Commuter Choice Maryland is an incentive program that encourages Maryland employees to choose transit or vanpools instead of driving to work. By not driving, you can save thousands of dollars per year…extra money that you can use for mortgage payments, college tuitions, vacations, or anything you want.

Commuter Choice offers employers monthly pass distribution options which encourage employees to ride Maryland Transit Administration (MTA) Local Bus, Commuter Bus, Light Rail, Metro Subway, and MARC Train FOR LESS THAN FULL FARE, saving you money on your commute. Employers are also rewarded with special federal and state tax deductions, state tax credits, and savings on certain payroll taxes. You also get your MTA monthly pass conveniently at work saving you time. This all adds up to an outstanding transportation fringe benefits package for you and your boss.

An employer must have at least 20 employees signed up to be in the formal Commuter Choice Maryland program. Employers with less than 20 employees signed up can still offer commuter benefits to employees by purchasing passes and vouchers from an MTA Pass Sales Outlet and offering the fare media to employees using any one of three qualified distribution options.

Federal Tax Benefit

Reduce Your Commuting Costs by Sheltering a Portion of Your Income From Federal Taxes

It really does pay to ride transit! Federal law lets workers receive up to $230* a month in employer-paid tax-free transit costs, or take up to $230 a month in tax-sheltered payroll deductions for transit costs.

The law allows employers to give their workers up to $230 each month for transit or vanpool commuting costs as a tax-free benefit. It also allows employers to give employees the option to use payroll deductions to avoid paying taxes on up to $230 a month in commuting costs. Alternatively, employers can share these costs with their workers by paying part of their monthly commuting costs and letting workers pay the balance using pre-tax dollars. Either way, both employers and their employees can save money by participating in this simple plan.

This brochure, created by the American Public Transportation Association, provides information on how organizations and individuals can take advantage of the federal law that provides tax benefits for using public transportation. The law was last revised on February 17, 2009, by the American Recovery and Reinvestment Act of 2009.