Commuter Choice Tax Benefits

In 1998, Congress approved legislation that allows employees of corporations to pay for parking and transit (including vanpool) with pre-tax dollars while employers enjoy lower overall payroll taxes.

In December 2015, Congress updated the law to provide a benefit to riders of public transit that equaled the benefit provided to drivers of automobiles.

When employees buy with pre-tax dollars, they avoid federal, state and employment taxes, often saving up to 40 percent (up to the authorized pre-tax limits of $255 per month).

Vanpool riders and employers can learn more about this valuable program at

Marketing image Vanpool van


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