I kept HSA account (call it 1st HSA) from previous employer because it had Vanguard options. I have HSA option (2nd HSA) with my current employer and had contributed to max in 2018.
Now just last month, I noticed there was maintenance fee on old HSA acct (1st HSA) because I used up the funds on investments and kept the min of 2k in the account. But later, I was told the min must be 5k, not 2k to waive the maintenance fee. The agent I spoke to - said to transfer 3k from external account and keep it fee free.
So I transferred 3k in HSA account from Ally. Today, I received tax info that I contributed 3k of HSA funds from previous employer. This is in addition to my regular contributions on 2nd HSA through current employer. Definitely, it means that I overcontributed my HSA by 3k for 2018.
Wondering how I should fix that before filing taxes....is paying 6% penalty the only option? Should I just close my first HSA to avoid the mess? Thanks.
Now just last month, I noticed there was maintenance fee on old HSA acct (1st HSA) because I used up the funds on investments and kept the min of 2k in the account. But later, I was told the min must be 5k, not 2k to waive the maintenance fee. The agent I spoke to - said to transfer 3k from external account and keep it fee free.
So I transferred 3k in HSA account from Ally. Today, I received tax info that I contributed 3k of HSA funds from previous employer. This is in addition to my regular contributions on 2nd HSA through current employer. Definitely, it means that I overcontributed my HSA by 3k for 2018.
Wondering how I should fix that before filing taxes....is paying 6% penalty the only option? Should I just close my first HSA to avoid the mess? Thanks.