What are the HSA contribution limits for 2025 and 2026?

For 2025, the total contribution limit is $4,300 for self-only coverage and $8,550 for family coverage. For 2026, those limits increase slightly to $4,400 for individuals and $8,750 for families. If you are age 55 or older, you can make additional catch-up contributions of $1,000 per year. Keep in mind that all contributions to an HSA, including those made by your employer, count toward the total annual contribution limit.

Can my employer contribute to my HSA?

Yes, many employers choose to contribute to employee HSAs. In some cases, this may be a set contribution or part of a benefits package. These employer contributions are still part of your total annual limit, so the combined amount from you and your employer cannot exceed IRS guidelines.

Do HSA funds expire at the end of the year?

No, one of the biggest advantages of HSAs is that the funds do not expire. Unlike a flexible spending account, your HSA funds roll over from year to year. That means unused money stays in your account, continues to grow over time, and can be used later whenever you need it, as long as you use it for qualified medical expenses.

What happens to my HSA when I turn 65?

Once you reach age 65, your HSA becomes even more flexible. You can use the money for qualified expenses as usual, or for non-medical purposes without a penalty. If you use the funds for non-medical expenses, you will simply pay income tax, similar to how a traditional retirement account works. However, once you enroll in Medicare, you are no longer eligible to contribute to your HSA.

Can I have an HSA and an FSA at the same time?

In most cases, you cannot have a standard FSA and an HSA at the same time. However, there is an exception. Some employers offer a limited-purpose FSA, which can be used for dental and vision expenses only. This allows you to keep your HSA while still covering additional health care costs, but it is always best to confirm the details with your employer.

Can I use my HSA to pay for my family's medical expenses?

Yes, you can use your HSA to pay for qualified medical expenses for your spouse and dependents, even if they are not covered under your health plan. This flexibility makes HSAs a practical option for managing your household's overall health care costs.