The IRS Says You Have Until July 15 To Make 2019 HSA Contributions
The Internal Revenue Service has clarified that the deadline for making Individual Retirement Account and Health Savings Account contributions for the 2019 tax year has been extended to July 15, 2020. That’s the new deadline for filing and paying taxes for the 2019 tax year, pushed back from April 15, 2020, as COVID-19 continues to impact the United States.
That’s welcome news, giving taxpayers two months extra to beef up retirement savings. Early reports online suggested that despite the new tax day deadline, the April 15 deadline would still apply to IRA contributions. But the tax code says the contribution deadline is the tax filing date, so since the filing date has been extended, the contribution deadline is extended.
Here’s the official word from the IRS from its Filing and Payment Deadlines Q&A:
Q21. Does this relief provide me more time to contribute money to my HSA or Archer MSA for 2019?
A21. Yes. Contributions may be made to your HSA or Archer MSA, for a particular year, at any time during the year or by the due date for filing your return for that year. Because the due date for filing Federal income tax returns is now July 15, 2020, under this relief, you may make contributions to your HSA or Archer MSA for 2019 at any time up to July 15, 2020.
The maximum amount you can contribute to an HSA is $3,500 for individual coverage or $7,000 for family coverage (you have to have a qualifying high deductible health plan to open one of these triple tax-advantaged accounts).
You may contribute to your HSA by transferring from your personal bank account, and then report that contribution on your tax returns to claim your deduction at tax filing time by following the steps below.
- To make a personal contribution from a personal banking account to your HSA, you may select the link in the “I want to…” section, Make HSA Transaction.
- If you have a bank account on file, you may use that as your contribution account. If you do not then there is a link to add a new bank account.
- You may make a one-time or recurring contribution as you wish! Complete the transaction information and follow the remaining steps of the online HSA transaction wizard.
- The debit will hit your personal bank account within 2 business days of your request, and the money becomes available in your HSA shortly thereafter.
If you have any questions regarding 2019 contributions or the status of your account, please contact Pro-Flex directly at csr@proflextpa.com or 1-855-847-9069.
