Employer deducted my HSA contribution but it does not show in line 12 W

[JQ6]

Hello, 

Have a question about my HSA contribution if someone can guide me..

My employer made HSA contribution on my behalf as it shows that amount in the 5498-SA that I received from the company who manages the HSA account. But in the W2 received from the employer, it does not show any 12W amount .  When I entered all the lines from W2 in Turbotax, while working on the deductions it shows I did "not" make any HSA contribution. Should I enter the amount from 5498-SA as HSA contribution I made on my own?

[Mike9241]

if the employer made the HSA contribution out of its own funds and/or deductions from your paychecks, the employer must report those contributions on 12W. contact your employer for a corrected W-2.  that amount would flow to form 8889 which you would need to complete.  without a corrected W-2 you can expect a letter from the IRS. any amount taken from your paychecks to fund the HSA is supposed to reduce taxable wages in box 1 so you might want to check to see if box 1 is correct. other items like your contributions to an employer-sponsored retirement plan can also reduce box 1 wages.

[dmertz]

If the employer won't correct the W-2, in TurboTax you can indicate that your employer told you about other HSA contributions and enter the amount the employer contributed on your behalf for 2022.

[JQ6]

Hello Mike9241,

Your response is much appreciated - Thank you! 

I've reached out to this former employer and have not head back. Its a small company and their payroll is processed by ADP. I'm wondering if I reach out to them if they will be more responsive. I can't imagine a large and well establish company like ADP would make such an error.

[JQ6]

Hello demertz,

Thanks for your reply, much appreciated. Where in Turbotax can one put that note you mentioned? will that also be submitted to IRS or is it a note just for myself?

[dmertz · Accepted solution]

There is no note.  In the HSA section TurboTax simply allows you to indicate amounts that were omitted from your W-2 so that they will appear on Form 8889 as employer contributions.

Note that in addition to including the contribution with code W in box 12 of your W-2, the employer should not have included this amount in box 1 of your W-2.  (If the employer included this amount in box 1, you could simply indicate that the amount was a personal contribution and receive a deduction for the contribution.)

[JQ6]

Hello dmertz,

Thanks for all your help!

Per your note...  "Note that in addition to including the contribution with code W in box 12 of your W-2, the employer should not have included this amount in box 1 of your W-2.  (If the employer included this amount in box 1, you could simply indicate that the amount was a personal contribution and receive a deduction for the contribution.)

I studied the end of year pay stub and the HSA contribution amount is deducted from the gross and the SS and Medicare tax is applied after that deduction. Also, in the HSA deduction is classified as pre-tax. If that's the case, then HSA contribution should be in box 12W. I have reached out to this former employer but they are not responding. ADT does the processing of their payroll and also issues the W2, so it's hard for me to imagine that ADT would have not caught this, if this indeed is incorrect. Any final thoughts? I do appreciate your help!  

[AbrahamT]

As dmertz mentioned earlier, in that case indicate the amount that the employer deducted from your wages towards the HSA plan in the HSA section of Turbotax . Keep a a copy of your year end paystub for your record showing the amount of the contribution as proof if this ever comes up as an issue down the road.