On October 22, 2024, the IRS issued the 2025 annual inflation adjustments for Flexible Spending Accounts and other tax advantaged accounts.
The 2025 limits for Health & Welfare Benefit Plans:
- Health Care FSA maximum contribution limit $3,300
• FSA Medical Carryover limit $660 - Transportation Plans: transit and parking allowances $325
- Adoption Assistance program maximum excludable amount $17,280
- Adoption tax credit is $17,280
HSA limits were released earlier this year. For HSAs, the 2025 contribution limits increase to $4,300 for individuals and $8,550 for families.
IRS Announcement of the Health & Welfare Limits
We are awaiting the 2025 retirement plan contribution limit announcement from the IRS.
Please feel free to contact us if you have any questions about any of the new Cost-of-Living Adjustments or Plan Limitations.
TRI-AD and our Associates’ suggestions or recommendations shall not constitute legal advice. No content on our website can be construed as tax or legal advice and TRI-AD may not be considered your legal counsel or tax advisor. Clients are encouraged to consult with their tax advisor and/or attorney to determine their legal rights, responsibilities, and liabilities. This includes the interpretation of any statute or regulation, federal, state, or local; and/or its application to the clients’ business activities.