topic HSA in Deductions & credits

HSA

Mab192019 — Wed, 17 Feb 2021 01:47:20 GMT

Where can I go to find out how much was contributed into an HSA? The company said they don’t send out 5498SA form until may. I see the w code on w2 box 12 but it includes both employer and employee and isn’t giving the employee the HSA contribution credit.

Re: HSA

Opus 17 — Wed, 17 Feb 2021 02:03:31 GMT

All contributions made by payroll deduction, whether from your money or the employer money, are considered employer money by the tax code. You agreed to a salary reduction, and the employer contributes that money for you. When TurboTax asks for your individual contributions, only list contributions that you made from your own funds out of pocket and separate from payroll deductions.

Re: HSA

Mab192019 — Wed, 17 Feb 2021 02:06:28 GMT

Thank you. So if I only made contributions through payroll, I would not be able to get the contribution credit on form 8889?

Re: HSA

Opus 17 — Wed, 17 Feb 2021 02:15:08 GMT

Correct. However, your work contributions have already been subtracted from your box 1 taxable wages, so you aren’t paying tax on them. In fact, your work contributions have also been subtracted from your box 3, and box 5 wages, so you don’t pay Social Security or Medicare tax on that amount either. If you made separate contributions, you would get the income tax deduction but you would still be paying Social Security and Medicare tax. You save more tax by making payroll contributions than out of pocket contributions.