 |
HSA max includes employer contribution or not?
11-03-2016, 01:03 PM
|
#1
|
|
Thinks s/he gets paid by the post
Join Date: Mar 2013
Posts: 1,018
|
HSA max includes employer contribution or not?
Annual benefit revision (the LAST one for me!). Employer has bumped up their contribution $200. The max allowed is $6750 for 2017. So my max contribution should be $6750-<employer contrib.> ?? What would happen if I have our employer draw more than the equivalent of $6750-<employer contrib.>?
|
|
|
 |
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!
Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that Early-Retirement.org is a great community to join. Best of all it's totally FREE!
You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!
|
|
11-03-2016, 01:07 PM
|
#2
|
|
Thinks s/he gets paid by the post
Join Date: Feb 2014
Location: Williston, FL
Posts: 3,925
|
The max is the absolute max. That includes your contribution, plus the employers.
If you put too much in, you may get a penalty. Certainly you cannot get a larger tax deduction. I am not sure what happens if you put say $10K in the account only write off the legal limit. I think the honor system applies here.
__________________
FIRE no later than 7/5/2016 at 56 (done), securing '16 401K match (done), getting '15 401K match (done), LTI Bonus (done), Perf bonus (done), maxing out 401K (done), picking up 1,000 hours to get another year of pension (done), July 1st benefits (vacation day, healthcare) (done), July 4th holiday. 0 days left. (done) OFFICIALLY RETIRED 7/5/2016!!
|
|
|
|
|
11-03-2016, 01:12 PM
|
#3
|
|
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
Join Date: Mar 2016
Posts: 8,968
|
Form 5498-SA is issued to the participant and also to the IRS.
They will know if you're lying and send you a bill.
|
|
|
|
|
11-03-2016, 02:00 PM
|
#4
|
|
Thinks s/he gets paid by the post
Join Date: Mar 2013
Posts: 1,018
|
Ok, it makes sense to me now. I was thrown off that my wife (works for same megacorp as me) was "allowed" by the benefits app to choose up to $6550 annually, while the company kicked in $1200. But she is '57 and gets the extra $1000/yr "catch" up allowance for a total $7750/yr.
|
|
|
|
|
11-03-2016, 03:54 PM
|
#5
|
|
Thinks s/he gets paid by the post
Join Date: Jul 2007
Posts: 3,229
|
 Quote:
Originally Posted by doneat58
Ok, it makes sense to me now. I was thrown off that my wife (works for same megacorp as me) was "allowed" by the benefits app to choose up to $6550 annually, while the company kicked in $1200. But she is '57 and gets the extra $1000/yr "catch" up allowance for a total $7750/yr.
|
You do realize that the $6750 contribution limit is for both you and your wife combined, not each?
|
|
|
|
|
11-03-2016, 05:21 PM
|
#6
|
|
Thinks s/he gets paid by the post
Join Date: Dec 2014
Posts: 2,511
|
Quote:
Originally Posted by zinger1457
You do realize that the $6750 contribution limit is for both you and your wife combined, not each?
|
+1
on the over funding. I think you have a 6% penalty + you have to withdraw the overfunding + many HSA custodians will charge you a fee for procession the over funding correction. Do not do this "removing the over contribution " like a withdraw for medical expenses. You'll likely create more headaches for yourself.
On the "catch up provisions", each one eligible for contributing for the catch up provision must deposit said funds in an HSA in their own name.
|
|
|
|
|
11-03-2016, 06:58 PM
|
#7
|
|
Thinks s/he gets paid by the post
Join Date: Mar 2013
Posts: 1,018
|
Quote:
Originally Posted by zinger1457
You do realize that the $6750 contribution limit is for both you and your wife combined, not each?
|
Yes.. I am retiring at the end of the year, had been contributing to the HSA, so now we are shifting stuff over to her, Healthcare, HSA, Dental, etc. So she will be the only one contributing to the HSA. She will work another 3-4 year.
Thanks for the input, it is clear now.....
|
|
|
|
|
11-04-2016, 06:14 AM
|
#8
|
|
Thinks s/he gets paid by the post
Join Date: Dec 2014
Posts: 2,511
|
Quote:
Originally Posted by doneat58
Yes.. I am retiring at the end of the year, had been contributing to the HSA, so now we are shifting stuff over to her, Healthcare, HSA, Dental, etc. So she will be the only one contributing to the HSA. She will work another 3-4 year.
Thanks for the input, it is clear now.....
|
you do know that having earned income is not a requirement for funding an HSA. Having an HSA compatible insurance plan is. Now if you are 55 or older during next year and covered by an HSA plan, you could contribute your catch up to your account while you wife could contribute to hers.
|
|
|
|
|
|
Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
|
|
|
Posting Rules
|
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts
HTML code is Off
|
|
|
|
» Recent Threads
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
» Quick Links
|
|
|
Linear Mode
