What do I File HSA Under on Taxes?

When it comes to filing your taxes, you may be wondering where to report your HSA (Health Savings Account) contributions and withdrawals. Here's a simple guide to help you navigate this process:

1. Contributions: HSA contributions that you make are tax-deductible. You can typically report these contributions on your tax return under the 'adjustments' section.

2. Withdrawals: When you withdraw funds from your HSA for qualified medical expenses, these withdrawals are tax-free. You do not need to report them on your tax return.

3. Form 8889: If you have an HSA, you will need to fill out IRS Form 8889 along with your tax return. This form helps you report your HSA contributions, withdrawals, and any other relevant information.

4. Reporting Interest: If your HSA earns interest, dividends, or capital gains, you may need to report these earnings on your tax return. This information can typically be found on Form 1099-SA.

5. Keep Records: It's essential to keep detailed records of your HSA transactions, including contributions, withdrawals, and any earnings. This will help you accurately report this information on your tax return.

When it comes to your taxes, understanding how to report your HSA (Health Savings Account) is crucial. Make sure to categorize your HSA contributions correctly under the 'adjustments' section of your tax return, as all contributions you personally make are tax-deductible. This can significantly lower your taxable income!