Web5 sep. 2024 · The amounts contributed must meet the nondiscrimination requirements for IRS Code Section 125 plans. An employer who chooses to make a contribution to employees’ HSAs post-tax, outside a cafeteria plan, has additional requirements they must meet. The employer contributions are subject to Comparability Requirements. Web19 sep. 2024 · Additionally, the HSA trustee or custodian reports the total amount contributed to an individual’s HSA on Form 5498-SA, HSA, Archer MSA, or Medicare Advantage MSA Information. HSA owners must report all HSA contributions on Form 8889, Health Savings Accounts (HSAs), and on Schedule 1 of Form 1040, U.S. Individual …
IRS Finalizes Regulations Regarding Employer Contributions to …
WebThe employee was never HSA-eligible 2. The employer contribution alone exceeds the employee’s statutory maximum annual contribution for the calendar year ... employer contributions are subject to comparability rules. Under these rules, employers can divide their employee populations into no more than three classes: full-time, part-time, ... WebIRS Issues More Guidance on HSA Comparable Contribution Requirements. The IRS on April 16, 2008 issued final regulations on two minor -- but important -- issues relating to applying the health savings account (HSA) employer comparable contribution requirements. 73 FR 20794 (April 17, 2008). Specifically, the final regulations provide a … black owned lawn care richmond va
PayTech: Blog - 5 Important HSA Employer Contribution Rules …
Weband can instead satisfy the comparability rules by prorating employer contributions using the default monthly contribution rule (see Box 6 for further discussion). An employer, however, must treat all comparable mid-year enrollees the same. Special Rules for Qualified HSA Distributions. If an employer offers Webthe comparability rules and applies to all contributions made through a Section 125 plan. This exception allows for some planning opportunities, where employers may use a Section 125 plan rather than contribute directly to the employees’ HSAs, in order to avoid the comparability rules. Second—Are Employees Properly Categorized? WebThe comparability rules continue to apply with respect to contributions to the HSAs of all nonhighly compensated employees. Employers must make comparable contributions for the calendar year to the HSA of each nonhighly compensated employee who is a comparable participating employee. gardiner wilson funeral home obituaries