I had an automatic contribution to my HSA set up, and forgot about it. When the new year came, my health coverage changed, and I'm currently not eligible to contribute to the HSA, but an automatic contribution went through.
How can I withdraw that money without receiving a penalty? Is it possible?
An answer to this question Can I get a rebate after using my HSA? discusses how to redeposit money accidentally withdrawn.
The link to https://www.americafirst.com/about/help/faq/health-savings.cfm in the answer also includes this FAQ:
What if I contribute into my HSA more than my yearly limit allows? If nothing is done about this excess contribution then there will be an excise tax of 6 percent assessed by the IRS. You are able to avoid this penalty as long as you distribute the excess before the tax filing deadline including any extensions. Any of our many America First branches can help you fill out the appropriate paperwork to get this taken care of so you avoid this tax.
contact the institution where the funds are deposited and ask for help reversing the deposit.
