Understanding Your Medcom Commuter Benefit Plan – How To Guide

Commuter Benefits include Transit and Parking administrative services. These plans allow employees to set aside a certain amount each pay period on a tax-free basis to pay for qualified transit or parking expenses that are incurred so the employee can work.

Keep these things in mind:

  • These benefits have a monthly maximum reimbursement amount that is subject to change each year.
  • The monthly maximum is for each plan and will allow an employee to defer pre-tax funds for both plans, up to the monthly maximum limit for each, if the employee has a need for both transportation and parking expenses.
  • These plans typically work on an accrual basis so employees must wait until they have payroll deductions before they can actually use the funds.
  • The debit card is a very convenient method of accessing funds for these plans.
  • Please speak with your employer for more information about your specific commuter benefits.