Form 8889-S is a form 8889 that TurboTax generated for your spouse.
It did so presumably because your spouse has a code "W" in box 12 on the spouse's W-2. This code "W" indicates the contributions that the employer made and that your spouse made through a payroll deduction plan.
If you don't have a code "W" on your W-2 and did not enter a 1099-SA and have no idea why the software thinks you have an HSA, then do the following:
- Delete the 8889 form and related forms. Do this by going to My Account (at the top), click on Tools, then on Delete a Form.
- Delete any "Form 1099-SA" you see, as well as any "Form 8889-T" and "Form 8889-S".
On the other hand, if you or your spouse has a code "W" in box 12 on your W-2s but do not have an HDHP, then there are two possibilities:
- Your employer made a mistake in generating your W-2, and it needs to be corrected, or
- Your employer thought that you had an HSA, and you and your employer contributed to it even though you were not eligible.
In the latter case, then no contributions were allowed to the HSA, and you will have to take steps to correct this.
In TurboTax, you will need to answer that you weren't in an HDHP on December 1, 2016. This will bring up a screen that will ask you month by month what coverage you had (Self/Family/None). You would have to answer "None" for each month.
This will cause all of the contributions to be declared "excess contributions" and you will be asked if you will withdraw them all before April 18th. If you answer "yes", then the excess will be added back to Other Income on line 21 on page 1 of the 1040. Note: you will have to contact your HSA plan administrator immediately to withdraw the excess contributions.
When you do the final review, the software will tell you that you need to enter Self or Family in the 8889. You entered "None" as you recall. You can enter "Self" here because it will no longer matter - the excess contribution will have been handled correctly. The Review should now complete.
