The Money Mustache Community

Learning, Sharing, and Teaching => Ask a Mustachian => Topic started by: boarder42 on October 14, 2014, 08:31:33 AM

Title: quick HSA question
Post by: boarder42 on October 14, 2014, 08:31:33 AM

If my employer contributes 1k to my wife and I's HSA can we only contribute $5,550

Title: Re: quick HSA question
Post by: Pooperman on October 14, 2014, 08:58:10 AM

Correct. Also, you can only deduct $5,550 from your income (the company will be able deduct $1,000 from its income from that contribution).

Title: Re: quick HSA question
Post by: mozar on October 14, 2014, 06:57:20 PM

OK, so piggy back here. My employer deposits $250 a yr to my hsa, that means I can only deposit $2500?

Title: Re: quick HSA question
Post by: Pooperman on October 14, 2014, 07:04:21 PM

Employee + employer contribution cannot exceed whichever amount per year is allowed (single vs family). The amount each party contributes is tax deductible for the respective contributor. Three states tax hsa contributions: Alabama, California, and New Jersey.

Title: Re: quick HSA question
Post by: mozar on October 14, 2014, 07:24:10 PM

D'oh! Gotta change my hsa next year. This year is OK because I just started.

Title: Re: quick HSA question
Post by: Sylly on October 15, 2014, 02:11:09 PM

More piggy-backing..

My insurance goes from June to May. HDHP plan first became available this year, so I became eligible for HSA in June. From what I can find, in general the contribution limit is prorated, which would make my limit 1650. But, there's the Last Month exception, where if I'm HSA eligible on Dec 1, 2014 and continue to be eligible until Dec 31, 2015 (which I plan to be), I can contribute the full amount, 3300.

So am I correct in thinking my contribution limit is 3300? or is it actually 1650?