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How Commuter Benefits Help

How Commuter Benefits Help Now

The monthly allowance for tax-free commuter benefits has doubled, enabling employees to deduct up to $230 per month for transit costs. By taking full advantage of this benefit, you may be able to cover all of your commuting cost using pretax dollars – and in many cases offset transit fare increases no matter what area of the country you live in.

For example, see how the increase in commuter benefit savings helps current North East Corridor NJ Transit commuters, as well as commuters on Chicago’s Metro train service:

Originating Station Price of a Monthly Pass to NY Penn Station % Covered Under Previous Benefit % Covered Under Increase
Trenton $440 27% 52%
Princeton Jct. $414 29% 56%
New Brunswick $361 33% 64%
Metropark $284 42% 81%
Rahway $248 48% 93%
Linden $233 51% 99%
Newark Airport $193 62% 100%
Newark Penn St. $139 86% 100%
Secacus Jct. $116 100% 100%

 

Originating Station
Price of a Monthly Pass to Chicago
% Covered Under Previous Benefit % Covered Under Stimulus Plan
Fort Sheridan $128 93% 100%
Great Lakes $139 86% 100%
Kenosha, WI $190 63% 100%

 

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