September 17, 2021

Volume XI, Number 260

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Minor Increases to Certain HSA and HDHP Limits for 2022

On May 10, 2021, the Internal Revenue Service (IRS) announced the 2022 health savings account (HSA) annual contribution limit and the 2022 high deductible health plan (HDHP) definitional limit per Internal Revenue Code Section 223. Under Revenue Procedure 2021-25 the limits for 2022 are as follows:

  • An HDHP is defined as “a health plan with an annual deductible that is not less than $1,400 for self-only coverage or $2,800 for family coverage.” The 2022 amounts are the same as the 2021 amounts.

  • New for 2022, HDHP “annual out-of-pocket expenses (deductibles, co-payments, and other amounts, but not premiums) [may not] exceed $7,050 for self-only coverage or $14,100 for family coverage.”

  • The 2022 annual contribution limit to an HSA for individuals with self-only coverage under an HDHP has been increased to $3,650, and the HSA contribution limit for individuals with family coverage under an HDHP has been increased to $7,300.

The following table is a comparison of the 2021 and 2022 limits:

  2021 Individual 2021 Family 2022 Individual 2022 Family
 HSA Contribution Adjusted Limit $3,600 $7,200 $3,650 $7,300
 HDHP Deductible Adjusted Limit $1,400 $2,800 $1,400 $2,800
 HDHP Out-of-Pocket Adjusted Limit $7,000 $14,000 $7,050 $14,100

 

All employers that sponsor health plans that include HDHP/HSA options may want to revise their plan participant communications to make sure they are updated with these numbers for 2022, as well as ensure that 2022 open enrollment materials properly reflect these limits.

© 2021, Ogletree, Deakins, Nash, Smoak & Stewart, P.C., All Rights Reserved.National Law Review, Volume XI, Number 139
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About this Author

Shareholder

Jason Rothman is a shareholder in the Cleveland office of Ogletree Deakins. As a member of the employee benefits practice group, Jason advises firm clients on all areas of employee benefits and executive compensation compliance. He advises clients on their tax-qualified plans including plan design and adoption, day-to-day plan operation, fiduciary compliance, IRS and DOL plan audits and submissions under the Employee Plans Compliance Resolution System (EPCRS), the Voluntary Fiduciary Correction Program, and the Delinquent Filer Voluntary Compliance Program. In addition, Jason advises...

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