Form 8889 is reflecting excess contributions after showing distribution of excess contributions

Forum|Forum|4 years ago
May 30, 2022
5 replies
41 views

Taxpayer & Spouse both have HSa's. Taxpayer has self only coverage and is over 50 and contributed $4600 on W-2. Spouse has family coverage under HSA and erroneously contributed 7066 during 2021, but took out the excess of 3466 in February 2022. On the 8889-T. Line 1 is marked self-only, there is 4600 on line 2 flowing from the W-2, Line 6 Smart Worksheet, I entered the 3600 on line C to allot that to spouse. Now there is 4600 reflected on 5329-T as excess contributions and I don't know why.

8889-S has family coverage marked, 3600 on line 2, line 6 has 3600,Line 12 smart worksheet has the 7066 total contributions and the 3466 removed after year end, and shows 0 excess contributions. The Form 5329-S reflects 3600 excess contributions on line 47 and I dont know why.

What do I need to do to correct?

ProSeries Professional

This topic has been closed for replies.

Best answer by saspengren

Thanks so much for your help! I had entered duplicate contributions on line 2 on both T and S Form 8889's.

qbteachmt

Level 15

I don't understand the "allot to spouse" on the T form; this article might help:

https://proconnect.intuit.com/support/en-us/help-article/form-1099/common-questions-form-8889-proseries/L8WusEHIi_US_en_US

Don't yell at us; we're volunteers

S

saspengrenAuthor

Level 3

Thanks for the message and link to article but unfortunately it doesn't really help. The "allot to spouse" on the 8889 T is in the smart worksheet. Supposedly you can allot a portion of the family limit of 7200 to the other spouse and that's what I thought I did.

qbteachmt

Level 15

You should not be alloting a limit; the program will compute the allowed limit based on coverage type. You make sure each person's form has the appropriate coverage selected, their contribution amount (not limit amount) assigned, and don't enter something that already is on a W2, keeping in mind that an employer amount is considered the same as an employee amount.

Without seeing these forms, it would seem you have duplicate entries across the two forms.

Don't yell at us; we're volunteers

Just-Lisa-Now-

Intuit Community Champion

"there is 4600 on line 2 flowing from the W-2,"

Line 2 of the 8889 does NOT flow from the W2, Line 2 is for contributions made outside of payroll, you would have incorrectly input that yourself.
Remove that Line 2 amount and see what happens.

♪♫•*¨*•.¸¸♥Lisa♥¸¸.•*¨*•♫♪

S

saspengrenAuthorAnswer

Level 3

Thanks so much for your help! I had entered duplicate contributions on line 2 on both T and S Form 8889's.

Sign up

Login with SSO

Let's get you signed in

Login with SSO