Can I Deduct HSA Contributions?

Health Savings Accounts are one of the most tax-friendly tools available, and contributions to them are fully deductible. If you have a high-deductible health plan, you can contribute to an HSA and deduct those contributions even if you do not itemize. For 2024, the contribution limit is $4,150 for individuals and $8,300 for families, with an extra catch-up amount allowed if you are 55 or older. Contributions made through payroll deduction by your employer are already excluded from your taxable wages, so those are not deducted again. Contributions you make directly to the HSA are deducted on your tax return as an above-the-line adjustment that reduces your taxable income.