HSA Prior Year Contribution

[debbiebee]

My last contribution to my HSA for 2023 was deposited in early January 2024.   I recently received a form 5498-SA dated for 2024.  TurboTax identifies this amount as an excess contribution for 2024 (since I was not under a high-deductible plan during 2024, but I was in 2023).  How do I correctly designate this amount as a prior-year-contribution?  (What am I missing?)  Thank you!

[AnnetteB6]

There is a way to handle the situation on your 2024 tax return.

If the last contribution was reported on your W-2 in box 12 with code W, report the information shown on your W-2 just as it appears. 

Then, follow these steps:

• Go through the Deductions and Credits > Medical > 1099-SA, HSA, MSA section of your return.  Here you will indicate who owns the HSA account and go through the questions in this section.  
• Be sure to answer 'yes' to the question about any contributions made in 2024.  
• Then there will be a question that says "Did your employer tell you about any other contributions?"  Answer 'yes'.  
• Then enter the amount reported on your W-2 in the box beside Employer and payroll contributions made in 2024 for tax year 2023.  
• Finish the rest of the section according to your situation.  

[dmertz]

After entering into 2024 TurboTax the 2024 W-2 that shows in box 12 with code W an amount that includes the HSA contribution for 2023, proceed through the HSA section of TurboTax, indicate when asked that you employer told you about other contributions, then enter the amount in the box for reporting contributions made in 2024 for 2023.

[debbiebee]

There is no relevant amount in box 12 (i.e., there is no amount with a "W").

[dmertz]

Then you have nothing to report in 2024 TurboTax about HSA contributions.

[None34]

Can you address a similar situation but where it is not an employer contribution?  In my case, I made the prior year contribution for 23 in Feb, 24.  I already reported it on 2023 tax return.  

[dmertz]

"I already reported it on 2023 tax return."

As long as there was no excess contribution, an HSA contribution made for 2023 does not get reported anywhere on your 2024 Tax return.

[dmertz]

If you made no excess contribution for 2023, nothing about the contribution made fore 2023 is reportable on your 2024 tax return.