HDHP and HSA Annual Limits Increase in 2013
Employers that are beginning to plan for their 2013 benefit offerings need to be aware that the U.S. Treasury Department recently announced in Revenue Procedure 2012-26
that annual limits affecting high deductible health plans (HDHP) and health savings accounts (HSA) will increase for 2013. Employers sponsoring HSA-eligible high deductible health plans in 2013 will need to raise the HDHP's deductible to at least $1,250 for self-only coverage and $2,500 for family coverage to maintain the HDHP's HSA-eligible status. These minimum deductibles were $1,200 and $2,400 for 2012. In addition, the maximum out-of-pocket expense that can be incurred by a participant in an HDHP increased to $6,250 for self-only coverage and $12,500 for family coverage, up from the limits for 2012 that were $6,050 and $12,100, respectively. This limit applies to all deductibles, co-payments, coinsurance and other out-of-pocket amounts on a combined basis, but does not include premiums.
The maximum contribution an individual may make to an HSA rose, too. The maximum annual contribution that can be made to a health savings account in 2013 is $3,250 for individuals with self-only health coverage and $6,450 for individuals with family health coverage. The limits for 2012 were $3,100 and $6,250, respectively. The additional amount individuals who are age 55 or older may contribute is set by statute and remains at $1,000 for 2013.
This publication is intended for general information purposes only and does not and is not intended to constitute legal advice. The reader should consult with legal counsel to determine how laws or decisions discussed herein apply to the reader's specific circumstances.