Thursday November 15th, 2018
FOR IMMEDIATE RELEASE
Coldwater, MI — November 15, 2018
The IRS recently announced the contribution limits for flexible spending accounts and transit and parking accounts.
As was expected in response to projections, the IRS has increased the annual limits.
The health FSA contribution limit for 2019 is $2,700, marking an increase of $50 over the 2018 limit.
For a dependent care FSA, the 2019 contribution limit for an individual who is married but filing jointly is $2,500. For married couples filing jointly or single parents filing as head of household, the limit is $5,000. This limit has not changed from 2018.
For a qualified transportation fringe benefit plan under § 132(f)(2)(A) and § 132(f)(2)(B), the monthly limitation for transportation in a commuter highway vehicle and any transit pass is $265. The monthly limit for qualified parking is also $265.
The IRS also changed the classification of a Key Employee for 2019 to $180,000, marking a $5,000 increase over the 2018 limit. The Highly Compensated Employee limit is now $125,000, which also marks a $5,000 increase.
The limits for HSAs were included in the release of The self-only HSA contribution limit for 2019 is $3,500, marking an increase of $50 over the 2018 limit. For families, the contribution limit for 2019 is $7,000, which is $100 more than the 2018 limit.
In order to qualify for an HSA, participants must be on an applicable high-deductible health plan (HDHP). The IRS also announced the 2019 HDHP deductible amounts and out-of-pocket limits:
· Self-only coverage: HDHP must have an annual deductible of at least $1,350 (no change from 2018) and the annual out-of-pocket limit cannot exceed $6,750 (increase of $100 from 2018 limit).
· Family coverage: HDHP must have an annual deductible of at least $2,700 (no change from 2018) and the annual out-of-pocket limit cannot exceed $13,500 (increase of $200 from 2018 limit).
About Infinisource Benefit Services
Infinisource Benefit Services has been a leader in the COBRA and benefits administration industry since it started in 1986. Over the past 30 years, Infinisource Benefit Services has grown and expanded to include administration for COBRA, Flexible Spending Accounts, Health Savings Accounts and Health Reimbursement Arrangements. Over 10 million COBRA notices have been generated without a single adverse judgment or penalty. Infinisource Benefit Services has also processed more than 7.5 million FSA/HRA claims, and that number continues to grow. With 30 years of experience comes a unique understanding of employers’ needs and how to best provide for those needs. For more information, visit .
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