- On March 6, 2018
The IRS published Internal Revenue Procedure 2018-18, which incorporated changes to the tax code included in the Tax Cuts and Jobs Act of 2017. Included in the changes is a reduction in the family maximum contribution towards Health Savings Account (HSA). The maximum family contribution was reduced to $6,850 down from $6,900. The reduction in maximum HSA contributions for families is retroactively effective to January 1, 2018.
Employers may need to make adjustments to employee HSA contributions to accommodate these changes. If employees have already contributed $6,900 for 2018, they may need to take steps to remove the excess contribution.
If you have questions regarding this change, please contact your Kistler Tiffany Benefits’ Employee Benefits Consultant.