Have a Tax Question? Ask a Tax Expert
The IRA to HSA transaction must be done as a direct transfer. That means the IRA assets must move directly to theHSA and cannot be paid to the IRA owner. A common approach is for you to request and complete a “transfer form”from your HSA provider. The HSA provider forwards the form to the IRA provider. The IRA provider then writes acheck directly to the HSA provider for the benefit of the HSA owner and sends the check directly to the HSA provider.The rules permit the IRA/HSA owner to hand carry a check made payable to the HSA custodian or trustee.
Also note that this is not tax deductible but ISD subject to the limits
sorry fot the typo ..."IS" subject to the annual limit
That part I understand. My Question is, how can I make this contribution at the higher family level if I am the owner of the HSA. Or, how can I make my HSA a family HSA?
You'll have to talk to the provider (custodian, the bank or brokerage platform where your plan is now) ... SOme custodian will allow for an amendment, and some will have you simply open a family plan account with a different number
once ou have that account open you simply do the trustee to trustee transfer (be sure not to take constructive receipt)
OK. So to be sure that I am clear, my HSA custodian must either allow me to amend my existing HSA to a family plan, or open a new family HSA?
Your custodian (FOR THE HSA) will have the transfer paperwork ... they are the onse that start the process (Veru mich like rolling the IRA to a different IRA provider) ... the receiving provider send the request to the IRA provider
On your question, yes, that's correct
You could even open a family plan somewhere else... as long as you qualify because of the health plan at work
OK, that is helpful.