On May 29, 2026, the IRS released Revenue Procedure 2026-24, which provides the 2027 inflation-adjusted limits for HSAs, HSA-qualifying HDHPs, and excepted benefit HRAs (EBHRAs).
According to the revenue procedure, for the 2027 calendar year, the annual HSA contribution limit will increase to $4,500 for individuals with self-only HDHP coverage (up $100 from 2026) and to $9,000 for individuals with anything other than self-only HDHP coverage (family or self + one, self + child(ren), or self + spouse/domestic partner coverage), an increase of $250 from 2026. The catch-up contribution maximum remains $1,000 for individuals age 55 or older, since this is a fixed amount not subject to inflation.
For qualified HDHPs, the 2027 minimum statutory deductibles will be $1,750 for self-only coverage (up $50 from 2026) and $3,500 for individuals with anything other than self-only coverage (an increase of $100 from 2026). The 2027 maximum out-of-pocket limits will increase to $8,700 for self-only coverage (up $200 from 2026) and to $17,400 for anything other than self-only coverage (up $400 from 2026). For reference, out-of-pocket limits on expenses include deductibles, copayments, and coinsurance, but not premiums.
Additionally, for months beginning in calendar year 2027, a direct primary care service arrangement (DPCSA) is not treated as impermissible first-dollar coverage for HSA-eligibility purposes if the aggregate monthly fees for all DPCSAs with respect to an individual do not exceed $150 or, if the individual is covered by a DPCSA that covers more than one individual, $300. As background, beginning in 2026, the OBBBA expanded HSA flexibility to allow employees enrolled in a qualifying DPCSA to contribute to an HSA, subject to the fixed-fee limit and provided the arrangement only covers defined primary care services. For more information on the requirements, please ask your broker or consultant for a copy of the NFP publication Health Savings Accounts: A Guide for Employers.
Finally, the maximum amount that may be made newly available for the 2027 plan year for an EBHRA is $2,250 (up $50 from 2026). As a reminder, EBHRAs are not subject to many ACA requirements, and can be offered to employees eligible for an employer’s major medical plan, even if not enrolled in such medical plan. For further details, please ask your broker or consultant for a copy of the NFP publication HRAs, ICHRAs, and Other Employer Reimbursement Arrangements.
Employer Takeaway
Employers should be aware of these newly released 2027 limits as they begin designing and updating their benefit options for the upcoming plan year. In particular, employers offering HDHPs, HSA programs, or EBHRAs should confirm their plan/program terms, contribution strategies, and employee communications reflect the IRS thresholds for 2027. For further information on employee benefits annual limits, please ask your broker or consultant for a copy of the NFP publication Employee Benefits Annual Limits.
For additional information regarding the 2027 limits, refer to IRS Revenue Procedure 2026-24.