On May 10, 2021, the IRS released Revenue Procedure 2021-25, which provides the 2022 inflation-adjusted limits for HSAs and HSA-qualifying HDHPs. According to the revenue procedure, the 2022 annual HSA contribution limit will increase to $3,650 for individuals with self-only HDHP coverage, up $50 from 2021, and to $7,300 for individuals with anything other than self-only HDHP coverage (family or self + 1, self + child(ren), or self + spouse/domestic partner coverage), up $100 from 2021.
For qualified HDHPs, the 2022 minimum statutory deductibles remain at $1,400 for self-only coverage and $2,800 for individuals with anything other than self-only coverage (the same as for 2021). The 2022 maximum out-of-pocket limits will increase to $7,050 for self-only coverage (up $50 from 2021) and up to $14,100 for anything other than self-only coverage (up $100 from 2021). For reference, out-of-pocket limits on expenses include deductibles, copayments and coinsurance, but not premiums. Additionally, the catch-up contribution maximum appears to remain $1,000 for individuals aged 55 years or older (this is a fixed amount not subject to inflation).
The maximum amount that may be made newly available for plan years beginning in 2022 for excepted benefit HRAs is $1,800.
The 2022 limits may impact employer benefit strategies, particularly for employers coupling HSAs with HDHPs. Employers should ensure that employer HSA contributions and employer-sponsored qualified HDHPs are designed to comply with 2022 limits.
Notice 2021-25 »
PPI Benefit Solutions does not provide legal or tax advice. Compliance, regulatory and related content is for general informational purposes and is not guaranteed to be accurate or complete. You should consult an attorney or tax professional regarding the application or potential implications of laws, regulations or policies to your specific circumstances.
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