Tax-free Commuter Benefits, also known as qualified transportation accounts, are employer-provided voluntary benefit programs that allow employees to reduce their monthly commuting expenses for transit, vanpooling, biking and work-related parking costs. These accounts allow employees to set aside pre-tax funds used for eligible transit and parking expenses related to their commute to work, as governed by IRC Section 132.
Commuter Benefits allow you to:
- Take advantage of comprehensive, one-stop, compliant Commuter Benefit administration capabilities.
- Offer a pre-tax advantage through employee payroll contributions, provide an employer-paid subsidy or a combination of both.
- Manage Commuter Benefit eligibility, contributions and schedules with one tool.
There are triple tax advantages.
- Contributions are pre-tax and reduce taxable income.
- Rollover funds tax-free.
- Spend tax-free. Withdrawals for eligible expenses are tax-free.
Contact your local sales representative for more information.
Commuter Benefits are accounts offered by Voya Benefits Company, LLC (in New York, doing business as Voya BC, LLC) and administered by WEX Health, Inc.