topic HSA Contribution - Weird Timing Situation in Get your taxes done using TurboTax

HSA Contribution - Weird Timing Situation

chrisrcahill — Sun, 15 Dec 2019 16:13:17 GMT

Hello,

I had insurance through my prior employer from January 1st, 2019 - November 30th where I was able to contribute (and did so) to my HSA.

I did not have insurance December 1st, 2019.

My insurance with my new employer began on December 2nd (and is HSA eligible). Am I able to finish my 2019 contributions or because I technically did not have insurance on the first day of December...can I not contribute for the month of December?

Thank you.

Chris

Re: HSA Contribution - Weird Timing Situation

dmertz — Sun, 15 Dec 2019 20:30:52 GMT

Because you did not have HSA-compatible insurance on December 1, 2019 you are not an eligible individual for December. For 2019 you are only eligible to contribute 11/12 of the annual maximum contribution.

Because you were not an eligible individual on December 1, the last-month rule does not apply.

In 2019 TurboTax, indicate that you had no HDHP insurance for December.

Re: HSA Contribution - Weird Timing Situation

chrisrcahill — Sun, 15 Dec 2019 23:03:19 GMT

Darn. That is what I thought.

I read online that if your insurance is not active on the first of the month, you have to wait to the next month. O well. At least I got to contribute for the other 11 months.

Thanks.