Employers are required to report all employer and employee contributions made to Health Savings Accounts (HSAs) through payroll as a single aggregated amount on the employee’s form W-2 in Box 12 using the code W. These payments are made through payroll deductions.
- How Much Money Can You Put Into Your Health Savings Account Every Year?
- The Internal Revenue Service (IRS) establishes annual contribution caps on the maximum amount that may be put into a health savings account (HSA).
- These caps represent the maximum amount that you, your employer, and anyone else can put into an HSA.
- Limits on Contributions for the Year 2022: Individual: $3,650.
- $7,300 for the family
How do I report employer contributions to an HSA on W-2?
- You are required to record any and all payments made by an employer to a health savings account in box 12 of the W-2 form, using the code W.
- This includes any contributions made by an employee through a cafeteria plan.
- Employer payments to a health savings account (HSA) that are not exempt from inclusion in the employee’s taxable income are required to be reported in boxes 1, 3, and 5.
- (Check box 14 if you are subject to railroad retirement taxes.)
Where do I put my health savings account on my W-2?
Health savings accounts are denoted on your Form W-2 in Box 12 with the designation ″W,″ which covers any and all payments made by an employer to an employee’s HSA.
What is box 12 on W2 for HSA?
Contributions Made by the Company On the other hand, any and all payments made to your HSA by your employer need to be recorded in box 12 of your W-2 form with the letter ‘W.’ If the total of your contributions and the contributions made by your employer is more than the maximum amount that is permitted for the year, you will be subject to penalties for any excess withdrawals that you make.
Where does my HSA contribution go in my tax return?
The total amount that was donated to your HSA account by either you, your employer, or both of you should be entered into this box. In most cases, the total amount of pre-tax contributions made to your HSA, including any amounts you opted to contribute, is included under Code W in Box 12 of your tax return.
Where do I enter my HSA contribution?
- Activate the Medical submenu in the menu
- To begin, next to HSA, MSA Contributions, click the Start/Revisit button.
- Confirm that you are the owner of the account, and then click Continue
- Proceed through the displays until you reach the destination. Let’s enter your HSA contributions
- Put a halt to it. Do not input anything on this screen if all of your contributions were made through payroll deductions and reported on your W2
- Instead, skip this step.