COMMUTER BENEFITS
Eligible Commuter Expenses With commuter accounts, you can set aside pre- tax dollars to use for certain work-related commuting expenses. Parking Accounts can be used for parking on or near your company’s premises. It also includes parking on or near the location from which you commute to work using mass transit, commuter highway vehicles or carpools. It doesn’t include parking at or near your home. Transit Accounts include any passes, tokens, farecards, vouchers or similar items that allow you to ride free of charge (or at a reduced rate) on mass transit or in a vehicle that seats at least seven adults, including the driver (vanpooling).
Tax Exclusion Limits Federal tax law establishes a maximum amount of commuter assistance benefits that you can exclude from income for tax purposes. Limits are indexed annually. These are the limits for taxable years beginning in 2024:
Parking: $315 per month Transit: $315 per month
These two accounts are kept separately, and funds cannot be co-mingled. This means if you’d like to set money aside for both transit and parking you will need to set up two separate accounts. Elections and Rollover Elections may be made prospectively on a monthly basis for the following month’s use. You may change your election as needed during the year without any kind of life event, however, be sure to make a note of your company’s payroll cut-off for this benefit. There is no limit to the amount of rollover in these accounts either during the year or into the next plan year, however funds are forfeit upon termination of employment, so employees are encouraged not to stockpile funds. For this benefit only, you will enroll directly with Inspira once your eligibility has been sent to them by Company name.
Neither account can be used for any highway tolls or commuter lanes.
If you have any questions please visit www.xyz.com
8
Made with FlippingBook - Online Brochure Maker