As more and more people exercise Commuter Choice, congestion on America's busy highways will decrease. Environmental Protection - When commuters drive alone in large numbers, they can contribute significantly to smog and air pollution. Like recycling, Commuter Choice programs can contribute to ensure a clean and safe environment for ourselves and our children. If the cash is chosen, the employee can keep the money and carpool, telecommute, bike or walk. The money itself is taxable as income for that employee.
Employees retain the option of keeping the tax-free parking space.
Tax Savings - The Commuter Choice benefits that the employer pays for can be deducted from Federal business income taxes. In addition, no U.S. payroll taxes or other payroll related costs are required on the benefits either, whether the employer pays for them or offers them in lieu of compensation. With additional benefits, employers stand out in the competitive market for qualified employees. By offering a choice of commute option benefits, an employer can respond to the differing needs of these employees. Commuter Choice programs are attractive because they can help alleviate some of the problems associated with commuting.