Checking Accounts Help
Any or all of the following are eligible to contribute to an HSA in a given year.
- An eligible individual (defined earlier)
- An eligible individual’s employer (if applicable)
- Any other person
General rule: For an eligible individual that is covered by the same HDHP plan for the entire calendar year, the maximum annual contribution is the statutory limit of $3,600 in 2021 for those with self-only coverage, or $7,200 for those with family coverage. An HSA owner is treated as being covered by the same HDHP coverage (self-only or family) for the entire year as the coverage held on December 1.
NOTE: Contribution amounts may be adjusted for cost-of-living increases.
Contributions may be made by or on behalf of an eligible individual even if the eligible individual has no compensation, or the contributions exceed his or her compensation.
Catch-up contributions: Eligible individuals may make HSA catch-up contributions of up to $1,000 annually. For eligible individuals who are married and have family coverage, each spouse who is an eligible individual may make a catch-up contribution to his or her own HSA.
If an eligible individual will attain age 55 or older by the end of the calendar year, and he or she is an eligible individual for the entire year, he or she may make a full catch-up contribution.
HSA eligibility is determined on the first of each month. If an HSA owner changes HDHP coverage from self-only to family or family to self-only, she can add up the monthly limit for each month she was covered to determine her annual contribution limit, or she can determine her contribution limit as if she was covered by the same HDHP coverage for the entire year as the coverage held on December 1. With this rule, the HSA owner may increase, but does not have to decrease the contribution limit. For example if an HSA owner has self-only coverage throughout 2021, but switches to family coverage on November 1, 2021, and has family coverage through December 31, 2021, the HSA owner’s contribution limit is the family coverage contribution limit of $7,200 for 2021.
Once an individual enrolls in Medicare, contributions, including catch-up contributions, cannot be made beginning with the month the individual enrolls.
EXAMPLE: EXAMPLE: Pearl, who is covered under an HDHP with self-only coverage, attains age 65 and enrolls for Medicare benefits on March 1, 2021. Her 2021 contribution limit is 2/12 of the statutory contribution limit. She may make contributions for January and February but may not make any contributions for March through December 2021 or thereafter.
If both spouses are eligible individuals, the total contribution limit for both spouses cannot exceed the family coverage maximum contribution, divided equally between the spouses unless they agree upon a different division. Regardless of how the limit is divided between the spouses, the aggregate contributions between the two spouses cannot exceed the maximum annual contribution amount for family coverage, (i.e., $7,200 for 2021).
EXAMPLE: Leah and Jon are married. They are both 42 years old and both have family coverage under HDHPs. In this scenario, Leah and Jon in aggregate cannot exceed a contribution of $7,200 for 2021. Each may contribute $3,600 to an HSA for 2021.
Catch-up contributions: One or both spouses may make catch-up contributions, if age eligible. For example, if both spouses are age 55 or older by the end of 2021, total contributions to their HSAs cannot exceed $9,200 ($7,200 maximum limit + $1000 catch-up for each spouse), when both have family coverage.
Archer MSA contributions: The family coverage limit is reduced by any contributions to Archer MSAs.