Pre-Tax Transit Passes
SERVICES

Offering a Transit Pass Program

For organizations located within the Massachusetts, learn more about the MBTA's Perq Commuter Benefits Program at https://perq.mbta.com/

What is a Corporate Transit Program?

It's a tax-advantaged monthly pass program for employees who choose a commute on:
  • Bus
  • Subway
  • Commuter Rail
  • Ferry Service
This type of commuter benefit program allows companies to manage, with the option to subsidize, the cost of monthly passes through automated payroll deduction as a pre-tax benefit to employees.

It's a Win - Win for Employers & Employees

Employers save on payroll taxes. Employees save on federal income tax. According to Internal Revenue Service Section 132(f), the Qualified Transportation Fringe Benefit certain commuter costs are tax-deductible—including up to $270 per month for transit.

Our Process

For ordering your organization's transit passes through our services, orders are always placed one month in advance.

01 Order Passes

Record all employee passed need for the following month on our ordering spreadsheet. Orders must be submitted before 5:00 PM on the 10th of the prior month.

02 Delivered to You

Your organization's transit passes are delivered to you by the end of the month for employee distribution.

03 One Simplified Invoice

After the 15th of each month, a confirmation of the passes ordered will be sent. Your invoice will be for the total amount of all employee transit passes listed on the ordering spreadsheet.

Getting Started

We can assist your company or organization order and distribute public transportation passes for employees who choose to commute by bus, subway, commuter rail, and ferry service. Whether you want to set up a pre-tax transit pass program internally or use the experts at TransAction Associates to do the ordering for you, we can help.
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