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HSA Rules for 2026 and 2027: Limits, Eligibility and the Bronze-Plan Rule

The 2026 and 2027 HSA limits, who can contribute, why every Marketplace bronze plan now qualifies, and what the money can pay for, with the tax rules.

By All Blog Article Editorial Team · Published · 9 min read

For 2026 you can put up to $4,400 into a health savings account with self-only coverage, or $8,750 with family coverage. For 2027 the limits rise to $4,500 and $9,000, and anyone 55 or older by the end of the year can add $1,000 more in both years.

You can add money to a health savings account (HSA) only while a high-deductible health plan (HDHP) that meets IRS rules covers you and you pass the other eligibility tests below. Since January 1, 2026, every bronze and catastrophic plan available as individual coverage through a health insurance Marketplace counts as an HSA-eligible plan, whatever its deductible or out-of-pocket limit. That matters for anyone choosing a 2027 plan during open enrollment.

Key takeaways

  • HSA limits: $4,400 self-only and $8,750 family for 2026; $4,500 and $9,000 for 2027. The $1,000 catch-up for people 55 and older is fixed by law and does not rise with inflation.
  • Since January 2026, bronze and catastrophic plans available as individual coverage through a Marketplace qualify as HSA plans even if they miss the usual deductible and out-of-pocket tests.
  • A direct primary care membership no longer blocks HSA contributions if the fees stay at or under $150 a month for one person, or $300 a month for an arrangement covering more than one person (2026 and 2027).
  • Pre-tax payroll contributions avoid federal income tax and Social Security and Medicare tax. Earnings are not taxed while in the account, and money taken out for qualified medical expenses is tax-free.
  • The account belongs to you, not your employer. There is no year-end deadline to spend the balance, and a job change does not affect it.
  • Your contribution limit drops to zero from the first month you are enrolled in Medicare.

HSA contribution limits for 2026 and 2027

The table uses IRS Revenue Procedure 2025-19 for 2026 and Revenue Procedure 2026-24 for 2027.

Figure20262027
Contribution limit, self-only coverage$4,400$4,500
Contribution limit, family coverage$8,750$9,000
Extra catch-up if 55 or older by December 31$1,000$1,000
HDHP minimum deductible, self-only / family$1,700 / $3,400$1,750 / $3,500
HDHP out-of-pocket maximum, self-only / family$8,500 / $17,000$8,700 / $17,400

A few rules decide how much of the limit you can actually use:

  • Employer money counts. Anything your employer puts in reduces what you and anyone else can add.
  • Couples share the family limit. If both spouses are HSA-eligible and either has family coverage, both are treated as having it, and the family limit is split equally unless you agree on another split. There is no joint HSA, so each spouse uses their own account, and each spouse's $1,000 catch-up goes into that spouse's own HSA.
  • The deadline is tax day. You can contribute for a year until the federal tax-filing deadline the following spring, not counting extensions. IRS Publication 969 (2025 edition) gave April 15, 2026 for 2025 contributions; 2026 contributions are due by the April 2027 filing deadline.
  • Too much costs 6% a year. An excess contribution faces a 6% excise tax for each year it stays in the account, unless you withdraw it and its earnings by your tax-return due date, including extensions.

Who can contribute to an HSA

IRS Publication 969 sets four tests. You must:

  1. Be covered by an HSA-qualified HDHP on the first day of the month.
  2. Have no other health coverage, apart from the kinds the rules allow.
  3. Not be enrolled in Medicare.
  4. Not be someone another taxpayer can claim as a dependent.

The allowed extra coverage includes dental, vision, accident, disability and long-term care insurance, and telehealth. A spouse's non-HDHP family plan does not affect you as long as it does not cover you.

Employer health accounts need checking too. A general-purpose health flexible spending account (FSA) or health reimbursement arrangement (HRA) that pays medical bills before you meet the deductible ends your eligibility. A limited-purpose account that pays only for dental, vision, preventive care and a few other permitted items is fine, and so is a post-deductible account that pays nothing until the minimum HDHP deductible has been met. The trade-offs between the two kinds of account are covered in HSA vs FSA: which account to choose.

Joining partway through the year

Your limit normally counts only the months you were eligible. The last-month rule offers a shortcut: if you are eligible on December 1, you can contribute the full year's amount. In return, you must stay eligible for a testing period that runs through December 31 of the following year. If you drop out early for a reason other than death or disability, the extra you put in becomes taxable income plus a 10% additional tax.

Example: The person and dates are illustrative; the limits are the IRS figures for 2026. A 40-year-old freelancer starts self-only bronze coverage through HealthCare.gov on July 1, 2026. Counting months, the 2026 limit is $4,400 × 6 ÷ 12 = $2,200. Because they are eligible on December 1, the last-month rule lets them contribute the full $4,400 instead. If they then switch to a plan that is not HSA-eligible in mid-2027, before the testing period ends on December 31, 2027, the extra $2,200 becomes taxable income and adds a 10% tax of $220.

What changed in 2026: bronze plans, direct primary care and telehealth

The 2025 budget law, Public Law 119-21, made three changes to HSAs. The IRS explained all three in Notice 2026-5.

