Today, the Internal Revenue Service announced the tax year 2019 annual inflation adjustments for more than 60 tax provisions, including the tax rate schedules and other tax changes (generally referred to as cost-of-living increases). Revenue Procedure 2018-57 provides details about these annual adjustments.
The 2019 tax items of greatest interest to our clients that are employers and plans sponsors include:
- Annual Healthcare Flexible Spending Account (FSA) contribution limits will increase $50 from the current amount of $2,650 to $2,700.
- Monthly limit for transit and parking will increase $5 from the current amount of $260 to $265.
- Annual maximum reimbursement for a qualified small employer health reimbursement arrangement (QSEHRA) will increase $100 for individual coverage from the current amount of $5,050 to $5,150, and the maximum reimbursement amount will increase $200 for family coverage from the current amount of $10,250 to $10,450.
2019 HSA Limits (reminder–these were previously announced on 05/14/2019)
IRS News Release 11/15/2019
Source: AP Benefit Advisors