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# What is maximum HSA deduction in 2018 for family coverage over 55 but one member will be covered by Medicare Part A in March 2018?

I will turn 65 next March and will have to enroll in Medicare Part A. I will still be working and covered under my company's medical plan as well. What is my maximum allowable HSA contribution for family coverage in 2018 limited to \$1,16.67 i.e., (6900+1000) x 2/12? Does it matters that my wife will still be under 65?"

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Level 15

## What is maximum HSA deduction in 2018 for family coverage over 55 but one member will be covered by Medicare Part A in March 2018?

The maximum you can contribute to your HSA is (\$6,900 regular family contribution + \$1,000 catch-up contribution) * 2  / 12 = \$1,316.67.  Assuming that your wife is an eligible individual the entire year, the maximum that your wife can contribute to her HSA is \$6,900 regular family contribution + \$1,000 catch-up contribution = \$7,900.  However, the maximum combined regular family contributions to both HSA accounts cannot exceed \$6,900

To contribute the maximum, you would have to contribute your eligible catch-up of  \$166.67 to your HSA, your wife would have to contribute her full \$1,000 catch-up to her HSA, and you would have to contribute between \$0 and \$1,150 of the regular family contribution to your HSA and your wife would have to contribute the remainder of the \$6,900 regular family contribution to her HSA.  The total of the contributions to your HSA and her HSA will be \$166.67 + \$1,000 + \$6,900 = \$8066.67.

Your employer should allow your contributions to be split to the payroll deductions between your HSA and your wife's HSA as needed to maximize the HSA contributions.  If you instead contribute directly to the HSAs, the amount of the contributions made directly will not be excluded from the amount on which your Social Security and Medicare taxes are determined.

3 Replies
Level 15

## What is maximum HSA deduction in 2018 for family coverage over 55 but one member will be covered by Medicare Part A in March 2018?

The maximum you can contribute to your HSA is (\$6,900 regular family contribution + \$1,000 catch-up contribution) * 2  / 12 = \$1,316.67.  Assuming that your wife is an eligible individual the entire year, the maximum that your wife can contribute to her HSA is \$6,900 regular family contribution + \$1,000 catch-up contribution = \$7,900.  However, the maximum combined regular family contributions to both HSA accounts cannot exceed \$6,900

To contribute the maximum, you would have to contribute your eligible catch-up of  \$166.67 to your HSA, your wife would have to contribute her full \$1,000 catch-up to her HSA, and you would have to contribute between \$0 and \$1,150 of the regular family contribution to your HSA and your wife would have to contribute the remainder of the \$6,900 regular family contribution to her HSA.  The total of the contributions to your HSA and her HSA will be \$166.67 + \$1,000 + \$6,900 = \$8066.67.

Your employer should allow your contributions to be split to the payroll deductions between your HSA and your wife's HSA as needed to maximize the HSA contributions.  If you instead contribute directly to the HSAs, the amount of the contributions made directly will not be excluded from the amount on which your Social Security and Medicare taxes are determined.

New Member

## What is maximum HSA deduction in 2018 for family coverage over 55 but one member will be covered by Medicare Part A in March 2018?

Where did the \$166.67 come from?  Is there anything significant about \$1,150 or than this figure plus \$166.67 adds up to \$1,316.67. If my employer deducts \$8,066.67 from my pay, it needs to go into separate HSAs; one for me and one for my wife.  Is that correct?    If my employer will not open up a second HSA, then I would have to open up a separate HSA for my wife and contribute directly.   Is that correct?   If so, does that means that I would receive the benefit of reduced federal income tax but not SSA and Medicare tax.   Do I need to make all of my contributions by February 28?
Level 15

## What is maximum HSA deduction in 2018 for family coverage over 55 but one member will be covered by Medicare Part A in March 2018?

Your maximum regular contribution to your HSA account is \$6,900 * 2 / 12 = \$1,150
Your maximum catch-up to your HSA account for 2 months of HSA eligibility is \$1,000 * 2 / 12 = \$166.67
Your wife's maximum regular contribution to her HSA account is \$6,900 minus whatever amount of regular contribution you contribute to your HSA.
Your wife's maximum catch-up contribution to her HSA account is \$1,000.