IRS Benefit Limits - Some Not Yet Announced:
As of 9/13/2024, there has been no official IRS announcement of 2025 FSA, 2025 pre-tax Transit and Parking, or 2025 QSEHRA limits. ABG will inform all our client employers and broker partners when this information breaks of the new limits.
| NEW | ||
| IRS Benefit Limits | Plan Years Beginning in 2025 | Plan Years Beginning in 2024 |
| Health FSA (FSA) & Limited Purpose FSA (LPF)* | TBD * | $3,200 / year |
| Carryover Provision of unused amounts for FSA & LPF** | TBD ** | $640 / year |
| Dependent Care FSA (DCAP) | $5,000 / year ($5,000 for employees unmarried or married filing jointly, or $2,500 / year for married filing separately. |
$5,000 / year ($5,000 for employees unmarried or married filing jointly, or $2,500 / year for married filing separately. |
| Commuter Transit & Parking (pre-tax limit) | TBD / month *** | $315 / month |
| QSEHRA (Qualified Small Employer HRA) | TBD | $6,150 / individual $12,450 / family |
| Health Savings Account (HSA) |
$4,300 / individual |
$4,150 / individual $8,300 / family 55+ additional $1,000 |
| HSA - Minimum Deductible | $1,650 / individual $3,300 / family |
$1,600 / individual $3,200 / family |
| HSA - Maximum Out-of-pocket | $8,300 / individual $16,600 / family |
$8,050 / individual $16,100 / family |
* For the Health FSA & Limited Purpose FSA (LPF) – If an employer has adopted the IRS Maximum contribution limit as indexed by the IRS, no action needs to be taken. The FSA plan documents allow for this change automatically. The annual limit is determined by which calendar year the first date of the FSA plan year falls (so 2025 limits only to plan years starting 1/1/2025 and later).
** The Carryover Provision maximum is indexed to 20% of the IRS annual election limit for the Health FSA and Limited Purpose FSA (increases will always be in increments of $10 for the Carryover maximum).
*** The monthly pre-tax contribution limit for Commuter Transit and Parking is based on the start date of the benefit month, so 2025 monthly limits only apply for plan months starting 1/1/2025 and later.