News Archive

The IRS has now released all of the 2026 benefit limits, including both the cafeteria and health plan limits as well as all of the qualified retirement plan limits. Earlier this year, IRS also released the High Deductible Health Plan (HDHP) and Health Savings Account (HSA) limits. This chart shows all of these limits for 2025 and 2026.  MORE >>

"[A] handy chart (updated for this year) [describes] how each of these account types varies around eligible employers; eligible employees; the need for a plan document; who can make contributions to the account; this year's contribution limits (if any); the tax benefits to the employee and to the employer; and if investment earnings (if any) are taxed. [It also covers] funds availability to participants; any carryover provisions; portability of the account; eligible expenses to be reimbursed; substantiation requirements; and whether debit cards are available."  MORE >>

"The OBBB Act expands the permissible use of HSA funds ... Dependent Care FSA limit increased to $7,500.... Expansion of employer childcare tax credit.... Student loan repayments as qualified educational assistance.... Workplace benefits with limits on favorable tax treatment: Moving expenses.... Bicycle commuting reimbursements."  MORE >>

"[1] HSAs are not use-it-or-lose it ... [2] HSAs can provide more tax breaks than 401(k)s ... [3] You can invest the HSA money in mutual funds ... [4] You can open an HSA even if it isn't offered by your employer ... [5] HSA money can be used for even more expenses after retirement ... [6] You can use the HSA money for family members' medical expenses ... [7] You have an unlimited amount of time after you pay for medical expenses to reimburse yourself."  MORE >>

"As a reminder, these annual adjustments are permissive, meaning employers/plan sponsors are not required to adopt [the] plan limit adjustments within their plan. If an employer/plan sponsor chooses to adjust their employee contribution/reimbursement amounts, they should reflect such changes within their accompanying document(s) that describe the plan(s)."  MORE >>

"This article breaks down each update in plain language, helping HR leaders understand what's changing, what to review, and how to keep their benefits plans compliant. Learn how proactive HR teams use these annual updates to strengthen compliance processes and build employee trust."  MORE >>

"When employees use their HSA regularly, they are more likely to contribute funds, which, in turn, increases tax savings for both employee and employer ... Despite that mutual benefit, many employers may not realize that their employees are not only frustrated with the HSA experience, but also leaving money on the table."  MORE >>

"As an employer, helping your team understand the full scope of HSA-eligible expenses can dramatically improve benefit utilization, boost employee satisfaction, and reinforce your commitment to holistic wellness. Empower your workforce today by educating them about the many unexpected items eligible for HSA spending."  MORE >>

"On October 9, 2025, the IRS issued Rev. Proc. 2025-32, which announces the 2026 indexed limits for certain health and welfare benefits. This is in addition to the limits the IRS announced in Rev. Proc. 2025-19 on May 1, 2025." [A chart shows 2025 and 2026 limits.]  MORE >>

"With family health insurance premiums ... now averaging more than $25,000 per year, and deductibles climbing nearly 50% in the last decade, many households are feeling the pinch.... Health Savings Accounts (HSAs) and Flexible Spending Accounts (FSAs) are valuable tools that not only help manage day-to-day medical costs but can also play a strategic role in your broader financial plan."  MORE >>

"This information is submitted to the IRS by the trustee of your health savings account (HSA), Archer medical savings account (MSA), or Medicare Advantage MSA (MA MSA).... Employer contributions to your HSA may be excluded from your income and aren't deductible by you. You and your employer can make contributions to your HSA in the same year."  MORE >>

"In 2022, more than half of people ages 50 to 64 with employer-sponsored coverage, 16.4 million older workers, were enrolled in these plans.... Although older workers enrolled in HDHPs may have health savings accounts (HSAs), many do not, especially those with lower incomes."  MORE >>

"Dependent Care FSA limit increased for the first time in nearly 40 years ... Telehealth services no longer disqualify employees from HSA eligibility ... Direct Primary Care (DPC) Arrangements are now HSA-compatible ... ACA Bronze and Catastrophic plans will become HSA-eligible in 2026."  MORE >>

