Internal Revenue Service United States Department of the Treasury
Level Basic Advanced Military International

Health Savings Accounts (HSA)

Reporting HSA Contributions, Distributions, and Deductions

Form 5498-SA

Form 5498-SA shows the amount contributed during the year for any HSA, Archer MSA, or Medicare Advantage MSA. Generally, contributions made by the taxpayer or someone other than the taxpayer's employer are deductible on the taxpayer's tax return. In addition to being included on Form 5498-SA, employer contributions will also be shown on Form W-2, box 12, with code W. Contributions made by an employer are not included in the income of the taxpayer. Contributions to an employee's account by an employer using the amount of an employee's salary reduction through a cafeteria plan (also known as a "125 plan") are treated as employer contributions. HSA contribution limits are reduced by employer contributions.

Taxpayers will have excess contributions if the contributions are greater than the limits. Excess contributions will be included in income and are also subject to a 6% excise tax on the excess contributions. Excess contributions that are not withdrawn in a timely fashion, are out of scope for the VITA/TCE programs. Refer taxpayers in this situation to a professional tax preparer.

Tip

Form 5498-SA is issued by the HSA Trustee showing the amount of HSA contributions.

Caution

Taxpayers may not receive Form 5498 SA before the filing deadline, but they should have the information regarding contributions to their HSA.

Form W-2, focusing on Box 12 and Form 5498-SA.