arrow_back Back to App

HSA flexibility: distributions during family leave and higher contribution limits

This legislation changes Health Savings Account (HSA) rules. First, it allows amounts paid or distributed from an HSA during a period of qualified caregiving (as defined by the FMLA) to be excluded from gross income. Second, it removes the requirement to have a High Deductible Health Plan (HDHP) to be an eligible individual for an HSA, while simultaneously raising the annual contribution limit to $9,000.
Key points
Allows HSA funds distributed during a period of qualified caregiving (related to FMLA) to be excluded from gross income.
Removes the requirement to have a High Deductible Health Plan (HDHP) to be eligible for an HSA.
The maximum annual contribution limit to an HSA is increased to $9,000 (and twice such amount for joint returns).
article Official text account_balance Process page
Introduced
Citizen Poll
No votes cast
Additional Information
Print number: 119_HR_74
Sponsor: Rep. Biggs, Andy [R-AZ-5]
Process start date: 2025-01-03
Lustra uses Artificial Intelligence. Verify details in source documents.
Summarized by: gemini-3-pro-preview
Source data: api.congress.gov
AI work logs for this document launch

OFFICIAL LEGAL TITLE

Freedom for Families Act

FREQUENTLY ASKED QUESTIONS

What is the official ID of this bill?

The official print number for this legislation is 119_HR_74.

Which chamber initiated this legislation?

This legislation was initiated in the House of Representatives.

When did the legislative process begin?

The process officially started on 2025-01-03.

What are the main provisions?

Key points include:

  • Allows HSA funds distributed during a period of qualified caregiving (related to FMLA) to be excluded from gross income.
  • Removes the requirement to have a High Deductible Health Plan (HDHP) to be eligible for an HSA.
  • The maximum annual contribution limit to an HSA is increased to $9,000 (and twice such amount for joint returns).
What is the specific legal status?

The current status is Introduced.

Where can I read the full text of this legislation?

The full official text is available at: View full text

Who is the primary sponsor?

The primary sponsor is Rep. Biggs, Andy [R-AZ-5].

What is the latest detailed status?

The latest detailed status is: Referred to the House Committee on Ways and Means.

Is this summary verified?

Yes. This content was analyzed by AI and verified by the Lustra Judge System on 2025-12-31.

CATEGORIES

Taxes Health Family