The new tax law eliminated a number of employer deductions for so-called “fringe benefits”. Starting in 2018, employers can no longer deduct the cost of providing qualified mass transit and parking benefits, except as necessary for ensuring the safety of an employee. But employee pre-tax Commuter Benefit programs are still standing. Here’s the story:… Continue Reading
The Dear Urban Cyclists: Go Play In Traffic part of the headline is the one authored by P.J. O’Rourke in his recent article in the on-line edition of The Wall Street Journal. Not exactly the same point of view – literally or figuratively – as that taken in the picture below from the blog post What You … Continue Reading
That’s The Police, circa 1983, pictured above. 1983 as the year when Sting was the King of Pain. That was the title, of course, of the hit song he wrote, one of the tracks on the album Synchronicity – the last and greatest Police album. The story goes that King of Pain was a very … Continue Reading
Over at Slate’s BizBox blog, a special promotion by Open from American Express, I posted an article about the impact of the stimulus package affects employee benefits, specifically COBRA and Commuter Transit Benefits under Section 132 of the Internal Revenue Code. The stimulus package provides extended and subsidized COBRA benefits and increases the amount of transit … Continue Reading
Over the past few months, I’ve blogged about how employers can sponsor a commuter transit benefit to help employees cope with higher commuting costs to pay for those expenses on a pre-tax basis under Section 132 of the Internal Revenue Code. The employer can also receive tax benefits since generally there are no payroll-related taxes … Continue Reading
We’re big on commuter transit benefits here. Not only for cilents, but for our own employees who take public transportation. It’s good for employees, it’s good for employers, and it’s good for the environment. It’s something I’ve blogged about before, What’s Old is New Again: Commuter Benefits Under Section 132 and The Next Generation of … Continue Reading
Just this summer I wrote What’s old is new again: commuter benefits under Section 132. The post was about employers rediscovering (or discovering in some cases) that they could assist employees paying for commuter transit and parking expenses on a pre-tax basis – and the tax savings that employers themselves could realize. Interest sparked, of … Continue Reading
The results of a recent survey by Putnam Investments come as no surprise to those of us that are involved with 401(k) plans on a daily basis. Putnam found that because of the current downturn in the economy employees are putting away less money in their 401(k) accounts: 21% of 401(k) participants are now contributing … Continue Reading
