My employer contributed $1200 and then I contributed the rest to complete the $3000 max. for 2018 in box 12 on my W2, it stated $1200 with the code of "W" and then box 14 states what I contributed. 2019's W2 is stating the full $3000 with the code of "W", but the same amount in box 14. This year's is showing no deduction. Has the HSA deduction changed, is there a type-o on the W-2, or is there something that I'm missing?
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All contributions made via payroll deduction are treated for tax purposes as if they were made by the employer. Box 12 code W should include the total of free money from the employer, plus employee contributions. Your employer is doing it correctly this year and incorrectly last year. Your voluntary contributions should not be included as part of your box 1 wages. (If your voluntary contributions are included in box 1 and box 12, your employer is still doing it wrong.)
Later in the program when you are asked for additional contributions, only list contributions that were made directly to the bank and not through payroll.
The 2019 W-2 should not have the box 14 amount, if the entire amount contributed by your employer and by you through payroll deduction was in box 12 with a code of W.
Most of the time, though, box 14 entries have no effect on your return, so if your employer removed (as they should have) the entire code W amount from Wages in boxes 1, 3, and 5, then don't even bother asking for a corrected W-2, just ask your employer to stop putting any part of the HSA contribution in box 14 since it is all in box 12.
My concern is with your 2018 return. While you are speaking to your employer, ask your employer if they removed the code W amount from Wages in boxes 1, 3, and 5 on our 2018 W-2, or if they removed both the code W amount and the box 14 amount.
If they removed only the code W amount, then you needed to manually enter your contributions on the "Let's enter [name]'s HSA contributions" screen on the second line where it asks for "personal" contributions.
But if they removed the entire amount from Wages in boxes 1, 3, and 5 (both the box 12 and the box 14 amounts), then you should NOT enter this as a personal contribution. Instead, on the screen in the HSA interview with the heading "Did your employer tell you about any other contributions", click "yes", which will expose three new lines.
On the line reading "Employer and payroll contributions not reported in box 12 on your W-2", enter your payroll deduction (the $1,800), and make sure that you remove the "personal" contribution.
Sorry to lay this on you, but it is possible that you did not do your 2018 return correctly, depending on what your employer did.
But going forward, if your employer puts the entire amount in box 12, removes the box 14 entry, and also removes the box 12 amount from Wages in boxes 1, 3, and 5, then all will be OK.
To be clear:
2019 is OK. Placing the amount in box 14 is technically wrong but has no effect on your tax return as long as box 1 and box 12 are correct.
For 2018, you might need to amend if your voluntary payroll deduction HSA contributions were not included in your box 1 wages (were removed from your pay pre-tax). If box 1 did not include those monies, then you took a double deduction (you deducted money from your income that was already not in your income) then you should amend and pay the extra tax.
The problem I'm see i
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