If you get the generic "TY25_HSA rejection code". Verify your HSA contribution total in W2 Box 12 (Code W) and make sure it matches exactly what TurboTax reports on Form 8889. TurboTax may round the number and then reject your return because the rounded amount doesn’t match the actual W-2 value.
In my case, the issue was a rounding/precision mismatch. My W-2 Box 12 (Code W) showed $9,549.90, but TurboTax internally rounded it to $9,550.00.
For 2025, $9,550 is the maximum allowed HSA contribution for someone age 55+ with family coverage (the $8,550 family limit plus the $1,000 catch-up). Because of this rounding difference, my return was rejected since the exact W-2 amount didn’t match TurboTax’s rounded figure.
The only error provided was the generic TY25_HSA rejection code, with no explanation about the rounding issue, which made it difficult to diagnose.
The only error provided was the generic TY25_HSA rejection code, with no explanation about the rounding issue, which made it difficult to identify the problem.
A quick correction is to make the cents 00 in the W2, and it will populate it correctly in TT without the unsolicited rounding.
