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IRS Contribution and Deductible Guidelines
The Internal Revenue Service has issued guidance that for 2008, HSA contributions are tax-deductible up to either:
- $2,900 for single coverage
- $5,800 for family coverage
For 2009, HSA contributions are tax-deductible up to either:
- $3,000 for single coverage
- $5,950 for family coverage
Account holders age 55 and older may contribute an additional $900 per year in 2008. The additional amount will increase to $1,000 in 2009 thereafter. Account holders should consult a tax advisor for more information and/or advice on their specific circumstances.
How an HSA Works with an HSA eligible health plan
For 2008, IRS guidance for an HSA eligible health plan is as follows:
- Minimum annual deductible: $1,100 for individual coverage. $2,200 for family coverage
- Out-of-pocket maximum: No more than $5,500 ($5,600 in 2008) for individual coverage, no more than $11,000 ($11,200 for 2008) for family coverage
For 2009, IRS guidance for an HSA eligible health plan is as follows:
- Minimum annual deductible: $1,150 for individual coverage. $2,300 for family coverage
- Out-of-pocket maximum: No more than $5,800 for individual coverage, no more than $11,600 for family coverage
- The IRS will make appropriate inflation adjustments for 2010.
For more detailed information regarding eligible and ineligible expenses download the following PDF document:
 Eligible/Ineligible Expenses
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IRS Contribution and Deductible Guidelines