Bronze and catastrophic plans now qualify

For months beginning after December 31, 2025, a bronze or catastrophic plan available as individual coverage through a Marketplace is treated as an HSA-qualified plan, even if its deductible or out-of-pocket maximum falls outside the table above. Before 2026, many bronze plans failed those tests. HealthCare.gov now states that all bronze and catastrophic plans work with HSAs, and its plan search has an HSA-eligible filter.

  • The same plan bought directly from the insurer, off the Marketplace, also qualifies, as long as it is available on a Marketplace.
  • Bronze plans sold to small employers through SHOP generally do not get this treatment. They qualify only if they pass the usual deductible and out-of-pocket tests.
  • Catastrophic plans have their own eligibility rules: they are sold to people under 30 and to people with a hardship or affordability exemption. A wider, income-based route to catastrophic coverage was stayed by a federal court on July 16, 2026. See who can buy a catastrophic plan.

If you are comparing tiers for 2027, how the metal tiers differ explains what a bronze plan pays.

Direct primary care memberships

A direct primary care arrangement is a membership in which primary care practitioners, such as family doctors, pediatricians and nurse practitioners, provide your primary care for a fixed periodic fee. From January 1, 2026, joining one no longer blocks HSA contributions, if three conditions hold:

  • The fees total no more than $150 a month for one person, or $300 a month for an arrangement covering more than one person. Both figures apply in 2026 and 2027.
  • The fixed fee is the only payment for the care.
  • The care excludes procedures needing general anesthesia, prescription drugs other than vaccines, and lab tests not typically done in a primary care office.

You can pay the fees from your HSA tax-free, but not if your employer pays them, including through payroll deductions. If the fees go over the monthly limit, the HSA can still pay them, but you cannot contribute while enrolled.

Telehealth before the deductible, permanently

An HDHP may cover telehealth and other remote care before you meet the deductible without costing you HSA eligibility. The law made this permanent for plan years beginning after December 31, 2024. Services on the annual list of telehealth services that Medicare pays for qualify. In-person visits, equipment and drugs supplied alongside a virtual visit do not.

What HSA money can pay for

Tax-free withdrawals must pay for qualified medical expenses, which are the costs of medical care as the tax code defines it, for you, your spouse and your dependents. For amounts paid since 2020, over-the-counter medicines qualify without a prescription, and menstrual care products count as medical care. Only expenses incurred after the account was set up qualify, and withdrawals are optional in any given year. Hold on to receipts that show each withdrawal paid a qualified expense; they stay in your files rather than going in with your return.

Insurance premiums are generally not qualified expenses. The exceptions are:

  • long-term care insurance;
  • continuation coverage such as COBRA;
  • health coverage while you receive unemployment compensation;
  • Medicare and other health coverage once you are 65, but not Medigap policies.

Money spent on anything else is taxable income and also owes a 20% additional tax. The 20% does not apply after you reach 65, become disabled or die, though income tax still does.

The tax advantages, and the Medicare cut-off

An HSA gets three separate tax breaks:

  • Going in. Pre-tax payroll contributions through your employer's cafeteria plan count as employer contributions, and IRS Publication 15-B lists those as exempt from federal income tax withholding and from Social Security and Medicare tax. If you contribute on your own, you deduct the amount on your federal return even if you do not itemize.
  • While it sits. Interest and investment earnings in the account are not taxed.
  • Coming out. Withdrawals for qualified medical expenses are tax-free.

Contributions stop once Medicare starts. Your limit is zero from the first month you are enrolled, and premium-free Part A can be backdated up to 6 months when you apply after 65, which turns recent contributions into excess ones. For that reason, Medicare.gov tells people to end contributions, their own and their employer's, 6 months before retiring or applying for Social Security benefits. The full timing rules are in turning 65 while still working.

Is an HSA plan a good fit?

  • If you can cover the deductible from savings, an HSA-eligible plan plus regular contributions lets the money you do not spend on care build up untaxed.
  • If a large bill would leave you unable to pay, compare total yearly cost first. A low premium does not help if the deductible is out of reach.
  • If you already have a general-purpose FSA through work or a spouse's plan that covers you, sort that out before you contribute.

Frequently asked questions

Can you open an HSA if your employer does not offer one?

Yes. Eligibility depends on your coverage, not your employer. If you have an HSA-qualified plan, such as a bronze plan from HealthCare.gov, you can open an HSA with a bank or another trustee and deduct your contributions on your federal return.

Does your 2027 bronze Marketplace plan qualify for an HSA?

Yes. Bronze and catastrophic plans available as individual coverage through a Marketplace count as HSA plans for months beginning after December 31, 2025, under Public Law 119-21.

Is the $1,000 catch-up higher in 2027?

No. The $1,000 is written into the tax code and is not adjusted for inflation, so it is $1,000 in both 2026 and 2027.

What happens to your HSA if you leave your job?

It stays yours. The account and the money in it are yours. You keep using it for medical expenses, but you can only add new money while you have an HSA-qualified plan.

What if you put in more than the limit?

Withdraw the excess and its earnings by your tax-return due date, including extensions. Otherwise you owe a 6% excise tax on the excess for every year it stays in the account.

Sources

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