What this line means
Your maximum deductible HSA contribution after subtracting employer contributions from your overall limit. This is the contribution limit (line 3 plus the line 4 catch-up amount, if applicable) minus the employer contributions already excluded from your income on line 2. If your employer already contributed up to the limit, this number is zero — you get no additional deduction. 1
Does this apply to you?
- You made personal HSA contributions (line 1) and need to know how much you can deduct
- Your employer contributed to your HSA and you want to confirm how much room is left for your own deductible contributions
- You are age 55 or older and included the $1,000 catch-up amount on line 4
Easy to overlook
The catch-up contribution increases your limit, not a separate deduction If you are 55 or older by the end of 2025, you can contribute an extra $1,000 beyond the standard limit. This catch-up amount is added on line 4 before subtracting employer contributions. Filers sometimes forget to include line 4 when calculating line 6, shortchanging their deduction by $1,000. 2 IRS Form 8889 instructions — Line 6
Job changes can push combined contributions over the limit If you had two employers in 2025 and both contributed to your HSA, the combined Box 12 Code W amounts from all your W-2s count against the single annual limit. The second employer does not get its own separate limit. Filers who changed jobs mid-year sometimes exceed the cap without realizing it because each employer’s plan operated independently. 3 General filing pattern — excess HSA contributions from multiple employers
Watch out for this
If line 2 (employer contributions) exceeds the total of line 3 plus line 4, your maximum deductible contribution is zero — but you also have excess contributions. Excess contributions are subject to a 6% excise tax reported on Form 5329 for every year the excess stays in the account. You must withdraw the excess (plus any earnings on it) before the tax filing deadline to avoid the penalty.
Footnotes
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IRS Form 8889 Instructions, Line 6. https://www.irs.gov/pub/irs-pdf/i8889.pdf ↩
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IRS Form 8889 Instructions, Line 4 — Additional Contribution. https://www.irs.gov/pub/irs-pdf/i8889.pdf ↩
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IRS Publication 969, Health Savings Accounts, Employer Contributions. https://www.irs.gov/pub/irs-pdf/p969.pdf ↩