May I assume that when you said "we both contributed maximum of $8,750", that you two contributed $8,750 in total, not each?
Since your wife did not have an HSA in 2023, her age is not relevant. If she did have an HSA in 2023, please tell me immediately.
The way this works is:
1. Assuming that you started Medicare (any part) by September 1st, then you had 8 months of HDHP coverage (Jan to Aug).
2. The annual Family HDHP annual contribution limit is $7,750 for 2023 (I assume that you had Family HDHP coverage). This limit is prorated for the number of months you had HDHP coverage with no conflicting coverage (like Medicare). So, we have $5,167.
3. The 55+ bonus of $1,000 is also prorated, so this adds $667, for a total limit of $5,834. Now you know how we got to that number.
4. There was a total of $8,750 contributed to your HSA for an excess of $2,916. I am not sure if you contributed the whole $8,750 or if you and your wife joined together and contributed the $8,750 between you.
5. TurboTax announces that there is an excess of $2,916. If indeed your wife made contributions to your HSA, you might be asked to choose who withdraws what part of the excess, but since there is just the one HSA, it really doesn't matter how you do it.
6. Contact the HSA administrator (the bank) and ask for an excess contribution (withdrawal) form. Many banks that deal with a lot of HSAs have these forms online.
7. The bank should then send you a check for $2,916. DO THIS WELL BEFORE APRIL 15th!
8. Don't gloat over the $2,916 check - you will see that this amount was added to your taxable income (if all the contributions were via box 12 with a code W on your W-2(s) on line 8f of Schedule 1 (1040)). If you made some direct contributions, came back and I'll tell you what happens.
9. The 6 months for Medicare is relevant in only one case: if you signed up for Medicare more than 6 months after your 65th birthday - in such case, Medicare is back dated 6 months from your birthday. If you signed up less than 6 months after your 65th birthday, the Medicare is back dated only to your birthday (and if Medicare started on your birthday month, then no change at all).
OK, does this all make sense?
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