10 pages. "What's New: P.L. 119-21, July 4, 2025, amended Code section 223 to provide that: [1] An HSA eligible individual may have disregarded coverage (besides the HDHP) for telehealth and other remote care. [2] A plan will not fail to be treated as a HDHP by reason of failing to have a deductible for telehealth and other remote care services. The amendments apply to plan years beginning after 2024."  MORE >>

19 pages. Covers [1] Eligibility, [2] Contributions, [3] Distributions and [4] Reporting.  MORE >>

53 pages. "The budget reconciliation law commonly known as the One Big Beautiful Bill Act (PL 119-21) ... includes a number of health provisions that impact Medicaid, the State Children's Health Insurance Program (CHIP), Medicare, private health insurance, and rural hospitals and providers.... This report provides descriptions of [those] provisions ... These descriptions are followed by abbreviated summaries of the health provisions ... details about implementation funding ... and a list of the abbreviations used throughout the report[.]" [R48633 Aug. 18, 2025]  MORE >>

"[P]lan sponsors should consider whether offering first dollar coverage for telehealth coverage or a DPC Arrangement meets their organization's employee benefits strategies. Plan sponsors that want to offer loan assistance through their qualified education assistance plan will need to amend their plan ... Plan sponsors may always want to evaluate how the increased [DCAP] limit may impact nondiscrimination testing."  MORE >>

"Although some of the OBBB's benefits provisions simply make permanent existing temporary suspensions in the Code, others will provide opportunities for enhancement or expansion of employee benefit programs.... Conversely, the OBBB also presents some challenges for employers, who must now revise how they monitor certain executive compensation amounts, and make operational changes to their payroll administration systems for certain wages such as overtime pay."  MORE >>

"Although the original House version of the bill provided for extensive health care changes and pharmacy benefit manager (PBM) reforms, the final OBBB contains only a few provisions that affect employee benefit plans.... [1] High-Deductible Health Plan (HDHP) enhancements ... [2] Increased dependent care Flexible Spending Account (FSA) limits ... [3] Tax-deferred savings accounts for children -- 'Trump Accounts'."  MORE >>

"Gen Z workers had the highest HSA-eligible HDHP participation relative to Millennials, Gen Xers, and Baby Boomers, and while overall participation in HDHP plans dipped slightly across all generations in 2025, ... HSA-eligible HDHP participation increased among Gen Zers at a greater clip compared to Millennials, Gen Xers, and Baby Boomers from 2024 to 2025.... Gen Z workers had the lowest health care utilization."  MORE >>

"[P]lan sponsors should consider the following measures ... [1] Reevaluate dependent care FSAs.... [2] Consider retroactively or prospectively reinstating first-dollar telehealth and other remote-care service coverage under HDHPs.... [3] Identify whether to adopt or further explore [direct primary care] arrangements.... [4] Review current or potential employer-provided childcare programs in light of expanded tax credits.... [5] Evaluate and make any required updates to plan documents in light of the OBBBA and any changes adopted."  MORE >>

"No-deductible telehealth coverage now permanent for high deductible health plans (HDHPs) ... Direct primary care arrangements will not make participants ineligible for HSA contributions ... Direct primary care arrangements will be eligible for HSA reimbursement ... Bronze and catastrophic plans available through the health exchange marketplace will be considered HSA eligible HDHPs beginning January 1, 2026."  MORE >>

"While many of these changes only become effective in 2026, proactive employers should begin planning now to address these changes, communicating these changes to employees and modifying plan documents and pay practices to accommodate these changes.... [A table] summarizes the key compensation and benefits provisions of the OBBBA and provides practical guidance to employers for implementing the OBBBA's mandates."  MORE >>

"What [employers] need to do [1] Determine which changes apply to your employee benefit plan and when they need to be implemented.... [2] Review employee and board of directors communications that discuss affected items ... [3] Consider plan document amendments or written plan requirements and whether policy changes are needed.... [4] Have conversations both internally (i.e., with payroll, accounting) and externally (i.e., with nondiscrimination testing providers, third-party administrators) to discuss administrative practices that these changes may affect."  MORE >>

"[E]xpanded flexibility for health savings accounts (HSAs) and new restrictions on premium tax credit eligibility ... may reduce the risk of triggering an employer shared responsibility penalty under the [ACA].... Limiting the deduction of excessive remuneration.... Expanding the application of excise tax on excess compensation within tax-exempt organizations."  MORE >>