New HSA limits for 2017

A health savings account (HSA) allows taxpayers to set aside funds for health expenses.  A deduction for the amount contributed is allowed as a deduction up to the limit allowed by the Code.  This deduction is indexed to inflation and the IRS just announced the amounts allowed for 2017 as:

• Singles – $3,400 up from $3,350
• Family – $6,750 (no change from 2016)

Annual minimum deductibles remain the same at $1,300 (singles) and $2,600 (family) and the maximum out-of-pocket remains the same at $6,550 and $13,100.