yes I understand what you are saying . in fact.... im not sure if her W2 income in box 1 reflects the HSA amount or not.
2 points to clarify please...
1. I think you are saying that most likely... the $7k showing in box 12 with code W is pretax money and is NOT showing up in box 1 wages? and thats why I shouldnt see a place in her 1040 where the $7k is shown as a deduction
2. she also has made contributions to her employer 401k plan and seperately did a Roth 401k catchup. I can see (just using an example here) ... box 12 code AA $5000 (roth 401k) and box 12 code D $9000 (401k plan)...
is the $5k roth amount (codeAA) also included in the $9k 401k amount (codeD)?
i ask because her box 1 wages is $9k less than her box 5 medicare wages. i was expecting the box1 wages to be $14k less ($5k for the roth catch up) and $9k for 401k contributions.
thannks
