Commuter Benefit Accounts
Commuter Benefit Accounts are also a Flexible Spending Account (FSA), but provide benefits for mass transit (traveling to and from work) and work-related parking expenses for employees. They are an employee-driven account in which employees can contribute pre-tax dollars into an account to help pay for their commuting expenses.
How Commuter Benefit Accounts Work
Commuter Benefit Accounts are split into two separate benefits accounts – Transportation Flexible Spending Accounts and Parking Flexible Spending Accounts. The Commuter Benefit Accounts allow your client’s employees to use pre-tax funds to pay for their work-related parking and mass transit expenses. These benefits are on a month-to-month basis, meaning participants can opt-in or out and/or change the elected amount of funding each month, depending on their mass transit/parking needs for the upcoming month.
Commuter Benefit Account Plans
As stated earlier, Commuter Benefit Accounts are split into two separate FSAs – a Transportation FSA and a Parking FSA.
Your client can choose to utilize the ASi Visa® card, which allows their employee’s monthly elected funds to be deposited onto a Visa® debit card. They will use this card to purchase their work-related mass transit and parking expenses.
If your client chooses to not utilize the ASi Visa® card, their employees will pay for their expenses out-of-pocket, then they will submit a claim for their expenses to ASi for reimbursement. Reimbursements can be made via check and/or direct deposit*.
For 2019, both the Transportation FSA and Parking FSA have a monthly maximum contribution allowance of $265. If your client offers both FSAs and an employee is enrolled in both plans, they could elect $265 for transportation and $265 for parking per month.
With the Commuter Benefit Accounts, your client’s employees can only spend the amount they have already contributed to the plan. For example, if they elect to set aside $200 per month but have only contributed $100 so far, $100 is the most they can spend toward commuting/parking expenses at that time.
What Expenses Are Eligible?
The Transportation FSA benefit covers participant’s work-related mass transit expenses including, but not limited to:
- Subways, streetcars, and commuter trains
- Rideshare, including UberPOOL and Lyft Line
Ineligible expenses include non-work-related expenses and individual transportation services like a taxi or a driving service.
The Parking FSA benefit covers participant’s work-related parking expenses including:
- Parking lots/garages near work
- Parking lots/garages near mass transit stations
Your clients become part of the ASi family, which means providing them with the best features within the industry. The features listed below are included as part of our administrative services.
- Cost Savings on payroll taxes for every dollar employees contribute to their FSAs
- Customizable Benefit Plans and Materials
- Online and Mobile App Account Access
- Dedicated ASi Teams Who Provide Personalized Customer Service
- Draft Plan Documents, Including the Basic Plan Document, Adoption Agreement, and Summary Plan
- Assist in Plan Design, Including Plan Design Options and Features
- Non-Discrimination Testing (Link to Compliance section Non-Discrimination Testing)
- Assist in Group Enrollment
- Marketing Materials for Your Client’s Employees
- Timely Claims Processing
- Provide Standard Reports Upon Request
We know your client’s employees are the heart of their business, which means we provide them with great tools and resources to help them manage their benefits.
- Monthly Savings & Larger Take-Home Pay
- Online Employee Portal
- Mobile App
- Online and Mobile Claim Submission
- ASi Visa® Card
- Easy to Understand Benefits Breakdown