Employees don’t pay income taxes on the value of these benefits.

Written by Stephen Miller, CEBS including interview questions with Bobbi Kloss, Director of Human Capital Management Services.

Employees and employers can put $5 more into monthly transit and parking benefits in 2019, the IRS announced Nov. 15.

Revenue Procedure 2018-57, which increased the annual limit on health flexible spending account contributions by $50 to $2,700, also adjusted limits and thresholds for other employee benefits—most notably qualified transportation and parking benefits, and adoption assistance benefits.

Transit and Parking Costs

Employer-funded parking and mass-transit subsidies are tax-exempt for employees. Using pretax income, employees can also pay their own mass-transit or workplace parking costs through an employer-sponsored salary deferral program.

These expenses include the value of mass-transit passes and van pooling services, and parking on or near the business worksite or a location from which employees…[Read the full article here]