Qualified Parking FAQ's
The IRS defines Qualified Parking as parking at or near your place of employment. It also includes parking on or near the location from which an employee commutes to work using public transit, vanpool or carpool (such as park-and-ride locations).
What are the monthly pre-tax limits?
The monthly pre-tax limit for 2011 is $230 per month. Effective January 1, 2012, pre-tax deductions are allowed up to the limit of $240 per month for qualified parking expenses.
How do I enroll?
If Pre-Tax Commuter benefits are provided by your employer, You can enroll any month online. You must make your selections by the 10th of the month to receive your order by the first day of the of the following month. Your employer will deduct your purchases directly from your paycheck up to the monthly limit pre-tax and any additional orders on a post-tax basis. There are no claims to file, just place your order by the 10th of the previous month.
What payment options are available with the plan?
The online ordering provides several convenient payment options to manage your Qualified Parking expenses:
- Monthly Direct Pay - Pay your parking expenses directly to the parking provider using the website. When selecting the parking provider, search by provider name. If the parking facility is not in the system, simply add it to the system to be ready for fulfillment by the end of the month.
- Commuter Check for Parking - Order daily, weekly or monthly checks made payable to your parking provider which are mailed to your home address.
- Commuter Check Card for Parking - You can also elect the Commuter Card Prepaid MasterCard® for parking expenses. Submit your order by the 10th of the month and designate the initial dollar value you want on the Card. Cards are funded by the 23rd of every month for use during the upcoming benefit month. Note that as these cards can be used for nearly all parking needs, the system will not allow for non-card parking purchases.
Which payment option is best for me?
- Monthly Direct Pay - This solution is great for monthly parkers or those that pay on a monthly or quarterly basis! You must have an existing relationship with a parking provider in order to use this option.
- Commuter Check for Parking - These vouchers are made payable to the parking provider of your choice and can be used to pay for parking expenses. Perfect for daily parkers! There is no cash back for Commuter Checks for Parking, so order the exact amount that you will need.
Commuter Check Card Prepaid MasterCard® - Offers the functionality and convenience of a re-loadable, personalized, debit card for use at parking facilities nationwide. No receipts are necessary with this solution, just swipe and go.