2016 Increase for FSA
The IRS has just announced an increase in the limits for Flex Spending Accounts among other key benefit limitations. The limit on employee contributions to employer-sponsored FSAs has increased to $2,600 per year for 2017. This is a $50 increase over last year’s limit of $2,550.
Many other voluntary benefit limits were also increased in the announcements. This year, the Long Term Care Insurance deductible increased faster than the national inflation rate. The new limits are:
|
Age Attained Before End of Tax Year |
Premium Limit |
|---|---|
|
40 and younger |
$410 |
|
41-50 |
$770 |
|
51-60 |
$1,530 |
|
61-70 |
$4,090 |
|
71 and older |
$5,110 |
Other benefit increases include transit (up to $255) and adoption assistance ($13,570 for a child with special needs). The full text of the IRS increases is available here.
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