The HSA Contribution Deadline for 2022 is the Tax Deadline (April 18, 2023)

When is the HSA Contribution Deadline for 2022? The Same Day as the 2023 Tax Deadline.

As a follow-up to my IRA contribution deadline post, I wanted to make sure that everyone also knows that the HSA contribution deadline for any given calendar year is also the same date as the tax deadline (typically April 15 of the next year, unless that day falls on a weekend or holiday, in which case it is pushed to the following week). Update: the 2022 HSA contribution deadline for 2022 contributions is the 2023 tax deadline date of Tuesday, April 18 of 2023, as April 15 falls on a Saturday (a weekend) and Monday, April 17 is Emancipation Day (a Holiday).

Until recently, I assumed that because my employer made payroll deductions for my HSA only through the end of the year, that the deadline for all HSA contributions was the end of the calendar year. That’s not the case. Contrary to popular belief, you can contribute to an HSA outside of an employer’s payroll deductions, and you can do it beyond the calendar year, up until the tax deadline.

HSA Contribution Deadline

Beyond providing additional time to save and contribute funds, this extended HSA deadline gives you even more opportunity to reduce your tax obligation at the last minute, while completing your tax return.

The fact that you have the option of contributing to both an IRA and/or HSA right up until the tax deadline is great, but it provides some interesting scenarios that get a bit complex, as I’ll detail below. Also, there’s a case to be made for front-loading your HSA contributions.

Should you Make an HSA Contribution or an IRA Contribution?

HSA contributions, like Traditional IRA contributions, are tax deductible, so long as you meet the HDHP requirements.

If you can afford to make the maximum HSA contribution and the maximum IRA contribution for a given year, then go for it! If not, you’re left with a choice: HSA contribution versus IRA contribution. The maximum HSA contributions are as follows:

2022 Maximum HSA Contribution Limits

  • Individual Plan: $3,650 (+$50 over prior year)
  • Family Plan: $7,300 (+$100 over prior year)

Note: The maximum HSA contribution includes both employer + employee contributions.

2022 Maximum IRA Contribution Limits

  • $6,000 if under age 50
  • $7,000 if age 50+ (with a $1,000 “catch-up” contribution)

2023 Maximum HSA Contribution Limits

  • Individual Plan: $3,850 (+$200 over prior year)
  • Family Plan: $7,750 (+$450 over prior year)

2023 Maximum IRA Contribution Limits

  • $6,500 if under age 50
  • $7,500 if age 50+ (with a $1,000 “catch-up” contribution)

If you’re not eligible for an HSA through a qualified health plan, that makes your choice simple – contribute to an IRA.

If you’re not eligible for a deductible Traditional IRA contribution, due to IRA income limits for those with an employer-sponsored retirement plan (such as a 401K) in the household – contribute to an HSA.

If you’re eligible for both, then what?

HSA and Traditional IRA contributions are both “above the line”, which means that you can claim a tax deduction for them even if you do not itemize your taxes and you take the standard deduction instead. Contributions to either will reduce your adjusted gross income on a dollar-per-dollar basis. So, this criteria is a wash.

All else being equal, HSAs are superior to IRAs because withdrawals for qualified medical expenses are tax-free (similar to Roth IRA withdrawals). Tax deduction and tax free withdrawals – you can’t beat that. This is why HSAs are my favorite type of retirement account.

HSA contributions, however, are not eligible for the Saver’s Credit because they aren’t officially recognized by the IRS as a retirement account, like a 401K or IRA is (even though you can withdraw HSA funds for anything starting at age 65). The Saver’s Credit is a government funded tax credit that matches a percentage of your retirement contribution, up to 50%.

So you’re left with a choice if you haven’t made Saver’s Credit eligible contributions already: tax-free withdrawals for qualified medical expenses (with HSA contributions) versus getting the Saver’s Credit (with IRA contributions).

Here are the tables for the IRA contributions:

2022 Saver’s Credit Amount

Credit Rate:Married Filing Jointly:Head of Household:All Other Filers:
50% of your contributionAGI less than $41,000AGI less than $30,750AGI less than $20,500
20% of your contribution$41,001 - $44,000$30,751 - $33,000$20,501 - $22,000
10% of your contribution$44,001 - $68,000$33,001 - $51,000$22,001 - $34,000
0% of your contributionAGI greater than $68,000AGI greater than $51,000AGI greater than $34,000

As a general rule, if you are eligible for a 20% or 50% Saver’s Tax Credit, choosing to contribute to the IRA over the HSA is probably the better move because your tax credit rate on your IRA contribution will be higher than your tax rate.

If you are eligible for a 10% Saver’s Tax Credit (or no credit at all), choosing to contribute to the HSA over the IRA is probably the better move because your tax credit rate on an IRA contribution would be lower than your tax rate.

How to Make an HSA Contribution Before the Deadline for the Previous Year

To make an HSA contribution for the previous year, you simply choose which year you would like to apply the contribution to within your HSA account.

If you didn’t know that all of this was a thing, don’t feel bad, you’re not alone. There are only 33 million Americans with HSA accounts in the U.S., and far fewer know that you can contribute to an IRA outside of payroll.

For more information, refer to the links in this article or IRS publication 969.

If you Get a Tax Extension, is the HSA Contribution Deadline Also Extended?

Normally, when you get a tax extension from the IRS, your return is due 6 months after the standard April 15 tax deadline. So, you may be wondering if you get a tax extension, does that also push the HSA contribution deadline back 6 months to the new extension deadline?

The answer is “no”. Individual tax extensions have no impact on an individual’s HSA contribution deadline (which will still be the standard tax deadline). In a few recent years, due to special circumstances, the IRS has granted a blanket IRA and HSA contribution deadline extension to all tax filers, however. Don’t count on that happening most years.

For more info on HSAs, check out my list of the best HSA accounts to make sure you’re getting the most out of your HSA.

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