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