You must be eligible to open or contribute to an HSA to roll over IRA funds into one.
One-Time Opportunity
You can generally make this transfer only once in your lifetime, up to your annual HSA contribution limit for the year.
Exception to the one-time IRA to HSA transfer opportunity
If you make your transfer while you have self-only HDHP coverage, and later that same tax year switch to family HDHP coverage, you can make a second transfer that year, up to the new, higher family contribution limit.
Source: IRS Publication 969, Health Savings Accounts and Other Tax-Favored Health Plans, "Qualified HSA Funding Distribution
12-Month Testing Period
An IRA-to-HSA transfer includes a testing period in which you must remain HSA-eligible for the 12 months following the transfer. At minimum, that means staying enrolled in your HDHP until the testing period ends.
Taxable income and a 10% penalty if you don't stay eligible
If you don't remain eligible through the testing period, you'll need to include the transferred amount as income when you file your taxes, and it will also be subject to a 10% penalty.
One-Time Opportunity
You can only roll funds from an IRA to an HSA once during your lifetime. The maximum amount you can roll over is the same as your annual HSA contribution limit for that year.
How To Transfer
To transfer your IRA funds to your HSA,
Fill out the IRA to HSA Transfer Form.pdf
Send the filled form to your IRA provider to fill out
Account number matters
Confirm your account number is correctly listed on the form. We need it included on the check to properly credit the funds to your HSA.
Your IRA provider will mail the funds to the address listed on the form.
Timeline: Expect 3-5 weeks from when your IRA provider receives the form to when the funds arrive in your HSA.