Commuter Connect Tax Incentives for Employers

Pre-tax benefits that help you and your employees.

Section 132 (f) of the Internal Revenue Code allows employers to provide tax-free transit, vanpool and parking benefits to their employees. Whether you choose to cover the full cost or share the cost – you are helping your employees and you are helping your bottom line. And if your company isn’t able to subsidize a partial cost, you can still offer pre-tax flexible spending accounts for commuting. These accounts are easy to implement, and still save money for both you and your employees. No matter which option you choose, you’re helping your employees, your community and your environment.

Employer Tax Benefits
Employers give their employees up to $255/month to commute via bus; saves over providing same value in gross income and/or employers allow employees to use pre-tax income to pay for the bus and employers save on payroll tax.

Employee Tax Benefit
Employee receives up to $255/month tax free and/or employee pays for commute benefit with the pre-tax income and saves on income tax.

Employer Tax Benefits
Employers give their employees up to $255/month to commute via vanpool; saves over providing same value in gross income and/or employers allow employees to use pre-tax income to pay for vanpooling and employers save on payroll tax.

Employee Tax Benefits
Employee receives up to $255/month tax free and/or employee pays for commute benefit with the pre-tax income and saves on income tax.

Employer Tax Benefits
Employers give their employees up to $255/month for qualified parking; saves over providing same value in gross income and/or employers allow employees to use pre-tax income to pay for qualified parking and employers save on payroll tax.

Employee Tax Benefits
Employee receives up to $255/month tax free for qualified parking and/or employee pays for commute benefit with the pre-tax income and saves on income tax.

Call an Outreach Representative at 317-327-RIDE and we’ll help your company get started.