IRS Announces 2025 FSA, Transit & Parking Limits

The IRS announced increases to the 2025 FSA, Transit and Parking limits in Revenue Procedure 2024-40.

• Healthcare FSA annual contribution limit increased to $3,300 from $3,200
• Healthcare FSA maximum carrier over amount increased to $660 from $640
• Commuter monthly maximum increased to $325/month from $315/month

Previously announced 2025 limits:

• Health Savings Account annual contribution limit increased to $4,300 for individuals and $8,550 for families, up from $4,150 and $8,300, respectively
• Minimum deductible for HDHP coverage increased to $1,650 for individuals and $3,300 for families, up from $1,600 and $3,200, respectively
• Maximum out-of-pocket for HDHP coverage increased to $8,300 for individuals and $16,600 for families, up from $8,050 and $16,100, respectively

The Dependent Care FSA limit remains unchanged at $5,000 per year (or $2,500 if the account holder is married and files separately).

For questions, please contact your B&P Sales Rep - (888) 722-3373.