If you recall, after the passing of the tax reform bill, known formally as the Tax Cuts and Jobs Act, the IRS adjusted the amount for HSA family contributions from $6,900 to $6,850 due to a change in inflation calculations. After public outcry and consideration of the administrative and financial burdens this change would have on tax payers, the IRS has released a notice allowing for taxpayers to treat $6,900 as the annual limitation for an individual in family coverage under a high deductible health plan (HDHP) for 2018.
The IRS allows for individuals who have reduced their HSA contribution to meet the $6,850 change, via a distribution from the account, to repay the additional $50 without requiring an additional reporting to the IRS. Therefore, individuals who wish to maximize their HSA contribution limit, for 2018, may utilize the $6,900 limit, if enrolled in family coverage under a qualified HDHP, for eligible medical expenses.
