New Update: Healthcare Costs Increasing by Over 60% in Some States. Will you be impacted?

D.R. Horton Employees, Prepare for Enhanced HSA Benefits in 2025

Healthcare Provider Update: Healthcare Provider for D.R. Horton D.R. Horton, being a major homebuilding company, typically provides health insurance through large insurers like UnitedHealthcare and Cigna. These providers offer a range of plans to support D.R. Horton employees and their families, including options for both individual and family coverage. Potential Healthcare Cost Increases in 2026 As we look ahead to 2026, healthcare consumers can expect significant premium increases, particularly driven by the looming expiration of enhanced federal subsidies under the Affordable Care Act. Reports indicate that some individuals may face premium hikes of up to 75%, severely impacting access to affordable healthcare. Coupled with rising medical costs-amplified by inflation and increased demand for services-these changes could place a substantial financial burden on employees and their families. The combination of these factors suggests that proactive planning in 2025 will be essential for managing the coming year's healthcare expenses. Click here to learn more

For D.R. Horton employees, maximizing contributions to your HSA in 2025 may be a smart way to control costs around healthcare and also grow your long-term savings for retirement, said.

With the increase in HSA contribution limits coming soon, D.R. Horton employees approaching retirement should take advantage of this opportunity to grow their healthcare savings now so they can take a tax-efficient approach to future medical costs, said Sullivan.

In this article, we will discuss:

1. Limits on 2025 IRS health savings account (HSA) contributions.

2. How HSAs give you a triple tax advantage and help you control costs for healthcare.

3. HSAs & retirement planning & Medicare premiums.

The IRS has announced inflation-adjusted increases to the health savings account (HSA) contribution limits for 2025. The contribution cap for those with self-only health coverage will increase from USD 4,150 in 2024 to USD 4,300 in 2025, and for families, the maximum will increase from USD 8,300 to USD 8,550.

HSAs provide a triple tax benefit - contributions are deductible, account assets grow tax-free, and withdrawals for approved medical expenses are tax-free. Such features help HSAs manage healthcare costs.

Your high-deductible health plan must offer an HSA. For the year 2025, the IRS says the plans must carry a USD 1,650 individual deductible and USD 3,300 family deductible.Even with all these benefits, a 2023 survey by the Plan Sponsor Council of America found only 19% of HSA account holders invest—most keep their savings in cash—potentially missing big growth opportunities.

The IRS is also updating the catch-up contribution limit for D.R. Horton employees over age 55 this year—keeping the USD 1,000 catch-up contribution for now.Understand HSAs and how they could benefit your financial strategy—especially with the rise of healthcare costs and retirement planning. Prompt financial decisions such as switching to a Roth IRA or drafting a will are life planning steps as well.

And for D.R. Horton employees approaching retirement age: HSA money can help pay for Medicare premiums when you turn 65. That includes Medicare Advantage plans, as well as Parts B and D premiums, although Medigap premiums are not eligible for HSA expenditure. While not all medical expenses are covered by Medicare, funding these costs through HSAs could optimize your healthcare spending in retirement. A 2022 study by Fidelity Investments estimated medical costs for a retired couple would be around USD 315,000 after taxes.

Consider your health savings account (HSA) an essential tool in your financial toolkit. Like getting a new phone, increasing HSA contribution limits for 2025 gives you more options to manage and invest in your healthcare. You can think of contributing to your HSA as downloading an app that gives you triple tax benefits—deductions on contributions, tax-free growth, and tax-free withdrawals for qualified medical expenses. This keeps your health coverage as current and efficient as new technology—making your HSA a critical component of your D.R. Horton retirement planning strategy.

Articles you may find interesting:

Sources:

1. Fidelity Investments. 'HSA Contribution Limits 2024 and 2025.' Fidelity.com , 23 Jan. 2025, https://www.fidelity.com/learning-center/smart-money/hsa-contribution-limits . Accessed 5 Mar. 2025.

2. Plan Sponsor Council of America (PSCA). 'Helping Employees Enroll in HSAs.' PSCA.org , 9 Nov. 2023, https://www.psca.org/news/psca-news/2023/11/PR_2023_HSAreprot . Accessed 5 Mar. 2025.

3. Internal Revenue Service (IRS). 'Part III Administrative, Procedural, and Miscellaneous.' IRS.gov , May 2024, https://www.irs.gov/pub/irs-drop/rp-24-25.pdf . Accessed 5 Mar. 2025.

4. Woodruff Sawyer. 'IRS Releases 2025 HSA Contribution Limits and HDHP Deductible and Out-of-Pocket Limits.' Woodruffsawyer.com , 13 May 2024, https://woodruffsawyer.com/insights/2025-hsa-limits-released . Accessed 5 Mar. 2025.

