HSA/HDHP Limits Increase for 2023
Recently, the IRS released Revenue Procedure 2022-24 to provide the inflation-adjusted limits for health savings accounts (HSAs) and high deductible health plans (HDHPs) for 2023. The IRS is required to publish these limits by June 1 of each year. The limits include:
- The maximum HSA contribution limit
- The minimum deductible amount for HDHPs
- The maximum out-of-pocket expense limit for HDHPs
These limits vary based on whether individuals have self-only or family coverage under an HDHP.
Eligible individuals with self-only HDHP coverage will be able to contribute $3,850 to their HSAs for 2023, up from $3,650 for 2022. Eligible individuals with family HDHP coverage will be able to contribute $7,750 to their HSAs for 2023, up from $7,300 for 2022. Individuals aged 55 or older may make an additional $1,000 “catch-up” contribution to their HSAs. The adjusted contribution limits for HSAs take effect as of Jan. 1, 2023.
The minimum deductible amount for HDHPs increases to $1,500 for self-only coverage and $3,000 for family coverage for 2023 (up from $1,400 for self-only coverage and $2,800 for family coverage for 2022). The HDHP maximum out-of-pocket expense limit increases to $7,500 for self-only coverage and $15,000 for family coverage for 2023 (up from $7,050 for self-only coverage and $14,100 for family coverage for 2022). The adjusted HDHP cost-sharing limits take effect for the plan year beginning on or after Jan. 1, 2023.
Employers that sponsor HDHPs should review their plan’s cost-sharing limits (minimum deductibles and maximum out-of-pocket expense limit) when preparing for the plan year beginning in 2023. Also, employers who allow employees to make pre-tax HSA contributions should update their plan communications for the increased contribution limits.
Attracting and Retaining Employees During the Great Reshuffle
While employees continue to quit their jobs at high levels, it no longer appears that massive numbers of workers are leaving the workforce entirely. Economists have begun referring to the situation as the “Great Reshuffle” as total employment in the United States continues to trend up. Employees have been finding better jobs, with key decision factors generally revolving around compensation, benefits, career advancement and workplace flexibility.
Here are some common strategies employers can explore when it comes to attracting and retaining workers in today’s labor market.
Invest in career growth. Many workers desire professional development opportunities and are willing to leave their current jobs in search of career growth. Employers can simultaneously enhance their staffing levels and worker skill levels by offering these workers a chance to enrich their careers via upward mobility.
Offer flexibility. Surveys overwhelmingly indicate that many employees prefer to retain the flexible work options they’ve been afforded during the COVID-19 pandemic. Depending on what’s feasible, this could mean allowing employees to work from home, letting employees have flexible working hours or providing flexible time-off policies.
Provide mental health and well-being resources. Mental health and general well-being are now commonly discussed in employment conversations. Employers can help demonstrate how much they value their workers by expanding mental health and well-being resources.
There’s no one solution to today’s attraction and retention challenges. However, employers should consider what initiatives fit into their talent strategies.
Loop Your Communication and Resources Together with Forsite EXP >>
Forsite EXP is the ultimate employee experience & wellbeing platform. This customizable app helps employers reach employees on their smartphone with important company updates and healthcare education, and provides benefits support as they navigate unique healthcare needs.
EEOC and DOJ Issue Guidance on the ADA and the Use of Artificial Intelligence, Algorithms and Software
The U.S. Equal Employment Opportunity Commission (EEOC) and Department of Justice (DOJ) recently issued new guidance about how employers’ use of artificial intelligence (AI) and other software tools to make employment decisions may result in unlawful disability discrimination under the Americans with Disabilities Act (ADA).
The agencies warned that algorithmic decision-making tools—mainly when used to hire, monitor performance, determine pay or performance, or establish other terms and conditions of employment—may discriminate against people with disabilities.
“We are sounding an alarm regarding the dangers tied to blind reliance on AI and other technologies that we are seeing increasingly used by employers," said Kristen Clarke, DOJ assistant attorney general, during a press call.
The EEOC’s guidance highlighted how employment software tools might violate the ADA, such as:
- The employer does not provide a reasonable accommodation necessary for an individual to be rated fairly and accurately by software.
- The software screens out an individual with a disability, even though the individual can do the job with a reasonable accommodation.
- The software makes disability-related inquiries or includes medical examinations.
The DOJ’s guidance provides examples of the types of software tools employers use, clarifies that employers must consider various disabilities when designing or choosing their software and explains when an employer must provide a reasonable accommodation when using software tools.
Several factors have led these agencies to address this topic. One is the ongoing unemployment challenge for workers with disabilities. The Bureau of Labor Statistics’ https://www.bls.gov/news.release/pdf/empsit.pdfApril data revealed a labor force participation rate of 23.1% for people with a disability, compared with 67.5% for those without.
Employers should review this guidance and assess their employment technology and processes to ensure they are not at risk for ADA violations.
In 2022 alone, America has seen 198 mass shootings, averaging 10 per week. Hardly a day goes by without news of a horrific act of violence. Additionally, the world has seen a dramatic increase in depression, anxiety, and stress in recent years. How can we take steps to protect our community?
Forsite Benefits Presents The P.A.T.H. to Mental Health, a free in-person seminar addressing today's mental health challenges around us along with tips and training on how to create a safer work space for our employees and community. We will discuss:
- Preparedness to face today's workplace challenges
- Awareness of today's mental health dilemma
- Training in how to handle matters of mental health
- Human Resources perspective
KEY NOTE SPEAKER: Officer Jedd Bradley
Since 2014, Jedd has trained thousands of employees from all over the country on what to do in an active intruder situation.
Jedd Bradley has been in law enforcement for over 18 years, and is currently serving as an officer for the City of De Pere. We will close out our mental health seminar with active situational training from officer Bradley.
The seminar will take place Tuesday, June 28th | 8:00 a.m. - 10:00 a.m.
@ the Bemis Conference Center | 299 3rd St, De Pere, WI
The content herein is provided for general information purposes only, and does not constitute legal, tax, or other advice or opinions on any matters. This information has been taken from sources which we believe to be reliable, but there is no guarantee as to its accuracy.
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