There are a slew of important figures companies and employees need to know regarding health savings accounts, 401(k)s and flexible spending accounts. While the IRS announced HSA changes in May, the agency only recently announced annual changes to FSAs and 401(k)s. From contribution limits to out-of-pocket amounts, here are the figures employers need to know — all of which take effect in January.
$19,000: 401(k) pre-tax contribution limits
The IRS in November said it is increasing the pre-tax contribution limits for employees who participate in a 401(k), 403(b) and most 457 plans to $19,000 from $18,500. That limit also applies to the federal government’s Thrift Savings Plan.
$6,000: 401(k) catch-up contribution limit
For participants ages 50 and over, the additional 401(k) catch-up contribution limit, which is set by law, will stay at $6,000 for 2019.
$6,000: IRA contribution limits
IRA contribution limits are being raised to $6,000 from $5,500 — the first time the IRS has increased the limits since 2013. The catch-up contribution limit for people 50 and over will still be $1,000.
$3,500: Annual HSA contribution limit for individuals
The 2019 annual health savings account contribution limit for individuals with single medical coverage is $3,500, an increase of $50 from 2018.
$7,000: HSA contribution limit for family coverage
For HSAs linked to family coverage, the 2019 contribution limit will rise by $100, to $7,000, above the family cap set for 2018.
$1,350: HDHP minimum deductible for individual
The minimum deductible for a qualifying high-deductible health plan remains unchanged for 2019: $1,350 for individual coverage.
$2,700: HDHP minimum deductible for family
The minimum deductible for a qualifying high-deductible health plan remains at $2,700 for family coverage.
$6,750: HDHP maximum out-of-pocket amounts (individual)
Deductibles, copayments and other amounts that do not include premiums will have a maximum limit of $6,750 for individual coverage next year, up $100 from 2018.
$13,500: HDHP maximum out-of-pocket amounts (family)
Deductibles, copayments and other amounts that do not include premiums will have a maximum limit of $13,500 for family coverage, up $200 from 2018.
$1,000: HSA catch-up contributions
Individuals 55 years or older can contribute an extra $1,000 to their health savings account in 2019. The amount remains unchanged from 2018.
$2,700: FSA contribution limit
The health flexible spending account contribution limit for 2019 is $2,700 — an increase of $50 over the 2018 limit. The increase also applies to limited-purpose FSAs that are restricted to dental and vision care services, which can be used in tandem with health savings accounts.