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1.
Personal contributions to health savings accounts reduce your taxable income when computing your federal income taxes.
True.
2.
If you contribute to your health savings account via payroll deductions at work, which of the following situations will occur?
No income tax or FICA tax on the contributed amount. This is a benefit of making contributions through your workplace. If you contributed outside of work, you would get only the income tax reduction and not the FICA reduction.
3.
If you do not have HSA-qualified coverage for the entire year, you may still contribute the maximum amount for the year no matter when your coverage begins or ends.
False. If you are not eligible for an HSA for the entire year, you may have to pro-rate your contributions. If you do not have HSA-qualified coverage on December 1, you cannot contribute the full annual amount under any circumstances.
4.
Individuals age 55 or older may contribute more to an HSA than a younger person.
True. Individuals age 55 or older are eligible to make "catch-up" contributions.
5.
If both your and your employer's contributions to your health savings account do not add up to the maximum amount you are allowed to contribute, you can still contribute more on your own, up to the limit allowed.
True. You may still contribute until you reach the limit.