HSA

[Tracy Lee]

Taxpayer husband's W2 shows Box 12 Code W  $8300.00 paid into for family HSA.  Taxpayers wife's W2 shows Box 12 Code W $2463.92 and Box 14 HSA $ 1572.00.

I have read Pub 969 but still feel confused about whether the wife can have employer and her own contributions to an HSA when the husband has a family HSA.

Both Employers also pay health insurance as well.  They have 4 children.

Can the wife still have her own HSA for a single person and a contribution of $4150.00?

[Tracy Lee]

My notes show wife pulled back out the $2434.00 on 1-15-2025 is there somewhere in ATX I should put this?

[jklcpa]

It hould be treated as if it never happened if withdrawal included earnings and by the date you said. 

Please see all of the  instructions for line 13 of the 8889. 

 https://www.irs.gov/instructions/i8889#en_US_2024_publink37971yd0e1392

[TexTaxToo]

To answer your first question, if one spouse had a family plan and the other spouse had a self-only plan all year, they are both treated as having had a family plan, and (assuming they are both below age 55) they can contribute a maximum of $8300 combined, but can allocate it any way they want between the two HSAs.

In your case, assuming that the wife's excess contribution was subtracted from box 1 on her W-2, you will have to include it (and any earnings) as other income.  It appears that she withdrew a bit less than the excess contribution.  Why was that?