Warning: Declaration of YOOtheme\Theme\Wordpress\MenuWalker::walk($elements, $max_depth) should be compatible with Walker::walk($elements, $max_depth, ...$args) in /home/hrbsolutions/public_html/wp-content/themes/yootheme/vendor/yootheme/theme/platforms/wordpress/src/Wordpress/MenuWalker.php on line 8

715 Ela Road #2C
Lake Zurich IL 60047

847-393-7475/ 847-320-1954

847-320-1969

Benefits to take you into the future, bottom line to keep you there!

IRS Releases 2020 Health FSA and Commuter Limits

Posted on November 6th, 2019 The IRS has released Revenue Procedure 2019-44 which details the 2020 pre-tax limits for the Health FSA and Commuter Plans. These limits are effective for plan years that begin on or after January 1, 2020. Below is a summary of the newly released limits: Health Flexible Spending Account (Health FSA)

  • Employees may contribute up to $2,750 to a Health FSA.
    • In addition, employers may contribute up to $500 or a dollar-for-dollar match of the employee’s contribution, whichever is greater. 
  • ​Carryover balances (of up to $500) do not count toward the contribution limits.

Commuter Plans

  • The monthly contribution limit for mass transportation is $270.
  • The monthly contribution limit for qualified parking is $270.
  • Employees can participate in both a mass transportation and qualified parking plan.  
  • Employers may contribute to a Commuter Plan, but employer contributions count toward the limits. 

Dependent Care Flexible Spending Account (DC FSA)The limits for the Dependent Care FSA have not changed. 

  • Employees may contribute up to $5,000 to a DC FSA if they file their taxes as a single or married jointly.  
  • Employees may contribute up to $2,500 to a DC FSA if they are married but file their taxes separately.  
  • Employers may contribute to a DC FSA, but employer contributions count toward the limits.  
  • DC FSA limits do not adjust for inflation. 

Health Savings Account (HSA)As a reminder, the 2020 HSA contribution limits were released earlier this year. 

  • Employees may contribute $3,550 if they have single coverage and $7,100 if they have family coverage.  
  • A catch-up contribution of $1,000 is available for people age 55 or older. 
  • Employers may contribute to the HSA, but employer contributions count toward the limits. 
logo
"Quality, "Complete, Affordable, Long Term"

Follow me

Coming soon..