2009 HSA Contribution Limits Announced

The Internal Revenue Service 2009 maximum contribution levels for health savings accounts and out-of-pocket spending limits for high deductible health plans connected to HSAs, which have been indexed for inflation for federal income tax purposes. For 2009, the agency reports that the maximum annual HSA contribution for an eligible individual with self-only coverage is $3,000. For family coverage, the maximum annual HSA contribution is $5,950. In addition, catch-up contributions for participants who are 55 or older will increase to $1,000 for 2009.

The guidance explains that eligible individuals are allowed the full annual contribution, including a catch-up contribution, if 55 or older by year end, regardless of the number of months the individual was an eligible individual in the year.

"For individuals who are no longer eligible individuals on that date, both the HSA contribution and a catch-up contribution apply pro rata based on the number of months of the year a taxpayer is an eligible individual," the IRS explains.

For 2009, the maximum annual out-of-pocket amounts for HDHP self-coverage jumps to $5,800, and the maximum annual out-of-pocket amount for HDHP family coverage is twice that, $11,600. The minimum deductible for HDHPs increases to $1,150 for self-only coverage and $2,300 for family coverage.

For more information visit the US Treasary Website:

http://www.treasury.gov/offices/public-affairs/hsa/