Commuter Benefits
HBC offers commuter benefits that reduce your cost of getting to and from work. With the Commuter Benefits Program, you can pay for public transportation expenses on a pre-tax basis. You can set aside up to $315 per month for public transportation costs and up to $315 per month for parking costs. Take advantage of the Commuter Benefits Program and reduce your commuting expenses. Enrollment/changes can be done anytime during the year.
If you enroll for commuter benefits, you will receive a debit card that will be front loaded at the beginning of each month with your elected amounts. You can use the debit card to purchase your monthly passes, vouchers, or to load your personal Transit Authority account. It can also be tied to your Uber or Lyft accounts for use with eligible shared rides.
Please note, that this is a stacked debit card that allows you to access all reimbursement accounts (i.e Health Care flexible spending account, if elected).
To enroll in commuter benefits or makes changes login to the Enrollment site.
Savings Example
Since you use pre-tax payroll dollars to pay for your parking and transit expenses, you may save up to $2,268 or more each year (assuming a combined tax rate of 30%).
Here is an example of someone who drives to a suburban transit station and boards a transit train to work. The person in this example deducts the maximum for both types of expenses and has a combined tax rate of 30%. This person would save more than $1,000 per year in tax savings.
Eligible Transportation Expenses* |
Example |
|---|---|
Monthly Transportation Expenses bicycle, bus, train, subway, ferry, or vanpool to work) |
$315 |
Monthly Parking Expenses(parking for work or for transportation to work) |
$315 |
Total Monthly Expenses |
$630 |
Combined State, Federal and Social Security Tax Rate (25-33%) |
x 0.30 |
Estimated Monthly Savings |
$189 |
Estimated Yearly Savings |
$2,268 |
*Benefit limits are subject to IRS regulations.
All Associate’s enrolled in a commuter benefit will pay for their commuter/transit/parking benefit through a debit card provided by WEX. You have the ability to decide how much you would like to put on your debit card each month and use those funds to purchase or pay for your commuter or parking benefit.
The amount that you spend on transit or parking can be paid for with pre-tax money. When you order transit and parking online, the value of your order is automatically deducted from your paycheck. Your yearly taxable income is reduced by the amount of your purchase. For the 2024 tax year, the IRS allows up to $315 a month pre-tax for transportation costs and up to $315 a month pre-tax for parking costs. Any amount beyond that becomes a post-tax deduction. Benefit limits are subject to IRS regulations.
You can elect and make changes to your commuter benefit at any time throughout the year by logging in to the Enrollment site.
Elections must be made by the 10th of the month in order to receive funds on your debit card for the following month. You can keep your metro card (or other transit pass) until it expires and use your new debit card to load/purchase your pass for the following month. If you pay for your transit out of pocket you can submit the expense to WEX for a reimbursement.
HBC Benefits Service Center
1-800-498-8705