Federal Government Reduces Pre-Tax Eligibility for Penn’s Commuter Choice Program/COMPASS	Print Issue
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Beginning January 1, 2014, the federal government’s reduction in the monthly transit pre-tax limit will go into effect. Commuter transit riders who utilize Penn’s pre-tax payroll deduction will experience a decrease in their pre-tax withholding limit from $245/month to a cap of $130/month.

Here are important details regarding what commuters can expect:

• The effective date of this change is the month in which you pay for your commute—January 2014. This adjustment will be seen in your January 3 pay, if you are weekly paid, and in your January 31 pay if you are monthly paid.
• The maximum pre-tax amount has been decreased to $130 per month or $1,560 per year.
• If your commuting costs per month are greater than $130, your pay starting in January will reflect a pre-tax and a post-tax deduction. For instance, because the monthly cost of Septa Zone 3 ($146.70) and Anywhere Zone ($171.90) passes exceed the $130 monthly deduction, commuters will see a pre-tax and post-tax deduction noted on their pay statement. Also, the amount that will be reflected in the pre-tax line is calculated less the five percent subsidy provided by Penn.
• The monthly cost of the City, Zone 1 and Zone 2 transit passes are lower than the new pre-tax threshold, so these commuters will not be affected.
• This decrease also applies to those who use the ADP MasterCard Check Card®, the TransitChek® program for SEPTA, DART, NJ Transit, Amtrak and PATCO.

If you wish to make an adjustment to your transit order, you may do so by logging into your account at www.upenn.edu/penncommuter Otherwise your transit deductions will be automatically calculated.

If you have questions or would like further information, please contact the Transportation and Parking Office at parking@upenn.edu