How Much You Can Put Into an HSA Each Year

HSA contributions are the money you put into your health savings account, and the amount you can deposit each year is set by the IRS and changes annually.

An HSA contribution is a deposit of pre-tax dollars into your health savings account. The money you contribute reduces your taxable income for that year, and you can use it to pay for may have access to medical expenses without paying income tax on those withdrawals. The IRS sets a maximum contribution limit each year, and that limit depends on whether your health plan covers just you or your family.

For 2024, the contribution limit is $4,150 for individual coverage and $8,300 for family coverage. For 2025, those limits increase to $4,300 and $8,550. These amounts change most years because they are tied to inflation. If you turn 55 during the year, you can add an extra $1,000 to your contribution limit — this is called a catch-up contribution, and it applies only to you, not to your spouse.

Key Takeaways

• The IRS sets HSA contribution limits each year, and they vary based on whether you have individual or family health coverage.
• You contribute pre-tax money, which lowers your taxable income and lets you withdraw funds tax-free for may have access to medical expenses.
• If you turn 55 or older, you can contribute an additional $1,000 per year on top of the standard limit.
• You can contribute to an HSA only if you are enrolled in a high-deductible health plan (HDHP) during the month you make the contribution.
• Contribution limits reset on January 1 each year, and any unused money rolls over indefinitely.

How contribution limits work by coverage type

The IRS recognizes two coverage categories: individual and family. Individual coverage means the health plan covers only you. Family coverage means the plan covers you and at least one other person — a spouse, children, or both. You cannot split the family limit between two separate accounts if you and your spouse each have your own HSA; the combined contributions from both accounts cannot exceed the family limit for that year.

If you switch from individual to family coverage (or vice versa) during the year, your contribution limit for that year is prorated. This means you calculate how many months you had each type of coverage and divide the annual limit accordingly. For example, if you had individual coverage for six months and family coverage for six months in 2024, you would add half of $4,150 and half of $8,300 to find your total allowable contribution for the year.

Catch-up contributions for people 55 and older

Once you turn 55, you become may be able to access to make an additional $1,000 contribution each year beyond the standard limit. This catch-up contribution is available only to the account holder — if you and your spouse both have HSAs and you both turn 55, each of you can contribute an extra $1,000, but your spouse cannot contribute an extra $1,000 to your account.

You can continue making catch-up contributions for as long as you remain enrolled in an HDHP. Once you enroll in Medicare, you can no longer make contributions to an HSA, though you can still withdraw money from it for may have access to medical expenses.

Who can contribute and when

You can contribute to an HSA only during months when you are enrolled in a high-deductible health plan and have no other health coverage (with limited exceptions for specific plans like dental-only or vision-only coverage). If you lose HDHP coverage partway through the year, you can still contribute for the months you were covered, but you cannot contribute for months after coverage ends.

Contributions can come from you, your employer, or both. If your employer offers an HSA as part of your benefits package, they may contribute money on your behalf. Any contributions — whether from you or your employer — count toward the annual limit. You can also make contributions on your own if you have an HDHP and open an HSA through a bank or financial institution.

Contribution important date and timing

You can make HSA contributions at any time during the year, but there is a important date for contributions that count toward a specific tax year. Contributions for the 2024 tax year must be made by April 15, 2025 (the federal tax filing important date). This important date applies whether you contribute through your employer's payroll or make deposits on your own.

If you contribute after the important date, that money counts toward the next tax year's limit. Many people set up automatic monthly contributions through their HSA provider to spread deposits throughout the year, which can make it easier to stay within the limit and may support you do not accidentally over-contribute.

What happens if you contribute too much

If you deposit more than the annual limit into your HSA, the excess amount is subject to a 6 percent excise tax each year it remains in the account. You also owe income tax on the excess. To fix an over-contribution, you must withdraw the excess amount plus any earnings on that excess by the tax filing important date for that year.

If you discover an over-contribution after the important date has passed, you can still withdraw it, but you will owe the 6 percent excise tax for each year the excess sat in the account. This is why tracking your contributions matters, especially if you contribute through multiple sources (such as both your employer and your own deposits).

How contributions differ from withdrawals

Contributing money to an HSA is separate from using that money. You can contribute the full annual limit but withdraw only what you need for medical expenses in a given year. Any money you do not withdraw stays in the account and earns interest or investment returns, depending on how your HSA is invested. Unlike flexible spending accounts (FSAs), HSA funds do not expire at the end of the year — they roll over indefinitely.

This means you could contribute for many years and use the money later in life, or use it when ready for current medical bills. The contribution limit resets on January 1 each year, so you start fresh with a new allowable amount regardless of how much money is already in your account.

Frequently Asked Questions

Can my employer and I both contribute to my HSA in the same year?

Yes. Your employer's contributions and your own contributions both count toward the annual limit, so the combined total cannot exceed the IRS limit for your coverage type. If your employer contributes $2,000 and you contribute $2,000, that totals $4,000, which fits within the 2024 individual limit of $4,150.

What if I leave my job mid-year?

You can continue to contribute to your HSA as long as you remain enrolled in an HDHP, even if it is through a different employer or a plan you purchase on your own. Your contribution limit for the year is based on the months you had HDHP coverage, not on your employment status.

Can I contribute to an HSA if I have Medicare?

No. Once you enroll in Medicare, you can no longer make contributions to an HSA. However, you can still withdraw money from your existing HSA balance for may have access to medical expenses without penalty.

Do I have to contribute the full limit every year?

No. You can contribute any amount up to the limit — you are not required to reach the maximum. Some people contribute smaller amounts based on their expected medical expenses or their budget.

What if I had family coverage for part of the year and individual coverage for the rest?

Your limit is prorated based on the months you had each type of coverage. Add the individual limit for the months you had individual coverage and the family limit for the months you had family coverage, then divide by 12 to find your total allowable contribution.