The Internal Revenue Service increased the limits for HSAs, according to Forbes.
Here are four things to know.
1. Consumers enrolled in high-deductible health plans can pay for their deductibles by making tax-free contributions to a HSA. The IRS recently increased the limit on HSA contributions for 2018 from $3,400 to $3,450 for individual plans and from $6,750 to $6,900 for family plans.
2. In addition, the IRS lifted the maximum out-of-pocket payments for HSAs from $6,550 to $6,650 for individuals and from $13,100 to $13,300 for family plans, according to the report.
3. Approximately 26 million U.S. policyholders and dependents have an HSA-eligible plan. Under current regulation, only healthcare consumers with annual deductibles of at least $1,300 for individuals or $2,600 for families are eligible for HSAs, according to the IRS.
4. The Trump administration is looking to expand health savings accounts under the American Health Care Act.