Who and What Are Eligible for Pre-Tax Payroll Deduction?
Federal and state law allows employees to pay transit, vanpool, and parking expenses with dollars that are exempt from income taxes and FICA (Social Security and Medicare) withholding.
Employees may purchase up to $315 per month in parking expenses and $315 per month in transit and vanpool expenses using pre-tax dollars.
What Pre-Tax Purchases Can Be Made?
Order through Stanford Transportation Services:
- ‘MC’ permits
- 'A' and 'C' permits
- 'Z' permits
- One-day permits
Place your order: Stanford Transportation online ordering
Order through Edenred Commuter Benefits program:
- Transit passes (AC Transit, ACE train, BART, Caltrain, Muni, SamTrans), Clipper Cash, Commuter Checks.
- BART and Caltrain parking permits
Place your order:
Stanford University (non-SRWC) employees pre-tax commute purchases log in
Stanford Redwood City (SRWC) employees pre-tax commute purchases log in
What Purchases Are Not Allowed Using Pre-Tax Deductions?
Transit products for family members or friends are not eligible under this program and must be purchased directly from transit agencies or related vendors; items purchased must specifically be for personal use. In addition, the following are unallowable expenses.
NOT allowable:
- Tolls
- Taxis
- Gas/fuel
- Mileage
- Business trip costs
- Airport parking fees
- Parking fees at your home
- Transportation expenses not related to commuting.
Who is Eligible To Make Purchases?
Employees who meet the following criteria are eligible to use pre-tax payroll deduction:
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Work 20 hours or more per week
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Are paid through Stanford University
Exclusions include:
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Individuals employed on campus who are not paid directly by the university or the hospitals
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Contingent, temporary, and casual employees
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Postdoctoral scholars
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Graduate students
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Visiting scholars