What this line means
Your deductible contributions to a Health Savings Account (HSA), calculated on Form 8889. For 2025, the maximum contribution is $4,300 for self-only coverage and $8,550 for family coverage. If you are 55 or older by the end of the year, you can contribute an additional $1,000. You must have a qualifying High Deductible Health Plan (HDHP) to contribute to an HSA.
Does this apply to you?
- You are enrolled in a qualifying High Deductible Health Plan (HDHP)
- You made contributions to an HSA during the year, either through payroll deductions or direct deposits
- You are 55 or older and want to take advantage of the $1,000 catch-up contribution
- You are self-employed and contribute to your own HSA
Easy to overlook
Employer contributions through payroll are already excluded from your W-2 If your employer contributes to your HSA or you contribute through pretax payroll deductions, those amounts are already excluded from the wages shown in W-2 Box 1. 1 They appear in W-2 Box 12, Code W. Do not deduct these amounts again on line 13 — that would be double-counting. Line 13 is only for contributions you made with after-tax dollars outside of payroll. General filing pattern — employer contributions double-counted
The contribution limit is prorated if you did not have HDHP coverage all year If you enrolled in an HDHP partway through the year, your contribution limit is prorated by the number of months you had qualifying coverage. 2 The last-month rule is an exception: if you had HDHP coverage on December 1, you can contribute the full annual limit, but you must maintain HDHP coverage through the following December or include the excess as taxable income. IRS Publication 969 — Health Savings Accounts
Watch out for this
Contributing more than the annual limit. Excess contributions are subject to a 6% excise tax each year they remain in the account. If you contributed through payroll and also made additional direct contributions, the combined total must not exceed the annual limit ($4,300 self-only or $8,550 family for 2025, plus $1,000 catch-up if 55+). Remove excess contributions before the tax filing deadline to avoid the penalty.
Footnotes
-
IRS Publication 969, Health Savings Accounts, Employer Contributions. https://www.irs.gov/pub/irs-pdf/p969.pdf ↩
-
IRS Publication 969, Health Savings Accounts, Contribution Limits. https://www.irs.gov/pub/irs-pdf/p969.pdf ↩