Commuter tax benefits are up for 2013, making BART an even better value
Commuter tax benefits for transit have increased in 2013, making BART an even better value.
Thanks to the American Taxpayer Relief Act of 2012, there’s an increase in the amount you can save using pre-tax dollars for commuting. The tax code now allows up to $245 per month for qualified transit fares. And there’s another up to $245 per month allowed for qualified transit parking, including parking at BART stations.
You can take advantage of the benefits through employer-sponsored programs. Talk to your employer about what’s available or get more details today.
Employees who set aside income on a pre-tax basis do not pay federal income or payroll taxes on the income set aside. If you have a combined (local, state, federal) tax rate of 40% and spend $240 per month on BART fares, you could save nearly $100 each month or $1,200 a year. If you pay for monthly BART parking at $63 per month, you could save an additional $25 per month or $300 per year.
Customers already rate BART as a good value for the money and these programs make it even better. In the 2012 customer satisfaction survey 70 percent rated BART a good value, up from 64 percent in 2010.