IRS Releases 2023 Key Numbers for Health Savings Accounts

ByCandice Lamb
On

The IRS has released the 2023 contribution limits for health savings accounts (HSAs), as well as the 2023 minimum deductible and maximum out-of-pocket amounts for high-deductible health plans (HDHPs). An HSA is a tax-advantaged account that’s paired with an HDHP. An HSA offers several valuable tax benefits:

  • You may be able to make pre-tax contributions via payroll deduction through your employer, reducing your current income tax.
  • If you make contributions on your own using after-tax dollars, they’re deductible from your federal income tax (and perhaps from your state income tax) whether you itemize or not.
  • Contributions to your HSA, and any interest or earnings, grow tax-deferred.
  • Contributions and any earnings you withdraw will be tax-free if used to pay qualified medical expenses.

Here are the key tax numbers for 2022 and 2023.

Health Savings Accounts 2022 2023
Annual contribution limit
Self-only coverage $3,650 $3,850
Family coverage $7,300 $7,750
High-deductible health plan: self-only coverage
Annual deductible: minimum $1,400 $1,500
Annual out-of-pocket expenses required to be paid (other than for premiums) can’t exceed $7,050 $7,500
High-deductible health plan: family coverage
Annual deductible: minimum $2,800 $3,000
Annual out-of-pocket expenses required to be paid (other than for premiums) can’t exceed $14,100 $15,000
Catch-up contributions
Annual catch-up contribution limit for individuals age 55 or older $1,000 $1,000

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