Distributions

Related Topics

HSA Withdrawal Codes

The valid HSA withdrawal codes are:

  • 1 - Normal
  • 2 - Remove excess contribution
  • 3 - Disability
  • 4 - Death other than code 6
  • 5 - Prohibited
  • 6 - Death distribution after year of death to a non-spouse beneficiary
  • TO - Transfer out
  • IT - Internal transfer

Default Withdrawal Codes

When completing a withdrawal using Portico, the IRS Withdrawal Code drop-down list will default to 1-Normal, but you can change it as needed. A default withdrawal code of 1 (normal) is used for the following distributions:

  • All back office activity including share draft processing, ACH processing, debit card and ATM card activity.
  • Same account transfers via Audio Response and online banking from an HSA share or share draft to a non-HSA share or share draft account.
  • Cross account transfers from an HSA share account.

A default withdrawal code of IT (internal transfer) is used for same account transfers via Audio Response and online banking from an HSA share or share draft to another HSA share or share draft.