HSA Tag
30 Oct Employee Benefit Plan Limits for 2021
Many employee benefits are subject to annual dollar limits that are periodically updated for inflation by the IRS. The following commonly offered employee benefits are subject to these limits:
• High deductible health plans (HDHPs) and health savings accounts (HSAs);
• Health flexible spending accounts (FSAs);
• 401(k) plans; and
• Transportation fringe benefit plans.
The IRS typically announces the dollar limits that will apply for the next calendar year well in advance of the beginning of that year. This gives employers time to update their plan designs and make sure their plan administration will be consistent with the new limits.
12 Jun IRS Proposes Rules for Direct Primary Care and Other Plans
On June 10, 2020, the Internal Revenue Service (IRS) issued proposed regulations on how it may treat amounts paid for direct primary care arrangements, health care sharing ministries, and certain other medical care arrangements under Internal Revenue Code Section 213. Specifically, the proposed regulations provide that: Payments...
20 May HSA/HDHP Limits Increase for 2021
On May 20, 2020, the IRS released Revenue Procedure 2020-32 to provide the inflation-adjusted limits for health savings accounts (HSAs) and high deductible health plans (HDHPs) for 2021. The IRS is required to publish these limits by June 1 of each year. These limits include: The maximum...
On March 27, 2020, the Coronavirus Aid, Relief and Economic Security Act (CARES Act) was signed into law. In addition to providing direct financial assistance to Americans, the CARES Act repeals the Medicine Cabinet Tax provision of the Affordable Care Act (ACA), expanding the list of qualifying expenses that can be purchased with health savings accounts (HSAs).