Form 8889, Health Savings Account (HSA)
What is Form 8889?
If you have a Health Savings Account, either a personal account or through your employer, you will need to file form 8889 with your return if any of the following applies--
- You (or someone on your behalf, including your employer) made contributions for 2012 to your HSA.
- You received HSA distributions in 2012.
- You must include certain amounts in income because you failed to be an eligible individual during the testing period.
- You acquired an interest in an HSA because of the death of the account beneficiary.
Use Form 8889 to report your contributions, any distributions for medical purposes, and any non-medical related withdrawals.
What is a Health Savings Account?
A health savings account is a medical savings account for use in conjunction with a high deductible health insurance plan. Contributions made to this plan are tax free, up to a certain annual limit, when used to pay for medical expenses.
Filling out Form 8889 in TurboTax
If you have a Health Savings Account, just answer the straightforward questions in TurboTax and we will fill out the forms for you. You don't need to worry about any of the calculations, or if your contributions or withdrawals are tax free, we will figure it all out.
If you've already gone through the step-by-step interview and want to jump directly to the entry screen for this topic, follow these directions.
- Select the Federal Taxes tab (the Personal tab in the Home & Business edition).
- Select the Wages & Income subtab.
- Scroll down the Wages & Income screen until you see the Less Common Income group.
- Click on the Start/Update button to the right of the 1099-SA, HSA, MSA category.
- Follow the prompts.
What if my spouse also contributed to an HSA?
If both you and your spouse contributed to a Health Savings Account, on the initial screen of the interview, select the type of account for both you and your spouse. TurboTax will then walk you through step-by-step entering the information for both.
What is a high-deductible health plan (HDHP)?
Generally, a high-deductible health plan (HDHP) is a health insurance plan with lower premiums and higher deductibles than a traditional health plan.
To be eligible to have contributions made to your HSA, you must be covered under a high deductible health plan (HDHP) and have no other health coverage except certain permitted coverage.
For more information regarding a high-deductible health plan, see IRS Publication 969.
If you need to correct or change any information you have entered on your 8889, the steps you take depends on if you have already filed your tax return.
- If you have yet to file your return, simply follow the navigation instructions above, and correct or change your information.
- If you have already filed your return, you will need to amend your return. Please click here for instructions.
For questions about printing, please click here.
If you have questions about the availability of form 8889, please click here.