IRS Releases 2023 Key Numbers for Health Savings Accounts
June 29, 2022
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
Annual contribution limit
Self-only coverage
2022 $3,650
2023 $3,850
Family Coverage
2022 $7,300
2023 $7,750
High-deductible health plan: self-only coverage
Annual deductible: minimum
2022 $1,400
2023 $1,500
Annual out-of-pocket expenses required to be paid (other than for premiums) can’t exceed
2022 $7,050
2023 $7,500
High-deductible health plan: family coverage
Annual deductible: minimum
2022 $2,800
2023 $3,000
Annual out-of-pocket expenses required to be paid (other than for premiums) can’t exceed
2022 $14,100
2023 $15,000
Catch-up contributions
Annual catch-up contribution limit for individuals age 55 or older
2022 $1,000
2023 $1,000
Note:
The IRS has released the 2023 key tax numbers for health savings accounts (HSAs) and high-deductible health plans (HDHPs).
Valuing Your Trust
If you’re not already a valued client of Providence Wealth Advisors, we encourage you to learn more. To schedule a no cost, no obligation conversation, contact us to learn more at your convenience.