By Ric Joyner, MBA, CEBS, GBA, CFCI
We predicted that there would be no changes to the HSA indexing for 2011 based on information that Roy Ranthum shared on a webinar earlier this year, and the IRS released today that there are no changes from 2010.
IRS released the official numbers today and here is their comment:
The amounts for 2011 are unchanged from the amounts for 2010 because, after the
application of the cost-of-living adjustment rules of § 223(g) (including the rounding rule
of § 223(g)(2)), the changes in the Consumer Price Index for the relevant period do not
result in changes to the amounts for 2011.
The numbers are as follows:
Annual Contribution Limits
Annual contribution limitation. For calendar year 2011, the annual limitation on
deductions under § 223(b)(2)(A) for an individual with self-only coverage under a high
deductible health plan is $3,050. For calendar year 2011, the annual limitation on
deductions under § 223(b)(2)(B) for an individual with family coverage under a high
deductible health plan is $6,150.
High deductible health plan
For calendar year 2011, a “high deductible health
plan” is defined under § 223(c)(2)(A) as a health plan with an annual deductible that is
not less than $1,200 for self-only coverage or $2,400 for family coverage, and the
annual out-of-pocket expenses (deductibles, co-payments, and other amounts, but not
premiums) do not exceed $5,950 for self-only coverage or $11,900 for family coverage.
We are developing several products for insurance carriers and if you would like our slides of the different combinations of cool CDH e (HSA, HRA post deductible, FSA limited and FSA post deductible offerings let me know.
If you would like a seminar for your agency on HSAs and HRAs let us know. We can do a lunch and learn.