Summary of 2024
This summary outlines the inflation-adjusted amounts for 2024 regarding Health Savings Accounts (HSAs) and excepted benefit Health Reimbursement Arrangements (HRAs) as determined by relevant sections of the Internal Revenue Code.
- For 2024, the annual contribution limit for HSAs is:
- $4,150 for individuals with self-only coverage under a high deductible health plan
- $8,300 for individuals with family coverage under a high deductible health plan
- A high deductible health plan in 2024 is defined as:
- Minimum deductible of $1,600 for self-only coverage
- Minimum deductible of $3,200 for family coverage
- Annual out-of-pocket expenses not exceeding $8,050 for self-only coverage and $16,100 for family coverage (excluding premiums)
- For plan years beginning in 2024, the maximum amount newly available for excepted benefit HRAs is $2,100.
- This procedure is effective for HSAs for calendar year 2024 and excepted benefit HRAs for plan years starting in 2024.
Details below:
Part III
Administrative, Procedural, and Miscellaneous
26 CFR 601.602: Tax forms and instructions.
(Also Part I, §§ 1, 223; Part III § 54.9831-1)
Rev. Proc. 2023-23
SECTION 1. PURPOSE
This revenue procedure provides the 2024 inflation adjusted amounts for Health Savings Accounts (HSAs) as determined under § 223 of the Internal Revenue Code and the maximum amount that may be made newly available for excepted benefit health reimbursement arrangements (HRAs) provided under § 54.9831-1(c)(3)(viii) of the Pension Excise Tax Regulations.
SECTION 2. 2023 INFLATION ADJUSTED ITEMS
.01 HSA Inflation Adjusted Items.
(1) Annual contribution limitation. For calendar year 2024, the annual limitation on deductions under § 223(b)(2)(A) for an individual with self-only coverage under a high deductible health plan is $4,150. For calendar year 2024, the annual limitation on deductions under § 223(b)(2)(B) for an individual with family coverage under a high deductible health plan is $8,300.
(2) High deductible health plan. For calendar year 2024, a “high deductible health plan” is defined under § 223(c)(2)(A) as a health plan with an annual deductible that is not less than $1,600 for self-only coverage or $3,200 for family coverage, and for which the annual out-of-pocket expenses (deductibles, co-payments, and other amounts, but not premiums) do not exceed $8,050 for self-only coverage or $16,100 for family coverage.
.02 HRA Inflation Adjusted Item.
For plan years beginning in 2024, the maximum amount that may be made newly available for the plan year for an excepted benefit HRA under § 54.9831-1(c)(3)(viii) is $2,100. See § 54.9831-1(c)(3)(viii)(B)(1) for further explanation of this calculation.
SECTION 3. EFFECTIVE DATE
This revenue procedure is effective for HSAs for calendar year 2024 and for excepted benefit HRAs for plan years beginning in 2024.
SECTION 4. DRAFTING INFORMATION
The principal author of this revenue procedure is Kyle Walker of the Office of Associate Chief Counsel (Income Tax & Accounting). For further information regarding § 223, HSAs, and excepted benefit HRAs, contact Jason Sandoval at (202) 317-5500 (not a toll-free number). For further information regarding the calculation of the inflation adjustments in this revenue procedure, contact Mr. Walker at (202) 317-4718 (not a toll-free number).
https://www.irs.gov/pub/irs-drop/rp-23-23.pdf
