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bardia61
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I entered my HSA contribution but it is not in my 1040 that has been done by Turbo-tax deluxe. I think it should be in line 25. My last year return has this item!!!

I completed the tax return by turbo-tax deluxe. in 1040 my HSA is not in line 25. I think I am getting less return because of that. My last year return by HR block has this item.

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I entered my HSA contribution but it is not in my 1040 that has been done by Turbo-tax deluxe. I think it should be in line 25. My last year return has this item!!!

It depends on how your contributions were made.

Most taxpayers contribute to their HSA by means of salary/payroll deduction through their employer. In this case, the HSA contributions (both your employer's and yours) are (1) listed in box 12 with a code of W on your W-2, and (2) removed from Wages in boxes 1, 3, and 5 on your W-2. This is why these contributions are not listed on line 12 on Schedule 1 (1040) - because you can't deduct something that was never in your income in the first place.

This means that these contributions were made with pre-tax dollars.

Some taxpayers make contributions directly to their HSA, not through the employer. These contributions are shown on Line 12 on Schedule 1 (1040), because these contributions are made with after-tax dollars.

As noted above, the pre-tax contributions should appear on your W-2 in box 12 with a code of W. Your after-tax contributions are entered on "Let's enter your HSA contributions" (see screenshot below) on the second line.

***Note***

There are a small number of cases where the employer does not follow the IRS directions to place the payroll deduction in box 12 with a code of W, but uses box 14 instead. In this case, the taxpayer has to ask the employer if the contribution was pre-tax or after-tax, because how it gets entered in TurboTax varies. If this is your situation, please comment below.

 

[Edited 3/31/2020 3:41 pm CDT - updated for 2019]

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I entered my HSA contribution but it is not in my 1040 that has been done by Turbo-tax deluxe. I think it should be in line 25. My last year return has this item!!!

It depends on how your contributions were made.

Most taxpayers contribute to their HSA by means of salary/payroll deduction through their employer. In this case, the HSA contributions (both your employer's and yours) are (1) listed in box 12 with a code of W on your W-2, and (2) removed from Wages in boxes 1, 3, and 5 on your W-2. This is why these contributions are not listed on line 12 on Schedule 1 (1040) - because you can't deduct something that was never in your income in the first place.

This means that these contributions were made with pre-tax dollars.

Some taxpayers make contributions directly to their HSA, not through the employer. These contributions are shown on Line 12 on Schedule 1 (1040), because these contributions are made with after-tax dollars.

As noted above, the pre-tax contributions should appear on your W-2 in box 12 with a code of W. Your after-tax contributions are entered on "Let's enter your HSA contributions" (see screenshot below) on the second line.

***Note***

There are a small number of cases where the employer does not follow the IRS directions to place the payroll deduction in box 12 with a code of W, but uses box 14 instead. In this case, the taxpayer has to ask the employer if the contribution was pre-tax or after-tax, because how it gets entered in TurboTax varies. If this is your situation, please comment below.

 

[Edited 3/31/2020 3:41 pm CDT - updated for 2019]

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