2025 health FSA, other health and fringe benefit limits now set 

October 24, 2024

IRS Rev. Proc. 2024-40 gives the 2025 contribution and benefit limits for health flexible spending arrangements (FSAs), qualified small-employer health reimbursement arrangements (QSEHRAs), long-term care (LTC) policies, transportation fringe benefits and adoption assistance programs. The 2025 figures reflect the increase in the average chained Consumer Price Index for All Urban Consumers (C-CPI-U) for the 12 months ending Aug. 31, 2024, after applying statutory rounding rules.

The 2025 adjusted amounts for health savings accounts (HSAs), HSA-qualifying high-deductible health plans, excepted-benefit HRAs, out-of-pocket maximums in nongrandfathered group health plans and various indexed amounts for the Affordable Care Act’s employer-shared responsibility provision were announced earlier this year.

This table shows the 2025 adjusted figures for qualified transportation fringe and adoption assistance benefits set by Rev. Proc. 2024-40, along with amounts for 2024 and 2023.

• Rev. Proc. 2024-40 (IRS, Oct. 22, 2024)
• IRS releases tax inflation adjustments for tax year 2025 (IRS, Oct. 22, 2024)

• 2025 affordability percentage for employer health coverage increases (Sept. 9, 2024)
• 2025 transportation and health FSA limits projected (July 17, 2024)
• 2025 HSA, HDHP and excepted-benefit HRA figures set (May 10, 2024)
• Summary of 2024 benefit-related cost-of-living adjustments (Feb. 8, 2024)
• 2024 quick benefit facts (Jan. 17, 2024)