Transportation Reimbursement Account

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A Division of ADP National Account Services

• Transportation Reimbursement Account

It Pays
to participate!
ADP National Account Services, ProBusiness
Division
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What is the Transportation Reimbursement Account?

• Section 132(f) of the Internal Revenue Code
  provides that employers can provide certain
  employee work transportation benefits to
  employees on a tax-free basis.
• Employees can obtain this benefit by electing to
  contribute a portion of their employer
  compensation on a pre-tax basis, to fund from
  which they will receive tax-free reimbursement
  for qualified transportation expenses.

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Your Transportation Reimbursement Account
Components

• Qualified Parking Expense
• permits employees to pay for their share of
  expenses for parking on or near the Employers
  premises or at a location from which the employee
  commutes to work on a pre-tax salary reduction
  basis.
• costs of parking at or near employees
  residences are not reimbursable.

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Your Transportation Reimbursement Account
Components

• Transit Pass Expenses
• permits employees to pay for their share of
  expenses for mass transit passes, vouchers, etc.
  for commuting to work on a pre-tax salary
  reduction basis.

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Your Transportation Reimbursement Account
Components

• Commuter Highway Vehicle (Van Pool) Expenses
• permits employees to pay for their share of
  expenses for van pool for commuting to work on a
  pre-tax salary basis.
• Van Pooling means transportation between the
  employees residence and place of employment in
  a commuter highway vehicle

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Your Transportation Reimbursement Account
Components

• Commuter Highway Vehicle (Van Pool) Expenses
• A commuter highway vehicle is a highway vehicle
  with a seating capacity of six or more adults
  (not including the driver) and where at least 80
  of the mileage use for a year is utilized for the
  purposes of transportation employees between
  their residences and places of employment and on
  trips which the number of employees carried is at
  least half of the adult seating capacity of such
  vehicle (not including the driver).

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Your Transportation Reimbursement Account Plan
Maximums

• The Internal Revenue Service provides for
• reimbursement as follows
• Up to 195.00 per month for parking
• Up to 100.00 per month for Transit and Van Pool
  expenses combined.

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How Do Transportation Reimbursement Accounts Work?

• Complete an election form authorizing deduction
  on a pre-tax basis from each paycheck. Your
  contributions will be placed into your account
  throughout the plan year
• As you incur expenses, submit a claim form,
  receipts, and/or required documentation to
  ProBusiness
• ProBusiness will reimburse you for your expenses
• Incurred means a Plan Participant has been
  provided services that gives rise to an expense,
  not when the Plan Participant is formally billed,
  charged for, or pays for the services.

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Changing your Transportation Reimbursement
Election

• Unlike the Flexible Spending Reimbursement
  Account plans, where an employee must experience
  a qualified status change to make an election
  change, an employee contributing in to the
  Transportation Reimbursement Account may make
  changes just by choice.
• The frequency of how often an employee can make
  an election change for this type of reimbursement
  account, is determined by the plan sponsors (your
  employer) account design.

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Enroll Using The Web!

• Access ProBusiness Web site from work or home at
  www.probusiness.com
• Refer to your step-by-step on-line instructions
• Once enrolled you will receive
• Confirmation your data was received
• A welcome kit with a confirmation statement and
  reimbursement schedule following open enrollment

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A Division of ADP National Account Services
Enroll in your Reimbursement Account Plans today!
It Pays
to participate!