COMPLIANCE ALERT – 2024 Health FSA Inflation Adjustments Released
By: Birch

On November 9, 2023, the Internal Revenue Service issued Revenue Procedure 2023-34 that establishes various 2024 tax-related limits that have been adjusted for inflation. The table below identifies updates to the 2024 health and fringe benefit plans addressed in this notice.

Maximum Annual Employee Contribution to a Health Flexible Spending Account (Health FSA)$3,050$3,200
Health FSA Carryover Limit$610$640
Adoption Assistance Program$15,950$16,810
Maximum Annual Employer Contribution to a Qualified Small Employer HRA (QSEHRA)$5,850 (self-only coverage)
$11,800 (family coverage)
$6,150 (self-only coverage)
$12,450 (family coverage)
Maximum Monthly Benefit for Qualified Transit Passes, Van Pool Services, and Qualified Parking$300$315