Read up on our second quarterly blog of 2025.
HSA/HDHP Limits Will Increase for 2026
On May 1, 2025, the IRS released Revenue Procedure 2025-19 to provide the inflation-adjusted limits for health savings accounts (HSAs) and high-deductible health plans (HDHPs) for 2026. Eligible individuals with self-only HDHP coverage will be able to contribute $4,400 to their HSAs for 2026, up from $4,300 for 2025. Eligible individuals with family HDHP coverage will be able to contribute $8,750 to their HSAs for 2026, up from $8,550 for 2025. Individuals age 55 and older may make an additional $1,000 “catch-up” contribution to their HSAs. The minimum deductible amount for HDHPs increases to $1,700 for self-only coverage and $3,400 for family coverage for 2026 (up from $1,650 for self-only coverage and $3,300 for family coverage for 2025). The HDHP maximum out-of-pocket expense limit increases to $8,500 for self-only coverage and $17,000 for family coverage for 2026 (up from $8,300 for self-only coverage and $16,600 for family coverage for 2025).
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Form 5500 Deadline is July 31
Employers with employee benefit plans that operate on a calendar-year basis must file their annual reports for 2024 with the US Department of Labor (DOL) by July 31, 2025. An employer may extend this deadline by 2.5 months (until October 15, 2025) by filing Form 5558 with the IRS by July 31, 2025.
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CMS Finalizes Revised Simplified Determination Method for 2026 Creditable Coverage Determinations
On April 7, 2025, the Centers for Medicare and Medicaid Services (CMS) issued Final Part D Redesign Program Instructions for calendar year 2026. The instructions contain a detailed description of and guidance related to changes to the Medicare Part D benefit made by the Inflation Reduction Act of 2022 (IRA) that are newly in place for calendar year 2026. Among other things, these changes impact the creditable coverage status of employer-sponsored prescription drug coverage.
