Update on Scenario:
- I had change of job and used W2 12 W for HSA contribution calculation.
- All of the contribution are payroll deductions
- In 2025, realize that an addition contribution of 1035 was made in 2024 for 2023. I am eligible to contribute in HSA in 2024 and 2025.
- Contributed to max limit in 2024 so removed excess 1035 in March 2025.
- As of now I do not see any earning removed along with excess.
Questions:
- Paying penalty for 2023 make sense. Will the excess contribution be shown in Line 9 of 8889 (Employer contributions made to your HSAs for 2023)?
- So I have to amend my 2023 Tax returns and add Form 5329 showing excess contribution and penalty?
- For 2024 where do we report reconciliation of the excess in 8889( 14a and 14b) or 5329?
‎April 8, 2025
11:49 AM
