BillM223
Expert Alumni

Deductions & credits

I believe that the taxpayer is referring to the calculation in the middle of the HSA interview, not anything printed on form 8889. This calculation calculates the HSA contribution limit for each spouse independent of each other, even though that is not right because, as Opus points out, the Family limit is shared (i.e., they both can't claim the full amount per month).

 

I think the $4,438 is the result of the $3,550, for the last-month rule plus the extra three months at Family...i.e., 9 months at $291,83 and 3 months at $591.66.

 

So, this gives an excess contribution of $4011. The entire $4,011 needs to come out of the HSA, no matter who contributed it.

 

I will note that the spouse does not appear to have an HSA. If the spouse were to open her own HSA retroactive to 2020, then they could take some or all of the excess contributed to the husband's HSA and give it to the spouse's HSA.

 

This would achieve the best result for the couple.

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