iCommute provides free assistance to help your organization set up a new commuting program or improve your current package. There are many ways to implement or improve a program at little or no cost – some benefits actually save employers money.
Under the Transportation Equity Act, IRS code 132(f), and California state law, employers are allowed to offer payroll tax savings for transportation assistance up to $230 a month per employee for transit passes or vanpool vouchers. For more information visit:
Please note this publication's pre-tax limit is still listed at the 2005 level of $105; however, the examples are accurate and relevant. The amount was raised to $230 in 2009. Please consult your tax advisor for more details.
Employers also have the option of subsidizing part of their employees’ commuting costs and allowing employees to pay for the remainder – up to the $230 monthly limit -- with pre-tax dollars.
New in 2009. The 2008 Energy Act added “qualified bicycle commuting reimbursement” to the list of qualified transportation fringe benefits. In 2009, any employer may reimburse an employee up to $20 per month tax free for reasonable expenses incurred by the employee for the purchase of a bicycle and bicycle improvements, as well as repair and storage if the bicycle is regularly used for travel between the employee's residence and place of employment.
For more information, call 511 and say ‘iCommute’ or e-mail icommute@sandag.org.