BillM223
Expert Alumni

Get your taxes done using TurboTax

It depends.

 

When you run TurboTax with your data, does TurboTax tell you that you (two) had an excess of $1,500?

 

If by some miracle you calculated the excess to be the same as what TurboTax calculates (calculating excess is a non-trivia task), then back in the HSA interview when TurboTax asks if you want to withdraw the excess, say NO.

 

Then the $1,500 will be carried over to 2025 as a personal contribution. This is what you have asked your HSA custodian to do.

 

TurboTax will also generate a form 5329 so that you can be assessed a 6% excise tax (penalty) on the carryover.

 

However, in the likely case that TurboTax calculated a different excess amount than you, there is no way to change it.

 

In the future, it would be better to let TurboTax calculate the excess.

 

If TurboTax did not calculate $1,500 in excess, come back and tell us what it told you the excess was, and if you decided to tell TurboTax what amount you were going to withdraw (if any).

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