Commuter Tax Benefits, Incentives & Grant Assistance

Commuter Tax Benefits

vRide is a leading partner with public agencies around the country to provide the safest and most-efficient form of public transportation -- Vanpooling. Commuter tax benefits are available for employees who vanpool. Under Section 132(F) of federal tax code, an employer can offer its commuting employees up to $245 per month through the balance of 2013, for “qualified transit” costs. Commuter vanpooling is recognized by the IRS as a form of “qualified transit” along with bus, rail and ferry services. Employers can offer their employees the option of paying up to $245 per month through the balance 2013, of their “qualified transit” expense 1) as a pre-tax deduction or 2) as a tax-free benefit designed to encourage their employees to commute via transit or vRide vanpools. Most employees of the federal government are eligible for an employer-provided, commute-to-work benefit when they vanpool. Check with your HR representative, or give us a call to learn more about commuter benefits.

In addition, federal transit assistance grants help states and local governments and transit agencies cover their most of their capital expenses and some of their operating costs. In many areas of the country, vRide partners with these public agencies to contractually provide the safest and most-efficient form of public transportation… vRide vanpools! If you’d like to learn more about vRide and these grant programs, give us a call.

The South Florida Vanpool Program [operated by VPSI] has been a real benefit! The cost savings alone makes the venture well worth the effort. The ability to convert travel time to work time provides a dramatic improvement to time efficiency, and catching an occasional power nap isn’t so bad either. Indeed, the money saved is tremendous! A one hour and a half round trip time five days a week at four weeks a month on average would cost approximately $546.00 in gas and tolls alone. Add in oil changes, tires, brakes, and general auto maintenance, and this amount would grow significantly. With eight riders pooling their funds, the cost per person per month becomes $140.00; this is a monthly savings of well over $400.00. In addition, with the ridership splitting the driving responsibilities, a person on our van could complete up to 7.5 hours a week of computer work or whatever during the commute time. Almost 38 hours a month of working late or coming into the office early could now be spent on personal time. The workaholics in our group really benefit from this! Lastly, I have been known to catch a badly needed power knap from time to time during our commute (not while driving of course). Forty five minutes here and there helps to catch up on that sleep deficit from a busy weekend. Everyone needs to re-charge those batteries once in a while! Without doubt, the decision to start a vanpool has been a no-brainer! The money savings, the time efficiency improvements, and power knaps continue to be a tremendous improvement over commuting solo to and from the office!
John Weatherford