $15,000 for family coverage |
Eligibility
To be eligible to qualify for an HSA, you must meet the following requirements:
- You have a High Deductible Health Plan (HDHP) on the first day of the month (see deductible ranges above).
- You have no other health coverage except what is permitted. See the “Other Health Coverage” section in IRS Publication 969.
- You are not enrolled in Medicare.
- You cannot be claimed as a dependent on someone else’s tax return.
Important Notes
- HSA funds may be used for a long list of eligible healthcare expenses, now also including over-the-counter (OTC) medications, menstrual care, and personal protective equipment.
- An HSA is owned by the participant (not by the employer), who may keep and use the funds for life, regardless of employment status.
- An account owner may fund their HSA from a personal IRA (traditional or Roth) only once in their lifetime, and that contribution counts toward that year’s annual limit.
- If married spouses have self-only coverage, they may only contribute up to the self-only maximum.
- HSAs earn tax-free interest and tax-free investment income. These do not count toward the annual contribution limit.
- HSA account owners have until the tax deadline for a specific calendar year (usually on or around April 15) to make contributions that count toward that year.
For 40 years, DataPath has been a pivotal force in the employee benefits, financial services, and insurance industries. The company’s flagship DataPath Summit platform offers an integrated solution for managing CDH, HSA, Well-Being, COBRA, and Billing. Through its partnership with Accelergent Growth Solutions, DataPath also offers expert BPO services, automation, outsourced customer service, and award-winning marketing services.
