Arizona State University (ASU) FIN380 Personal Financial Management Test 3 Practice

The maximum contribution limit for an individual Health Savings Account (HSA) is determined annually by the IRS and varies depending on factors such as age and family coverage. As of the tax year concerning the question, $3,600 is the correct limit for an individual HSA.

This amount reflects the contribution limits set for individuals under 55 years old. For those aged 55 or older, there is an additional catch-up contribution allowance that enables them to save more.

The other figures in the choices either refer to outdated limits or were correct for specific circumstances that do not pertain to the individual HSA limit for that year. For example, $2,000 might have been a previous year's limit, while $2,900 does not correspond to any IRS limit set for HSAs. Similarly, $5,000 is related to family coverage and not applicable to individual HSA contributions. Always checking current IRS guidelines for the latest limits is crucial for ensuring correct financial planning and contributions.