5. Plan Sponsor Council of America (PSCA). 'HSAs: A Growing Retirement Savings Strategy.' 401k Specialist , Nov. 2023, https://401kspecialistmag.com/higher-numbers-of-hsas-positioned-as-retirement-savings-strategy . Accessed 5 Mar. 2025.

What type of retirement plan does D.R. Horton offer to its employees?

D.R. Horton offers a 401(k) retirement savings plan to its employees.

Is there a company match for contributions made to the D.R. Horton 401(k) plan?

Yes, D.R. Horton provides a company match for employee contributions to the 401(k) plan, subject to certain limits.

How can employees enroll in the D.R. Horton 401(k) plan?

Employees can enroll in the D.R. Horton 401(k) plan through the company’s benefits portal or by contacting the HR department for assistance.

What is the eligibility requirement for D.R. Horton employees to participate in the 401(k) plan?

Generally, D.R. Horton employees are eligible to participate in the 401(k) plan after completing a specified period of service, as outlined in the plan documents.

Can D.R. Horton employees take loans against their 401(k) savings?

Yes, D.R. Horton allows employees to take loans against their 401(k) savings, subject to the plan's terms and conditions.

What investment options are available in the D.R. Horton 401(k) plan?

The D.R. Horton 401(k) plan offers a variety of investment options, including mutual funds, target-date funds, and other investment vehicles.

How often can D.R. Horton employees change their 401(k) contribution amounts?

D.R. Horton employees can change their 401(k) contribution amounts at designated times throughout the year, as specified in the plan rules.

What is the vesting schedule for D.R. Horton’s company match in the 401(k) plan?

The vesting schedule for D.R. Horton’s company match typically follows a graded vesting schedule, which means employees earn ownership of the match over time.

Are there any fees associated with managing the D.R. Horton 401(k) plan?

Yes, there may be fees associated with managing the D.R. Horton 401(k) plan, which are disclosed in the plan documents and annual statements.

How can D.R. Horton employees access their 401(k) account information?

D.R. Horton employees can access their 401(k) account information online through the plan’s designated website or by contacting the plan administrator.

With the current political climate we are in it is important to keep up with current news and remain knowledgeable about your benefits.

D.R. Horton offers its employees both a defined contribution pension plan and a 401(k) plan, known as the D.R. HORTON, INC. PROFIT SHARING PLUS PLAN. The 401(k) plan is managed through Empower and is available to 9,393 employees as of the latest data. This plan allows participants to contribute a portion of their salary towards their retirement savings, with D.R. Horton offering a matching contribution. Typically, the company matches 50% of employee contributions up to a certain percentage of their salary. The defined contribution pension plan provided by D.R. Horton also plays a key role in helping employees build a secure financial future. While specific details on eligibility requirements like years of service and age qualification are not publicly available, the defined contribution nature of the plan suggests that the benefits are likely based on the total contributions made by both the employee and the employer over time.

Pension Liability Concerns: D.R. Horton has seen fluctuations in its pension liabilities over the past few years. The company’s pension liabilities in 2023 were reportedly stable, though previous years have shown variability. Monitoring these liabilities is essential in understanding the company’s long-term financial commitments. Importance: It's crucial to address this news given the potential impact of economic shifts and tax regulations on the housing market and employee benefits, which can directly influence D.R. Horton's financial stability.

Stock Options (SOs): Employees of D.R. Horton may be granted stock options that allow them to purchase company stock at a predetermined price after a certain vesting period. This price is usually set at the market value of the stock on the grant date. Restricted Stock Units (RSUs): RSUs are another form of equity compensation offered by D.R. Horton, where employees are granted units that convert into shares of company stock once certain conditions, such as time-based vesting, are met. Eligibility and Availability: D.R. Horton's stock options and RSUs are typically made available to key employees and executives, though the exact eligibility criteria may vary depending on the employee's role, performance, and tenure with the company. These equity incentives are part of D.R. Horton’s broader strategy to retain top talent and incentivize performance. For example, D.R. Horton’s recent filings indicate continued use of these compensation tools through 2022, 2023, and 2024, with ongoing reviews and updates to their stock option and RSU plans to remain competitive in the market. These incentives are detailed in the company's SEC filings and earnings reports, which are publicly available for shareholders and interested parties to review

D.R. Horton offers a comprehensive health benefits package to its employees, focusing on both short-term and long-term well-being. The company's healthcare offerings include standard health insurance plans, dental and vision coverage, flexible spending accounts (FSAs), and health savings accounts (HSAs) paired with high-deductible health plans (HDHPs). These plans provide employees with a wide range of coverage options, from basic preventative care to more comprehensive services.

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For more information you can reach the plan administrator for D.R. Horton at 1341 Horton Cir Arlington, TX 76011; or by calling them at (817) 390-8200.

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