Based on reality, with the numbers changed to make arithmetic easy.
Company has a high-deductible medical plan for employees. Employee nominal base pay is $100,000.
Company contributes $1,000 to HSA for employee. Employee contributes $2,000 via payroll deduction.
Employee's W-2, Box 1, says $98,000. What should go in Box 12, with code W "Employer contributions to Health Savings Account"? What should the employee report as employee contributions (Form 8889, line
2)?(I suspect my W-2 got it wrong.)
Seth