2027 HSA & HDHP Limits Announced: What Employers & Employees Need To Know
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The IRS has released its inflation-adjusted HSA and HDHP limits for 2027. Contribution caps, deductibles, and out-of-pocket maximums are all moving up. Here's the full breakdown.
Each year, the IRS announces inflation-adjusted limits for health savings accounts (HSAs) and high deductible health plans (HDHPs). For 2027, nearly every figure climbs, giving employees a bit more room to save and changing the thresholds employers must build into their plan design.
At The Siekmann Company, we help employers stay ahead of these annual adjustments so their plans remain compliant and competitive. Here's what's changing for 2027 and why it matters.
2027 HSA Contribution Limits
The amount individuals can set aside in an HSA rises in 2027 for self-only and family coverage:
Self-only coverage: $4,500, up $100 from $4,400 in 2026.
Family coverage: $9,000, up $250 from $8,750 in 2026
The catch-up contribution for HSA-eligible individuals age 55 or older holds steady at $1,000. This figure is set by statute and is not adjusted for inflation, so it stays the same year to year.
2027 HDHP Minimum Deductibles
To qualify as HSA-eligible, a health plan must meet the IRS definition of a high deductible health plan.
The minimum deductible thresholds increase for 2027:
Self-only coverage: $1,750, up $50 from $1,700 in 2026.
Family coverage: $3,500, up $100 from $3,400 in 2026.
2027 HDHP Out-Of-Pocket Maximums
The maximum out-of-pocket expense limit, which includes deductibles, copayments, and other amounts but not premiums, also rises:
Self-only coverage: $8,700, up $200 from $8,500 in 2026.
Family coverage: $17,400, up $400 from $17,000 in 2026.
2027 vs. 2026 Limits At A Glance
The table below summarizes every change from 2026 to 2027:
Type of Limit | 2026 | 2027 | Change |
HSA contribution, self-only | $4,400 | $4,500 | Up $100 |
HSA contribution, family | $8,750 | $9,000 | Up $250 |
HSA catch-up (age 55+) | $1,000 | $1,000 | No change |
HDHP minimum deductible, self-only | $1,700 | $1,750 | Up $50 |
HDHP minimum deductible, family | $3,400 | $3,500 | Up $100 |
HDHP out-of-pocket max, self-only | $8,500 | $8,700 | Up $200 |
HDHP out-of-pocket max, family | $17,000 | $17,400 | Up $400 |
Why These Limits Matter For Employers
The annual adjustments are more than housekeeping. They shape how you communicate benefits, set payroll deductions, and keep your plan compliant.
A few priorities for the year ahead:
Update plan documents and payroll systems. Contribution maximums and deductible minimums should reflect the 2027 figures before open enrollment.
Confirm HDHP qualification. A plan must meet both the minimum deductible and the out-of-pocket maximum to remain HSA-eligible. A plan that falls outside these thresholds can disqualify employees from contributing.
Educate employees on the higher caps. The increased contribution limits give workers more room to build tax-advantaged savings, but only if they know about them.
Revisit employer contribution strategy. If your organization contributes to employee HSAs, the higher limits may be a chance to strengthen a valued benefit.
Why These Limits Matter For Employees
For employees, the higher HSA caps mean more opportunity to capture the account's triple tax advantage: contributions go in pre-tax, funds grow tax-free, and qualified withdrawals are tax-free. Employees who can afford to increase contributions may want to revisit their elections during open enrollment.
At the same time, rising deductibles and out-of-pocket maximums mean some workers could face higher costs before coverage fully kicks in. Pairing an HDHP with consistent HSA contributions remains one of the most effective ways to manage that exposure.
Frequently Asked Questions
What is the 2027 HSA contribution limit? For 2027, the HSA contribution limit is $4,500 for self-only coverage and $9,000 for family coverage. Individuals age 55 or older can contribute an additional $1,000 catch-up amount.
Did the HSA catch-up contribution change for 2027? No. The catch-up contribution for those age 55 or older remains $1,000. It is set by statute and is not adjusted for inflation.
What are the 2027 HDHP requirements? For 2027, a qualifying HDHP must have a minimum deductible of $1,750 for self-only coverage or $3,500 for family coverage, with out-of-pocket maximums of $8,700 and $17,400, respectively.
Partner With The Siekmann Company on Your 2027 Plan Design
Annual limit changes are a natural checkpoint to confirm your health plan is compliant, competitive, and clearly communicated to employees. From updating plan documents to building an effective HSA education strategy, the details add up.
The Siekmann Company helps employers translate IRS updates like these into a benefit plan that works for their people and their budget. If you want help reviewing your HSA and HDHP offerings or your broader benefit plan design and administration, our team is ready to help. Email The Siekmann Company at info@siekmannco.com for more information or to discuss your 2027 benefit plan strategy.
You can also review the official figures on IRS.gov.