@Opus 17 my last reply, made just after your reply, may be helpful to review for additional info. To answer your questions.
Did you actually get cash from the HSA?
No, I did not receive cash or checks from my HSA after filing 2024 taxes.
The last thing to check is that the removed excess of $328 should have been reported on schedule 1, line 8f.
Correct, on my 2024 tax return, schedule 1, line 8f: Income from form 8889 = $328
For 2025, if the bank never sent you a check for the $328, then they deposited it back into the account as a contribution. (You may want to check your statements to make sure.) So you would report this as an extra contribution (not from a W-2) in that amount, and it would be tax deductible.
I believe this is where I may have gone wrong in the TT questionnaire. In the screen that reads, "Let's enter [spouses] HSA contributions (don't include contributions from cafeteria plans, etc." ...
For field entry "2025 employer and payroll contributions (box 12 of W-2)" I entered $7,960. ...straighforward
But for field entry "Contributions [spouse] personally made (not through your employer)" I originally entered $0. What I should have entered is $328.09. If I do, this triggers new questions to get more info, such as "do any of these situations apply? ..."[spouse] overfunded their HSA last year. IS THIS ASKING IF WE OVERFUNDED FOR 2024 TAX YEAR OR 2025? If 2024, then yes, we did, and more details are wanted, like total value of HSA at end of 2025, and value of contributions made in early 2026.
