Recently, the IRS announced its cost of living adjustments for the dollar limitations on qualified HDHPs, health savings accounts, flexible spending accounts, retirement plans, and PCORI fees for the 2024 tax year. Due to the increasing inflation, many of these limits went up significantly.
| Qualified High Deductible Health Plan Increases | 2023 | 2024 |
| Minimum Deductible | $1,500 single $3,000 family | $1,600 single $3,200 family |
| Maximum Out-of-Pocket Limit | $7,500 single $15,000 family | $8,050 single $16,100 family |
| Health Savings Accounts | 2023 | 2024 |
| Contribution Limit – Self-Only | $3,850 | $4,150 |
| Contribution Limit – Family Coverage | $7,750 | $8,300 |
| Flexible Spending Account Increases | 2023 | 2024 |
| Healthcare Deferral Limit | $3,050 | $3,200 |
| Healthcare Carryover Limit | $610 | $640 |
| Parking Limit | $300 | $315 |
| Mass Transit Limit | $300 | $315 |
| Dependent Care with Married and Joint Taxes or Head of House | $5,000 | $5,000 |
| Dependent Care with Married and Separate Taxes | $2,500 | $2,500 |
| Retirement Savings Increases | 2023 | 2024 |
| 401(k), 403(b), & 457(b) Elective Deferral Limit | $22,500 | $23,000 |
| Catch-Up Contribution Limit | $7,500 | $7,500 |
| Defined Contribution Limit | $66,000 | $69,000 |
| Defined Benefit Limit | $265,000 | $275,000 |
| Annual Compensation Limit | $330,000 | $345,000 |
| Highly-Compensated Employee Threshold | $150,000 | $155,000 |
| Top Heavy Key Employee Threshold | $215,000 | $220,000 |
| Social Security Taxable Wage Base | $160,200 | $168,600 |
| PCORI Fee Increases | 2023 | 2024 |
| Rate Per Average Lives Covered | $3.00 | $3.22 |
Questions on how to keep in compliance with these increases? Give us a call today!
