The Internal Revenue Service has announced health savings account (HSA) and high-deductible health plan (HDHP) figures for 2027. The annual limit on HSA contributions for self-only coverage in 2027 will be $4,500, a 2.3% increase from the $4,400 limit in 2026. For family coverage, the HSA contribution limit will increase to $9,000 next year, up 2.9% from $8,750 in 2026.

In addition, for 2027, an HDHP must have a deductible of at least $1,750 for self-only coverage, up from $1,700 in 2026, or $3,500 for family coverage, up from $3,400 in 2026. Annual out-of-pocket expense maximums (deductibles, co-payments, and other amounts, but not premiums) cannot exceed $8,700 for self-only coverage in 2027, up from $8,500 in 2026, or $17,400 for family coverage, up from $17,000 in 2026.

The IRS also announced that the excepted-benefit health reimbursement arrangement limit will be $2,250, up from $2,200 in 2026.

All limits will take effect January 1, 2027.

All contributions are made pretax, the money in the accounts grows tax-free, and withdrawals for qualified medical expenses are tax-free.