The IRS regularly adjusts HSA and HDHP contribution limits to account for inflation. Here are the numbers you need to know to start planning for your next open enrollment period.
The IRS announced increases to 2025 HSAs and HDHPs on May 9, allowing brokers plenty of time to plan for the following open enrollment season.
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2024 |
2025 |
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HSA Contribution Limits Including Both Employer & Employee |
Individual: $4,150
Family: $8,300 |
Individual: $4,300 Family: $8,550 |
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HSA Catch-Up Contributions for Ages 55 & Up |
$1,000 |
$1,000 (unchanged as of today) |
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HDHP Maximum Out-Of-Pocket Amounts Including Deductibles, Co-Payments, and Other Amounts **Not Including Premiums |
Individual: $8,050 Family: $16,100 |
Individual: $8,300 Family: $16,600 |
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HDHP Minimum Deductibles |
Individual: $1,600 Family: $3,200 |
Individual: $1,650 Family: $3,300 |
Consider encouraging employers to increase their contributions, as it is a desirable benefit that can lead to a stronger culture and increased retention.
HSA's contribution limits are typically adjusted for inflation each year and then rounded up or down to the nearest $50. The adjustment is based on the Consumer Price Index for All Urban Consumers.
These HSA rates are typically released earlier than other employee benefit rates. This is because employers need state approval for all their insurance offerings. The earlier release allows many employers to plan for the upcoming open enrollment period in advance.
Benefits brokers can use this information to create a plan and get a head start on the new benefits enrollment period. You can prepare employer groups by including new and adjusted limits in all open enrollment literature and utilized materials.
Beyond the limit increases for 2025, there are a few other points of note:
If a married couple's family coverage is HSA-eligible, they share a single contribution limit of $8,550 for the 2025 year. Conversely, if two spouses have self-only coverage, they can contribute $4,300 to their respective accounts.
If spouses aged 55 or over wish to each contribute the extra $1,000 catch-up contribution, they must have two separate HSA accounts listed under different names. The IRS has not released updates to the catch-up contribution yet.
If one spouse is under 55 while the other is 55 or older, the younger spouse can contribute the total family contribution amount. Still, the older spouse must open a new account under a different name to make the extra $1,000 catch-up contribution.
Unless withdrawn prior to the tax deadline, all excess contributions will be subject to a 6% excise penalty.
Feel free to share our HR blog on the 2025 HSA and HDHP limits with your employer clients!