Commuting

Employer Benefits

• Reduces the need for additional parking
• Increases access to labor markets
• Improves employee morale and employee relations
• Increases productivity, reduces absenteeism and tardiness
• Provides an effective, low cost recruitment tool
• Enhances employee benefits packages (tax free subsidies allowed up to $100 per month per employee)

Community Benefits

• Serves communities not served by transit
• Requires fewer passengers than a bus
• Increases federal and state funds to transit
• Provides a lower cost alternative of serving mid-range and long-distance commuters than transit
• Reduces rush hour congestion (each 12 passenger van reduces up to 11 vehicles)
• Improves air quality
• Reduces dependence on fossil fuels

Commuter Benefits
Internal Revenue Code 132 (f) allows employers to offer participating employees pre-tax deduction for alternative transportation. Employers can reap significant savings as well. The pre-tax deduction could result in the following benefits to employers:

• Tax savings
• Payroll savings
• Reduced disability insurance
• Lower contributions to 401K accounts
• May offer transit passes in lieu of compensation
• May use similar payroll deduction mechanisms to cafeteria plans
• May require annual program election (not required)
• No program filing required
• No “use it or lose it” rule
• Methods of payment options
• Transit passes
• Voucher