Commuter Choice

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Federal law lets workers receive up to $130* a month in employer-paid tax-free transit costs, or take up to $130 a month in tax-sheltered payroll deductions for transit costs. 

The law allows employers to give their workers up to $130 each month for transit or vanpool commuting costs as a tax-free benefit. It also allows employers to give employees the option to use payroll deductions to avoid paying taxes on up to $130 a month in commuting costs. Alternatively, employers can share these costs with their workers by paying part of their monthly commuting costs and letting workers pay the balance using pre-tax dollars. Either way, both employers and their employees can save money by participating in this simple plan. 

Click here for more information. 

* Maximum benefit effective January 1, 2015. Benefit level subject to change. 

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