I'm thinking about changing from my current plan to my company's HSA for 2008.
It would be my spouse and myself on the plan. Thus, as far as I understand it, the IRS allows us to contribute up to $5800 to the HSA for the year 2008.
Even so the IRS may allow this, my employer says they will not let me contribute that amount to the HSA. Instead, they are saying that I can only contribute up to the deductible of my plan, in the case of my employer's plan - $2,250.
I would love to be able to contribute $5,800 and not the $2,250, my employer's self imposed limit.
I showed my employer the IRS documents that say a person can contribute more than the deductible, and the employer is aware of it, but told me they decided to not let us do that even so the IRS says we can. The company had this policy in 2007 and continues it in 2008.
So my questions....
1. Can my employer limit my contribution to a limit lower than the IRS max?
2. As far as I know, I cannot contirbute additional post-tax money to get up to $5800 AND take the above the line deduction since my employer allows some contributions pre-tax - is that correct?
3. Can I say zero contributions to the plan and then do post-tax contributions of $5,800 to the HSA and take the above the line deduction?
Thanks everyone for your help.