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Why are my has contributions not showing as HSA deductions?

Why are my HSA contributions not showing as HSA deductions? I contributed about $4200 to my HSA in 2018, which shows on my 1099-SA. I have entered the 1099-SA, however there is nothing showing on the Deductions screen for HSA deductions.

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4 Replies

Why are my has contributions not showing as HSA deductions?

If the HSA contributions were made thru the payroll system and reported on the W-2 box 12 code W then you already got the deduction ... you do not get it again.

Why are my has contributions not showing as HSA deductions?

A 1099-SA reports DISTRIBUTIONS, not CONTRIBUTIONS.  So entering the 1099-SA for the same amount as the contribution shouldn't affect anything, assuming that you told TurboTax that the distributions were all used for qualified medical expenses.

Why are my has contributions not showing as HSA deductions?

Both comments above are correct, but let me explain a little further.

If the contributions to your HSA are through your employer (whether your employer made them or you did through payroll deduction or both), this amount is reported with code W in box 12 of your W-2.

Before the employer prints the W-2, the employer removes the code W amount from Wages in boxes 1, 3, and 5. This is why you don't see a deduction for this amount - because it was never in your income in the first place.

HSA contributions through the employer are a deferral, not a deduction - that it, taxes are deferred until some later date (and as TomYoung alludes to, if the HSA money is spent on qualified medical expenses, it is never taxed at all).

Only if you make contributions directly to the HSA (not through your employer) will a deduct appear on the return - in line 25 on Schedule 1 (Form 1040).

Why are my has contributions not showing as HSA deductions?

Yes.  It should already be deducted.  However, in my case it was not.  I know both my base pay and any bonuses/awards added and totals the correct Gross Income wages typically shown on W2 box 5.  This is without knowing what level I would contribute to the HSA for the year so the salary is not based on a guess at what I would contribute to the HSA.  The 401K was deducted,  box 12 D, but not the HSA  box12 W from the Gross Income.   How would I deduct the HSA I contributed?

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