**Updated with Reference Chart (6/12/15)** See Below
The 2016 Health Savings Account (HSA) guidelines were recently released by the IRS. The following information was provided by our partner UHC.
The annual deductible for both individuals and families will not change, nor will the annual contribution limits for individuals. However, there will be slight increases in the annual out-of-pocket limits for both individuals and families, as well as the annual contribution limit for families.
2016 Individual Coverage:
- Annual deductible must be at least $1,300/non-embedded and $2,600/embedded – No change from 2015
- Annual out-of-pocket limits may not exceed $6,550 – Increase of $100 from 2015
- Annual contribution limits are $3,350 – No change from 2015
2016 Family Coverage:
- Annual deductible must be at least $2,600 – No change from 2015
- Annual out-of-pocket limits may not exceed $13,100 – Increase of $200 from 2015
- Annual contribution limits are $6,750 – Increase of $100 from 2015
[btn href=”http://www.irs.gov/Affordable-Care-Act/Individuals-and-Families” color=”red” target-“_self”]INDIVIDUAL/FAMILIES ACA TAX PROVISIONS[/btn]
Penalties for Non-qualifying Expenses
Individuals (those under the age of 65, unless disabled) that use HSA funds for non-qualifying medical expenses are subject to penalties including income tax on those funds used, as well as a 20% penalty on the non-qualifying funds used.
[btn href=”http://www.irs.gov/pub/irs-drop/rp-15-30.pdf” color=”red” target-“_self”]IRS 2016 HSA GUIDANCE[/btn]
**Updated with Reference Chart (6/12/15)**
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