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kd-staxes
New Member

On form 8889 why is the total employer and employee contributions showing on line 9 vs breaking down between line 9 and line 2?

When working through the flow in turbotax for HSAs it just has one box that asks for "2023 employer and payroll contributions". This total is pulled from box 12 on the w2. 
On form 8889 it looks like its supposed to be split. Box 2 should be the employee contributions and box 9 should be employer contributions. 
However, it is just pulling the total into box 9 and says "0" for box 2. I'm assuming this is pulling the total in from the flow. 
Is there a place in turbotax to break it down so it shows correctly on form 8889?
What am I missing?
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1 Reply
BillM223
Expert Alumni

On form 8889 why is the total employer and employee contributions showing on line 9 vs breaking down between line 9 and line 2?

You are missing the fact that when the IRS says the "employer" contribution, they mean both the amount that the employer contributes AND the amount that you contribute by payroll deduction. In short, the code W amount in box 12.

 

Why do they do this? Because these amounts are treated the same way. The entire code W amount is removed from Wages in boxes 1, 3, and 5 before your W-2 is ever printed.

 

That's why there is no HSA deduction for these dollars - because they were never in your income in the first place.

 

In any case, the code W amount is on line 9 (8889). Line 2 is only those dollars that you contributed directly to the HSA, not through your employer. These dollars do have a deduction - on line 13 on Schedule 1 (1040).

 

 

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