2027 IRS Employee Benefit Plan Limits
The table below compares the applicable dollar limits for certain employee benefit programs and the Social Security wage base for 2026 and 2027.*
| Health Flexible Spending Accounts | 2027 | 2026 |
| Maximum salary reduction limit | $3,500 | $3,400 |
| Health FSA Carryover Limit | $700 | $680 |
| Dependent Care Flexible Spending Accounts± | 2027 | 2026 |
| If employee is married and filing a joint return or if the employee is a single parent |
$7,500 | $7,500 |
| If employee is married but filing separately | $3,750 | $3,750 |
| 2027 | 2026 | |
| Excepted Benefit Health Reimbursement Arrangements (EBHRA) | $2,250 | $2,200 |
|
Qualified Transportation Fringe Benefit and Qualified Parking (monthly limit) |
$350 | $340 |
|
Educational Assistance Highly compensated employee threshold |
$5,400 TBA |
$5,250 $160,000 |
| High Deductible Health Plans (HDHP) and Health Savings Accounts (HSA) | ||
| 2027 | 2026 | |
| HDHP — Maximum annual out-of-pocket limit (excluding premiums): | ||
| Self-only coverage | $8,700 | $8,500 |
| Family coverage | $17,400 | $17,000 |
| HDHP — Minimum annual deductible: | ||
| Self-only coverage | $1,750 | $1,700 |
| Family coverage | $3,500 | $3,400 |
| HSA — Annual contribution limit: | ||
| (Employee + Employer Contributions Combined) | ||
| Self-only coverage | $4,500 | $4,400 |
| Family coverage | $9,000 | $8,750 |
| Catch-up contributions (age 55 or older)± | $1,000 | $1,000 |
| QSEHRA (Qualified Small Employer Health Reimbursement Agreement) | 2027 | 2026 |
| Self-only coverage | $6,700 | $6,450 |
| Family coverage | $13,550 | $13,100 |
* The dollar limits are generally applied on a calendar year basis; however, certain dollar limits are applied on a plan-year, tax-year, or limitation-year basis.
± Not indexed for cost-of-living adjustments.
