HSA, Code W and payroll reduction?

[thingamabobs]

Sorry, yet another HSA question.

We contributed the max amount to HSA through payroll for 2015. For my W2 it lists in Box 12: W 6,650.00

My question is should I also see the $6650 reduced from Box 1? I'm just not getting where the pre-tax part comes in.

Thanks!

[terran]

Yes, I believe box 1 (as well as 3 and 5) should have been reduced to reflect your HSA contributions. This might not include all of box 12 if your employer makes some HSA contributions in addition to your contribution. This is how my wife's W2 is with box 12 and code W.

[MDM]

Sorry, yet another HSA question.

We contributed the max amount to HSA through payroll for 2015. For my W2 it lists in Box 12: W 6,650.00

My question is should I also see the $6650 reduced from Box 1? I'm just not getting where the pre-tax part comes in.

What do you think the number in Box 1 should be, and how does that compare with what is there?

[thingamabobs]

My Box 1 is $18K less than Box 5 for my 401K contribution. That is the only reduction that I see. Should Box 1 be $24,650 less than Box 5 if I maxed out both?

[Paul der Krake]

My Box 1 is $18K less than Box 5 for my 401K contribution. That is the only reduction that I see. Should Box 1 be $24,650 less than Box 5 if I maxed out both?

Box 5 should already be your gross minus $6,650.

HSA contributions are deducted from SS wages and Medicare wages (box 3 and 5, respectively), but the 401(k) contributions aren't.

To recap: if your gross is 50,000, and ignoring the "smaller" deductions like health and disability and whatnot:
Box 1 = 50,000 - 18,000 - 6,650 = $25,350
Box 3 = 50,000 - 6,650 = $43,350
Box 5 = 50,000 - 6,650 = $43,350

[MDM]

My Box 1 is $18K less than Box 5 for my 401K contribution. That is the only reduction that I see. Should Box 1 be $24,650 less than Box 5 if I maxed out both?

HSA contributions taken directly from your pay are subtracted before SS and Medicare wages (Box 5) are calculated.  Then 401k contributions are subtracted before your reportable wages (Box 1) are calculated.

Box 5 - Box 1 = $18K, if 401k and HSA contributions were the only pre-tax items, is correct.

What do you think the number in Box 5 should be, and how does that compare with what is there?

[thingamabobs]

Ah! thank you! Yes, so turns out the W2 is correct as the amount in Box 5 has already subtracted out my HSA contribution.