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The HSA Last Month Rule: Everything You Need to Know | Lively Anyone who makes use of the “last month” rule to maximize their HSA contributions is required to remain an “eligible individual” for the next twelve months, referred to by the IRS as the "testing period "
What Is the HSA Last-Month Rule? - GoodRx The HSA last-month rule allows you to make a full-year contribution to your health savings account, even if you were eligible for only part of the year Learn how the rule works
Publication 969 (2024), Health Savings Accounts and Other Tax-Favored . . . Notice 2024-71, October 28, 2024, provides a safe harbor under section 213 of the Internal Revenue Code for amounts paid for condoms The Treasury Department and the IRS will treat amounts paid for condoms as amounts paid for medical care under section 213 (d)
Understanding HSA Last Month Rule for 2025 Contribution Limits Yes, you can contribute the full $8,300 family maximum for 2024 as long as you maintain HDHP coverage (either family or single) throughout all of 2025 to satisfy the testing period requirement
HSAs and The Last Month Rule - Opulent Wealth The Last Month Rule allows you to contribute the full annual HSA limit for the year even if you become eligible midyear, as long as you're HSA-eligible on December 1st
What is the 12 month rule for HSA? - FinanceBand. com What is the 12 month rule for HSA? The Last Month Rule There is a testing period of twelve months This means you must stay eligible through the end of the next year, or else you will face taxes and penalties For example, let's look at the individual above who became HSA-eligible on December 1
HSA Contribution Limits for 2025 and 2026: A Clear Guide for . . . The last-month rule comes with an important condition You must stay enrolled in an HSA-eligible health plan for a full testing period that runs from December 1 of that year through December 31 of the following year