IRS Reduces HSA Limit for Family Coverage for 2018
On March 5, 2018, the IRS released Revenue Procedure 2018-18 (as part of Bulletin 2018-10). Due to changes made in the Tax Cuts and Jobs Act, certain adjustments needed to be made to inflation amounts. This includes a reduction in the maximum family HSA contribution for those with family coverage under an HDHP from $6,900 to a new limit of $6,850 for calendar year 2018. The single contribution limit remains unchanged at $3,450 per year.
This reduction affects employees participating in the TASC HSA Plan who have elected to contribute more than $6,850 for family coverage in 2018.
We will send an email communication to all TASC HSA Clients and Participants shorly to inform them of this change and provide instructions for impacted employees.
Value Point: How can employees reallocate their $50 removed from HSA? They can contribute that money (and more) to a Limited-Purpose FSA Plan for additional pre-tax health benefits. Eligible employees are allowed to participate in both an HSA and Limited-Purpose FSA.
For any questions, please contact your TASC Regional Sales Director.
View the IRS Bulletin: https://www.irs.gov/pub/irs-
All benefit plan limits can be viewed at https://www.tasconline.com/