The IRS announced that the maximum FSA contribution limit for 2020 will increase by $50, from $2,700 to $2,750.

 

The FSA limit increase is effective for FSA plan years beginning on or after January 1, 2020.

 

The limit is based on the employee and not the household.  If an employee and spouse both have access to their own FSA through their respective employers, they are each eligible to contribute up to the $2,750 maximum into their respective FSA.

 

Also:

  • The Adoption Assistance limit will increase from $14,080 in 2019 to $14,300 in 2020
  • The maximum monthly pre-tax Commuter Benefit limit for mass transit and parking will increase from $265 in 2019 to $270 in 2020

 

More information can be found at:

https://www.irs.gov/pub/irs-drop/rp-19-44.pdf