IRS Announces 2026 Health Savings Account (HSA) Contribution Limits
The IRS has announced the new Health Savings Account (HSA) contribution limits for 2026! HSAs continue to be a great way for employees enrolled in a high-deductible health plan (HDHP) to set aside pre-tax dollars for qualified medical expenses. These updated limits reflect inflation and the rising costs of healthcare.
For 2026, employees can contribute:
$4,400 for self-only coverage (up from $4,300 in 2025)
$8,750 for family coverage (up from $8,550 in 2025)
To stay ahead of these changes, HR and Payroll teams can take a few simple steps. Make sure your HDHP plan designs are updated and double-check that contribution limits in your payroll system reflect the new amounts. Be sure to communicate these updates clearly to employees during open enrollment or benefits renewal periods, and offer guidance on how they can adjust their HSA contributions to maximize tax savings.
A little planning now makes for a smooth start to 2026!
At Rising Tide HR, we help our clients stay ahead of changes like HSA contribution limits by managing all the details for them. Our team reviews plan designs, ensures payroll systems are updated with the latest limits, and communicates clearly to employees so they understand how much they can contribute and how to maximize their tax savings. By taking these proactive steps, we make sure our clients remain compliant, reduce administrative headaches, and provide a seamless experience for their teams.
