Health Savings Accounts
Overview
Eligible Individual is:
-
One covered by a high-deductible health plan.
-
Not one (generally) covered by any other non-HDHP.
-
Not one covered by Medicare.
-
Not one claimed as a dependent of another.
High-deductible health plan (HDHP) definition (2025)
2025 Monthly Contribution Limit:
-
Self only - $358.33 (1/12 of the $4,300 annual cap)
-
Family coverage - $712.50 (1/12 of the $8,550 annual limit)
-
Age 55 annual catch-up - $83.33 ($1,000/12)
-
Above-the-line deduction
-
Earnings accumulate tax-free and distributions are tax-free if for qualified medical expenses
Related IRC and IRS Publications and Forms
-
Code Sec 223 - Health Savings Accounts
-
Form 5329 - Use to Determine 20% Penalty
-
Form 8889 - Health Savings Accounts
-
Pub 969 - Health Savings Accounts