Commuter Nation
Hello Employers!
And welcome to the employers' section of Commuter Nation.
This is where you can find out more about saving money for your organization and your employees by offering commuter benefits through Section 132(f) of federal tax law.
How Does It Work?
Section 132(f) encourages employers to reduce employee commuting costs by allowing tax-free subsidies. Under the code, employees can save up to 40% of their commuting costs, while employers save 10% or more on payroll taxes. Through a company-sponsored plan, this law allows employees to use tax-free dollars (up to $230 for public transit, and up to an additional $230 that can be deducted for parking expenses) to pay for their commuting expenses. You can provide this benefit to your employees as a substitute for taxable salary, as a supplemental benefit, or a combination of the two. Whether your employees use public transit, vanpools, bicycles or drive to work and park in a public lot, you can make a difference to your bottom-line and their wallet.
Benefits That Everyone Can Appreciate
Better for employers
- 10% average payroll tax savings
- Nationwide coverage
- Full IRS compliance
- Easy roll-out with implementation kit
- Recognition as a green-friendly company
Better for employees
- Up to 40% savings on commuting expenses
- A variety of commuting products
- Increased employee productivity
- Improved employee morale and lower absenteeism