My employer made pre-tax contributions to my HSA in 2025 of $1020. I found out I am ineligible to make this contribution because I signed up for Medicare. I entered form 1099-SA correctly and chose distribution code 2 (excess contributions) and selected the "yes" box to the question "Tell us if your excess HSA/MSA contribution was made by your employer and deducted from the wages in box 1 of your W2". However, Turbo Tax shows this amount as "Tax-free employers contributions". I'm sure that is incorrect as this amount should be added to my income as "Additional income from schedule 1, line 10" on line 8 of Form 1040. Is this a software error?
