Join Early Retirement Today
Reply
 
Thread Tools Search this Thread Display Modes
Need confirmation: TIRA W/D, HSA, and ACA income
Old 10-15-2021, 02:54 PM   #1
Full time employment: Posting here.
Carpediem's Avatar
 
Join Date: Aug 2016
Posts: 725
Need confirmation: TIRA W/D, HSA, and ACA income

Looking for some confirmation on the following:

- First year on ACA and attempting to manage income for subsidies - staying in the $60-$65k range.

- Currently have a Fidelity HSA, which I haven't added to this year yet. Looking to add $8k to it.

- I would withdraw from my TIRA and make an HSA contribution in the same amount. Let's say that my 'ACA income' is currently $60k-$65k and I want to make a $8k contribution to my HSA.

- If I withdraw $8k and make a $8k contribution to HSA, am I still okay if my 'ACA income' is currently in the $60-$65k?

(I know what I'm trying to ask - I just don't say it very well! )

Thank you!
__________________
Retired: July 5, 2019

Seize the day....Soli Deo gloria
Carpediem is offline   Reply With Quote
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!

Old 10-15-2021, 02:58 PM   #2
Administrator
MichaelB's Avatar
 
Join Date: Jan 2008
Location: Land of Florida Man
Posts: 35,677
Yes, when you withdraw the $8k from the tIRA it is taxable income, and when you add the $8k to your HSA it reduces your MAGI by the same amount, so the net is 0.
MichaelB is offline   Reply With Quote
Old 10-15-2021, 03:04 PM   #3
Full time employment: Posting here.
Carpediem's Avatar
 
Join Date: Aug 2016
Posts: 725
Awesome, that's what I thought. Thanks, Michael!
__________________
Retired: July 5, 2019

Seize the day....Soli Deo gloria
Carpediem is offline   Reply With Quote
Old 10-18-2021, 11:45 PM   #4
Dryer sheet aficionado
 
Join Date: Jun 2021
Posts: 35
I guess this is the case for OP but I believe you actually need to be enrolled in a HDHP to do this?
GoodbyeYellow is online now   Reply With Quote
Old 10-19-2021, 12:48 AM   #5
Thinks s/he gets paid by the post
teejayevans's Avatar
 
Join Date: Sep 2006
Posts: 1,613
Quote:
Originally Posted by GoodbyeYellow View Post
I guess this is the case for OP but I believe you actually need to be enrolled in a HDHP to do this?
Yes.

You can also do a one time direct IRA to HSA rollover.
teejayevans is offline   Reply With Quote
Old 10-19-2021, 07:15 AM   #6
Full time employment: Posting here.
Carpediem's Avatar
 
Join Date: Aug 2016
Posts: 725
Quote:
Originally Posted by teejayevans View Post
Yes.

You can also do a one time direct IRA to HSA rollover.
Thanks for mentioning the direct IRA to HSA rollover. I had been wondering about that because VG will withhold taxes when I withdraw from my IRA, which I don't want in this situation.
__________________
Retired: July 5, 2019

Seize the day....Soli Deo gloria
Carpediem is offline   Reply With Quote
Reply


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
Roth conversion with TIRA and non-deductible TIRA fh2000 FIRE and Money 15 10-11-2019 12:07 PM
Enrolled 3 days ago in ACA, no email confirmation yet John Galt III Health and Early Retirement 7 12-15-2014 08:43 PM
Planning to Retire in January. Looking for Confirmation... mich1997 FIRE and Money 8 06-30-2013 07:57 AM
non eligibility for HSA confirmation ratface Health and Early Retirement 2 03-24-2009 10:03 AM
Anybody do Confirmation, Agility or Obedience with their dog? John Tuttle Other topics 8 03-06-2007 08:03 PM

» Quick Links

 
All times are GMT -6. The time now is 01:26 AM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2021, vBulletin Solutions, Inc.