Commuter Choice



You can benefit while also helping the bus system. People may never have heard about the Commuter Choice federal pretax transit benefit program for both employees and employers that makes commuting by bus economically attractive. Individuals, small businesses and large businesses can all benefit. Employees can purchase Metro passes or 10-Ride Cards as a federal TAX-FREE fringe benefit, employers can pay for the benefit and deduct it, or both employees and employers can share in paying the cost and receiving the benefit.

For specific information on the benefit associated with commuting to work by bus in the Madison area look at http://www.cityofmadison.com/Metro/fares/commuterChoice.

Commuter Choice is not just for bus use. Any transportation mode other than using a single occupancy vehicle (SOV) qualifies. Please refer to http://www.environmentaldefense.org/article.cfm?contentid=2296 (click here for a 2008 Update) or http://www.commuterchoice.com/ for more information.

Highlights From A Commuter Choice Resource Toolkit

Employees opting for Commuter Choice alternatives can:

  • Reduce Commuting Costs. By participating in a Commuter Choice program, employees lessen their commuting costs through tax savings or additional benefits. They also save on vehicle wear and tear, and costs associated with gas, parking, maintenance, and insurance.

  • Receive a De Facto Raise. Commuter Choice benefits are better than a salary increase. Employees save on taxes and receive the transit, vanpool, and/or parking benefit.

  • Arrive at Work More Relaxed. Reduce the stress of commuting alone in traffic by using alternative modes such as public transit or vanpools. Commuter highway vehicles often are well-appointed, and allow personal time for reading, sleeping, or working en route. A less stressful commute makes employees more productive during the workday. They also can consider other commuting alternatives like walking or bicycling to work, if feasible.

  • Help Reduce Congestion and Protect the Environment. Expanded Commuter Choice options help reduce congestion on America's highways. By using carpools, vanpools, public transportation, biking, or walking instead of driving, employees help reduce air pollution and greenhouse gas emissions.

Employers offering Commuter Choice can:

  • Achieve Significant Tax Savings. If employers pay for the commute benefit, they may deduct this amount as a business expense. Both employers and employees save federal income and payroll taxes, and employers can reduce net payout for FICA, federal unemployment tax, and federal income tax.

  • Increase Employee Productivity. Employees arrive ready to work, without the frustration and frequent tardiness associated with traffic congestion or unforeseen traffic tie-ups.

  • Improve Employee Morale. Traffic congestion can take valuable time away from employees' personal lives and add stress to their daily routines. Providing commuting benefits demonstrates employers' concern for employees' needs and boosts morale.

  • Improve Your Image. Offering environmentally friendly commuter alternatives gives employers the reputation of being a good corporate citizen.

  • Help Retain Valuable Employees. Satisfied employees are more likely to stay with employers, especially if benefits packages are comprehensive.

  • Gain a Competitive Edge. Employees are choosing environmentally responsible companies offering benefits that support their lifestyles.

  • Be Good for Business, Good for Everyone. By lowering the number of single occupant automobiles on the roads, employers are helping America conserve energy, cleaner air, and regain productive time now spent on congested roadways. Supporting employees with Commuter Choice also boosts morale and makes employers more attractive. Commuter Choice is good for business, good for the environment, and good for everyone.

    from http://www.environmentaldefense.org/article.cfm?ContentID=2302