In Deductions & Credit Section / Your Tax breaks: My HSA Tax Break show $0. Should be $1500.00. 1099-SA entered accruately. Deleted /re-entered. Still shows $0 Benefits?

Forum|Forum|11 months ago
April 9, 2025
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KeshaH

The 1099-SA shows distributions. Did you contribute to your HSA through an employer or independently? Does your W-2 show a code W in box 12? Did you go through the screens asking if you were covered under a high deductible health plan and for which months?

blake_frankAuthor

Thank you for your help Kesha! I contributed to an HSA through my Employer. Yes I have on my W2 Box 12 a "W" with an amount of $1500.06. I answered all questions and enrolled in a high deductable Plan and participated the full 12 months of the year Jan-Dec. I deleted my entry and re-entered making sure I did not make a mistake there. Thanks again for your help! Frank Blake

BillM223

When your employer creates a W-2 with a code W in box 12, then the employer removes the code W amount from Wages in boxes 1, 3, and 5. That is why you don't appear to get a deduction for this - because these contribution were never in your income in the first place.

If, however, you made direct contributions to the HSA custodian, then this amount is considered a "deduction" and is reported on line 13 on Schedule 1 (1040).

However, please do not confuse these direct contributions with contributions by means of payroll deductions. Contributions by means of payroll deduction are part of the code W amount. You must not enter these contributions anywhere else in the HSA interview.

Very confusing but that is how the IRS set it up.

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blake_frankAuthor

I figured it out. I didn't enter the amount of what I personally contributed to the HSA Plan. It was $0 and should have been the amount I paid into the Plan individually. Maybe this may help someone else. Thank you Kesha.