IRS provides 2027 HSA, HRA inflation adjustments

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The IRS recently released inflation adjustments (Rev. Proc. 2026-24 (PDF - 86.48KB)) for health savings accounts (HSAs) and certain health reimbursement arrangements (HRAs) for calendar year 2027.

The annual HSA contribution limits under Section 223(b)(2) for 2027 will be:

$4,500 for self-only coverage (up from $4,400 in 2026)
$9,000 for family coverage (up from $8,750 in 2026)

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

Rev. Proc. 2026-24 also provides that for plan years beginning in 2027, the maximum amount that may be made newly available in the plan year for excepted-benefit HRAs is $2,250 (up from $2,200 in 2026).

On July 4, 2025, the One Big Beautiful Bill Act expanded the availability of HSAs under Section 223. These changes affect both the eligibility to contribute to HSAs and the types of health coverage that can coexist with HSA eligibility. The IRS issued Notice 2026-05 to provide guidance in the form of questions and answers to implement and explain these changes.

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Jeff Martin

Partner, Washington National Tax Office
Grant Thornton Advisors LLC

Washington, D.C.

+1 202 521 1526

Keith Mong

Managing Director, Washington National Tax Office

Grant Thornton Advisors LLC

Washington, D.C.

+1 202 521 1554

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