Participants in high-deductible health plans (HDHP) can contribute to tax-advantaged Health Savings Accounts.
“For 2021, the annual limit on deductible contributions is $3,600 for individuals with self-only coverage under an HDHP (a $50 increase from 2020) and $7,200 for family coverage (a $100 increase from 2020).”
“For 2021, the lower limit on the annual deductible for an HDHP is $1,400 for self-only coverage and $2,800 for family coverage, both unchanged from 2020. The upper limit for out-of-pocket expenses is $7,000 for self-only coverage and $14,000 for family coverage, both increased from 2020.”
For more info on the tax advantages of HSAs search this blog for “health savings accounts.”
HSA contribution limits increase for 2021
By Sally P. Schreiber, J.D.
Journal of Accountancy
Source: Financial Planning for Women