When you have a Health Savings Account, you’re allowed to make contributions to the account that are deductible from your income. There are limits to the amount that is deductible each year, and these limits are set by the IRS.
In order to have a HSA, you must also have a High-Deductible Health Plan (HDHP), which is a health insurance policy that, as the name implies, has a high deductible. Qualified plans have a minimum deductible of $2,500 for families (for 2014) or $1,250 for singles. In addition, HDHPs have a maximum annual limit on the sum of the deductible …Read More