Contributions

How your health savings account (HSA) contributions work

Indiana University’s contribution

Each year that you are enrolled in the Anthem PPO HDHP, IU contributes to your HSA account based on your elected level of coverage.

For 2025, IU’s annual HSA contribution is:

$1,300 for employee-only coverage $2,600 for all other coverage levels, made in two installments:

  • If you enroll in the HSA during open enrollment, you will receive half of IU's contribution in January, and the other half in July.
  • If you are a 10-pay employee, you will receive IU’s contribution to your HSA in July even though you don’t receive a paycheck that month.
  • For mid-year elections (e.g. new hires, life event changes), IU’s contribution is typically made by the second payroll cycle after you make your election. The timing depends on when the election is made and on payroll deadlines.

Your contribution as an employee

  • Each year that you elect to participate in the HSA, you must make a minimum contribution of $300.
  • You determine a pre-tax payroll deduction spread out equally over your pay periods (assuming a 12 month pay schedule).
  • You are not required to contribute to your account above the $300 minimum.
  • You can make contributions to your HSA from sources outside of payroll by transferring money from a personal account directly to your HSA or sending a check to WEX along with the appropriate deposit form. Any contributions put in your account on an after-tax basis are eligible to be deducted from your gross taxable income on your tax return. 

HSA annual contribution limits

  • In 2025, the contribution limit is $4,300 per individual and $8,550 per family.
  • Your annual contribution limit is the sum of IU’s contribution and your individual contribution.
  • If you are 55 or older, you can contribute an additional “catch-up” amount of $1,000 per year.
  • You are responsible for tracking your contributions to ensure you don't exceed the IRS annual contribution limits.

Want to change the amount of your payroll contribution?

You can change, suspend, or stop HSA contributions at any time during the year by submitting an HSA Enrollment/Change Form or by submitting an Optional Benefit Change online.

The contribution deducted from each remaining pay period will be automatically computed by the payroll system. It takes your new ANNUAL contribution request, subtracts what you've already contributed, then divides by the number of remaining pay periods.

Special circumstances

You will be able to continue contributing to the health savings account.

The maximum amount you are permitted to contribute will be the greater of the maximum annual HSA contribution based on your HDHP coverage on the first day of the last month of your tax year (December 1st), or the amount that results when you prorate appropriately for the number of months you were enrolled in each coverage level.

You can enroll together under the higher compensated spouse or enroll separately under your individual salary bands in the medical plan of your choice.

Considerations for enrolling in separate medical plans:

  • Each spouse would have their own medical plan deductible and out-of-pocket maximum in their medical plans. Their health care expenses would not accumulate together.
  • Each spouse could have their own HSA and would receive separate contributions from IU at their respective coverage level.
  • If one or both spouses are age 55+ they could contribute a catch-up contribution to their own HSA to increase their overall IRS contribution maximums.

Once you enroll in Medicare/begin collecting Social Security payments, you will no longer be able to contribute to your HSA.

You don’t have to enroll until you have retired, even if you have turned 65. Find out more about this.

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