As a commuter my monthly expenses to travel back and forth to work is $285. Every year taxes and rate hikes affect me and my family in a big way and we barely make it to pay every bill that comes with owning your own property. Receiving transit checks pre-tax assisted me a whole lot as I only had to pay a balance of $55 to obtain my monthly tickets. Imagine my surprise though when I as well as others received this email the last week of December.
“To Transitchek Participants Outside of the New York City Area"
Many of you received an email from the Transit Center regarding the changes to the $230 transit pre-tax benefit cap. The 2011 tax extension bill of the American Recovery and Reinvestment Act expired December 2011 and Congress has not extended this pre-tax benefit for 2012. Thus, as part of the government ordinance, the new monthly transit pre-tax benefit cap has been reduced to $125 and the new monthly parking cap is $240.
As a result, the reduction of the Monthly Pretax Transit Cap may affect staff that has more than $125 Transitchek commuter benefits in the following ways:
- Your pre-tax transit benefit was automatically reduced to $125.00 for the month of January due to the expiration of the American Recovery and Reinvestment Act…”