Transportation Benefit Accounts

'Avoid taxes on transportation and parking.'

You can reduce your taxable income and avoid paying Social Security and Medicare Tax (7.65%) and Federal Income Tax (15% to 40%) by enrolling in your company sponsored Section 132 Benefits Plan. These tax savings can apply to one or more of the following options:

• Parking/Mass Transit Conversion Accounts:
  Allows you to pay for your employer provided parking and mass transit benefits directly from your paycheck. There are no claim forms for you to fill out.
• Parking Reimbursement Account:
  Allow you to pay for your daily or monthly parking expenses incurred for your parking at or near your work. You can elect to have up to $190.00 deducted from your monthly paycheck TAX-FREE.
• Mass Transit Reimbursement Account:
  Allow you to pay for your mass transit expenses related to your commute to work. Up to $100.00 per month can be deducted from your pay TAX-FREE for qualified mass transit expenses.

How to save your money

When you participate in a Transportation Benefits Plan with a salary reduction, you reduce your Federal income tax withholding, state withholding and your FICA (Social Security, Medicare) taxes and increase your take-home pay.