Calculation of excess

[Mobility5454]

I ended up taking Medicare at age 65 even though I'm still working, not realising that I couldn't continue adding to my HSA.  

When I work in Trubo Tax to calculate the excess, it appears to simply average my contributions to my HSA.  However, my company put their part in during the first half of the year when I was still eligible.  So TT is taking out too much as excess contribution.  But the software won't let me change the amount to what it should be.  How do I do that?

[RalphH1]

The TurboTax program calculates your allowable (and excess) HSA contribution using the IRS’s “Line 3 Limitation Chart and Worksheet” (seen here). I’m not completely clear what you mean when you say it’s just averaging your contributions, but the actual calculation could be described that way, as the allowable amount for each month is added and the total divided by 12 to get your contribution max for the whole year (with the actual timing of the contributions being irrelevant).

However, @Mobility5454, If I misread your post and you already understood this and were saying that the program is doing it differently, let’s find out what’s going on! How many months in 2022 were you covered by Medicare, and what was your total contribution amount? (And did you have an individual or family high-deductible plan?)

There’s no way to just change the program’s HSA result at the end, but I or someone else here in the Community can discuss what may need to be tweaked if the correct result isn’t happening...

[Opus 17]

Your annual contribution maximum is a dollar figure, it doesn't matter when in the year you make the contributions.  You can even contribute after your 65th birthday, as long as the total is not more than your contribution limit.

Your contribution limit is $387.50 for each month that you were not enrolled in Medicare if you are covered by a single HDHP, or $691.66 for each month if you were covered by a family HDHP.  Those limits include your additional $1000 catch-up contribution after age 55. 

If you contributed more than the total allowed based on your enrollment, that must be removed or it is subject to a 6% penalty.