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Box 12 of form W-2 code W reports the sum of both employer's and employee's contributions to your HSA.
Why doesnt Turbo Tax separate Employee and Employer Contribution in the 12 W entry. This prevents me from receiving the tax benefits of my employee contribution. Can I enter the employer contribution in 12W
@samuelnata wrote:
Why doesnt Turbo Tax separate Employee and Employer Contribution in the 12 W entry. This prevents me from receiving the tax benefits of my employee contribution. Can I enter the employer contribution in 12W
Under the tax law, you agree to a voluntary salary reduction, and your employer makes the contributions to the HSA instead. The contributions are already excluded from your W-2 box 1 wages--they are not taxed, so you don't get an extra tax deduction for them. This is how the IRS wants it. If you think your employer did not subtract your voluntary contributions from your W-2 box 1 wages, you have to talk to your employer.
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