As employers and employees continue to grapple with the ever-increasing cost of health care, it is important to keep up with the changes to contribution limits, minimums and maximums for 2018. The Internal Revenue Service announced these increases on October 19, 2017. The 2018 changes for Flexible Spending Accounts (FSAs), Health Savings Accounts (HSAs), and High Deductible Health Plans (HDHPs) may be small, but are still important to monitor.
First, the employee contribution limit for FSAs increases in 2018 from $2,600 to $2,650. The contribution limit for HSAs increases from $3,400 to $3,450 for individuals and from $6,750 to $6,900 for families. The minimum deductible for HDHPs increases from $1,300 to $1,350 for individuals and from $2,600 to $2,700 for families. The maximum out-of-pocket expenses for HDHPs (which does not include premiums) increases from $6,550 to $6,650 for individuals and from $13,100 to $13,300 for families. However, there was no change to the $1,000 maximum HSA catch-up contribution for those age 55 and older.
Attorneys at FHKAD routinely advise employers regarding health insurance obligations. For more information, contact Marc Fishel at (614) 221-1216 or mfishel@fishelhass.com.