The IRS recently released Rev. Proc 2023-23 listing the 2024 indexed amounts for health savings accounts (HSAs), high deductible health plans (HDHPs), and excepted-benefit health reimbursement arrangements (HRAs). The following table lists the current 2023 amounts and the new 2024 amounts:

Applicable Limit Calendar Year 2023 Calendar Year 2023
Self-Only Coverage Family Coverage Self-Only Coverage Family Coverage
HSA Annual Contribution Limit $3,850 $7,750 $4,150 $8,300
HDHP Minimum Annual Deductible $1,500 $3,000 $1,600 $3,200
HDHP Out-of-Pocket Amount
(Deductibles, co-payments, and other amounts, but not premiums)
$7,500 $15,000 $8,050 $16,100

The Revenue Procedure also provides that for plan years beginning in 2024, the maximum amount that may be made newly available for an excepted-benefit HRA for the plan year is $2,100 (up from $1,950 in 2023). The HSA maximum annual catch-up contribution (for individuals who are 55 and older) is set by statute at $1,000 and therefore will not change from 2023 to 2024.

Winston Takeaway: Employers should communicate these new limits to participants during their 2024 open enrollment, and update their plan documents accordingly. Please contact a Winston & Strawn Employee Benefits and Executive Compensation attorney with questions regarding these updates and how they may impact your benefit plans.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.