Blogs - Practical Benefits Lawyer

IRS Announces New 2026 Health and Welfare Plan Limits

October 21, 2025

The IRS recently announced the following inflation-adjusted limits for 2026 for certain health and welfare plans:

  • Health flexible spending account limit: increased to $3,400.
  • Qualified transportation fringe benefit monthly limits for parking and transit: each increased to $340.
  • Adoption assistance program limit: increased to $17,670.
  • Qualified Small Employer Health Reimbursement Arrangement limit: increased to $6,450 for individual coverage and $13,100 for family coverage.

The above and other 2026 plan limits are available here.

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