How the Accounts Work

Each month, you may elect to contribute to either a Transit Reimbursement Account or the Parking Transit Account. 

PayFlex, our third party vendor, processes reimbursements for you. When you incur an eligible expense, save the receipt and mail, fax or scan it with the appropriate expense account form to get reimbursed. You can arrange for direct deposit from your expense account to your personal check or savings account. Any unused funds remaining in your account at the end of the plan year will be rolled over to the next plan year. 

When Your Employment or Participation in the Program Ends

If, when your employment ends or you terminate your participation in either program and you have unclaimed contributions, the money will be forfeited. Also, you will have until March 31 of the subsequent calendar year to submit eligible expenses incurred in the previous calendar year. 

Transit Reimbursement Account

The Transit Reimbursement Account Program allows you to set aside money, before taxes, from your paycheck to pay for mass transit costs associated with commuting to work. You pay no federal taxes on your contributions.  Each month, you may choose to contribute between $10 and $130 into the account.  The maximum allowed reimbursement and contribution amount is $130 per month for 2014. Excess contributions may be carried over and reimbursed in any other month during the same calendar year, as long as you have eligible expenses.
 
For example, if you put in $1,000 and are in a 20 percent federal tax bracket, you save $200 ($1,000 x 20% = $200.) If you pay for mass transit and your expenses are considered eligible as described below, the Transit Reimbursement Account may save you money.
 
This program applies only to employees. Transit expenses of dependents are not covered. 

Eligible Transit Expenses

An expense for “Transit Passes” (the cost of purchasing any pass, token, fare card, etc.) entitles an employee to transportation that either is: 
  • on mass transit facilities or
  • provided by a person in the business of transporting passengers for hire and in a vehicle with a seating capacity of at least six adults plus drive. (Limos and taxis are not eligible for this program.) 
Expenses may also include transportation in a “Commuter Highway Vehicle” (the cost of transportation between an employee’s residence and place of employment) provided the vehicle:
  • has a seating capacity of at least six adults plus driver and
  • is reasonably expected to be used for at least 80 percent of its mileage in commuter trips in which the vehicle is at least half full (not including the driver). (Limos and taxis are not eligible for this program.) 

Parking Reimbursement Account

The Parking Reimbursement Account is a program that allows you to set aside money, before taxes, from your paycheck to pay for parking costs associated with commuting to work. You pay no federal taxes on your contributions.  Each month, you may choose to contribute between $10 and $250 into the account.  The maximum allowed reimbursement and contribution amount is $250 per month for 2014. Excess contributions may be carried over and reimbursed in any other month during the same calendar year, as long as you have eligible expenses.
 
For example, if you put in $1,000 and are in a 20 percent federal tax bracket, you save $200 ($1,000 x 20% = $200.) If you pay for “qualified parking” as described below, the Parking Reimbursement Account may save you money.
 
This program applies only to employees. Parking expenses of dependents are not covered. 

Qualified Parking Expenses 

For parking expenses to qualify under this program, the parking must be located: 
  • on or near your employer’s business premises or
  • on or near a location from which you commute to work, either by mass transit, commercial commuter highway vehicle, qualifying non-commercial commuter highway vehicle, or carpool.
 You can count on support from knowledgeable and responsive HR staff when you have a benefits question or problem. Just call or e-mail us. We’re here to help!
 
 
While the University intends to continue each of the benefit plans, the University reserves the right to terminate or amend any plan, at any time, and for any reason.