MONTGOMERY COUNTY, Md. — Commuters who work in Montgomery County could get reimbursed up to $280 a month for using public transit, or vanpooling, if they ask their employers to set up a transportation benefits program.
The ‘FareShare’ program is from the Montgomery County Department of Transportation (MCDOT) and offers reimbursements to local businesses for their employees’ costs for commuting to work by public transit—and the money is tax-free.
The program could cover public transit, or expenses from commuters using Ride On bus, Metrobus, Metrorail or MARC train to commute to and from a workplace within Montgomery County.
Employers who want to implement a transportation benefit program must commit to covering the first $25 per month of travel costs for employees who use buses or vanpools. Participating employers are also eligible for a state tax credit of 50 percent of their $25 contribution per employee each month. This credit is available to both for-profit and nonprofit organizations. For more information on tax credits, visit Commuter Choice Maryland website.
Montgomery County will cover expenses over the initial $25, up to $280 a month. The full subsidy could be as high as $3,360 per year, per employee. It is tax-free to both the employee and the employer.
There is a maximum payout of $40,000 to each business per year.
“A lot of workers are returning to offices at least on a hybrid schedule,” said MCDOT Director Chris Conklin. “With gas prices so high, people are looking for alternatives that will make their commute less expensive and more convenient. Employers have an opportunity to provide an impactful benefit to their employees and to reduce their taxes.”
For more information and to request free support to implement or increase a transportation reimbursement program visit the MCDOT website here.