If your employer is not currently participating in the Transit Benefit Fare Program, now is the perfect time to talk them into it. That’s because new company participants in Cook County can earn up $1,700 in federal incentives to join the program. See the Tribune story and website for details.
Plus, you will see your monthly computing costs cut by up to 40%. That’s because you pay for commute using pre-tax dollars. Here are the details.
Let’s say you get a monthly CTA pass for $86.Under the Transit Benefit program, that $86 would be excluded from your taxable income. If you are in the 25% federal tax bracket, your total tax liability is about 35%, when you include federal, state, Social Security and Medicare taxes. Multiply $86 by 35% and that’s about $30 a month you’re saving in taxes — or $360 a year.
I’ll take it. And I do, because my employer participates in the Transit Benefit program. And yours should too, so talk to the boss about it today.
Take this click poll so we know how many of you participate in the Transit Benefit program.