What are the rules regarding contributions to an HSA?
For an HSA established under an employer’s plan, the employer, the employee or both may contribute to an employee HSA. For an HSA established by a self-employed or unemployed individual, the individual contributes. Family members also may make contributions to an HSA on behalf of another family member (presuming, of course, that the other family member is otherwise eligible to have an HSA). Contributions to an HSA are deductible, whether or not deductions are itemized on an individual’s federal tax return. Contributions made by a family member on behalf of an individual are deductible by the individual. When an employer makes contributions to an employee’s HSA, they are treated as employer-provided coverage for medical expenses and are not included in the employee’s income. HSAs are “portable.” An account owner is not dependent on a particular employer to enjoy the advantages of having an HSA. Similar to owning an IRA, if the account owner changes jobs, the HSA goes with the individual
