Loading
Loading
Your feedback directly shapes Sporos.
Sign in to track your feedback history
Freedom for Families Act This bill allows individuals to establish and contribute to a health savings account (HSA) without being enrolled in a high-deductible health plan (HDHP), increases HSA contribution limits, and allows tax-free distributions from an HSA during a period of qualified caregiving. Under current law, individuals may establish and contribute to an HSA if they are covered under an HSA-eligible HDHP. For 2025, HSA contributions are limited to $4,300 for self-only coverage or $8,550 for family coverage (adjusted annually). Individuals who are at least 55 years old may make an additional HSA contribution of up to $1,000 per year. Further, under current law, HSA distributions are tax-free if used to pay for qualified medical expenses. The bill eliminates the HDHP coverage requirement for purposes of an HSA. The bill also increases the HSA annual contribution limit to $9,000 for individuals or $18,000 for joint filers (adjusted annually) and eliminates the additional contribution for individuals who are at least 55 years old. Finally, the bill excludes HSA distributions during a period of qualified caregiving from gross income. The bill defines period of qualified caregiving as any period during which an individual is on leave or not employed due to the birth or adoption of a child;placement of a foster child;caring for a family member with a serious health condition;an inability to work due to a serious health condition; orcertain emergencies related to a spouse, child, or parent on covered active duty with the Armed Forces.
Introduced
Jan 3, 2025
Last Action
Jan 3, 2025
Session
119th Congress
Sponsors
1 primary · 1 co
Passage Probability
2% — Very Low
Introduced in House
Referred to the House Committee on Ways and Means.
Get a plain-English explanation of what this bill does, who it affects, and why it matters.
2%
Estimate based on legislative signals
See what factors are driving this score — cosponsor support, bipartisan backing, committee progress, and more.
Upgrade to ProReferred to the House Committee on Ways and Means.