Payroll Deduction Updates
Reminder: There is no more auto-renew. ALL campus annual parking permit holders will need to re-enroll in payroll deduction through My P&T Online for the 2023-2024 fiscal year.
AC Transit Employee EasyPass Program Suspended: Because the Employee EasyPass program has been suspended, employees who commute to campus on AC Transit can order Clipper Cash and Monthly Passes through WageWorks (see instructions below). Parking & Transportation will provide a $10.00 monthly subsidy for transit orders of $30.00 or more. Orders placed by the next deadline (11/10/23) will be available for use by the following month (December).
Clipper START (Discounted Fares) Program: Clipper START is a pilot program to provide single-ride discounts to eligible low-income riders. Participants can receive:
- a 50% discount on Caltrain, Muni, SamTrans, SF Bay Ferry, Golden Gate Transit and Ferry, Marin Transit, and the SMART train.
- a 20% discount on BART (soon to increase to 50%), AC Transit, County Connection, Wheels, WestCAT, Tri Delta Transit, Union City Transit, Sonoma County Transit, Petaluma Transit, Santa Rosa CityBus, VINE, SolTrans, FAST, and City Coach.
Cancel Payroll Deduction
The cancellation procedure varies according to the payroll deduction program you are enrolled in and is summarized at the bottom of the table below.
Payroll Deduction Programs
Parking & Transportation offers separate payroll deduction programs for parking and transit to help save you money on your commuting expenses, which are summarized in the table below.
|Are You Purchasing Parking or Transit?||Parking||Transit|
|What Kind of Parking or Transit Are You Purchasing?||Annual Campus Permits||Daily Permits, PayByPhone App, Parking Meters & Paystations, Non-Campus Parking (e.g., Stadium Garage, BART, City of Berkeley, etc.)||All Transit Purchases (e.g., Clipper, AC Transit, BART, Amtrak, etc.)||AC Transit Employee EasyPass|
|How Are Benefits Provided?||Monthly Recurring Payroll Deduction||WageWorks Debit Mastercard Funded from Payroll Deduction||WageWorks Debit Mastercard Funded from Payroll Deduction||This Program Has Been Suspended. To purchase an AC Transit 31-Day Local Pass, order a WageWorks Debit Mastercard below.|
|Where to Order?||My P&T Online||WageWorks (see instructions below)||WageWorks (see instructions below)|
|When to Order?||Anytime. The permit fee for annual and semester permits are pro-rated according to the purchase date.||The order deadline is the 10th of each month. WageWorks Debit Mastercard parking funds are loaded on the last day of the month. (The minimum combined parking and transit order amount is $30.00 per month.)||The order deadline is the 10th of each month. WageWorks Debit Mastercard transit funds are loaded on the 19th of the month. (The minimum combined transit and parking order amount is $30.00 per month.)|
|Pre-Tax Payroll Deduction Limit||$300.00 combined monthly parking limit (combined monthly parking amount above $300.00 limit will be taxable)||$300.00 monthly (transit amount above $300.00 monthly limit will be taxable)|
|Are There Other Incentives?||There is no additional incentive for parking orders.||Parking & Transportation provides a $10.00 monthly subsidy for transit benefit orders of $30.00 or more. (For example, if you add $30.00 in transit funds to the WageWorks Debit Mastercard, you will only be deducted $20.00 from payroll.)|
|How to Cancel Payroll Deduction?||Complete and submit the Annual or Semester Parking Permit Cancellation Form.||Login to WageWorks, scroll down, and click "Edit" to modify or cancel your order.||Login to WageWorks, scroll down, and click "Edit" to modify or cancel your order.|
How Does It Work?
The payroll deduction programs offer eligible employees the ability to pay for qualified parking or transit commuting expenses with pre-tax dollars. If you enroll in a program, the monthly deduction that you specify (up to $300.00 for parking and up to $300.00 for transit) is deducted from your pay before federal, state and FICA taxes are calculated. Your taxable income is reduced, and consequently, your taxable income reflected on your annual W-2 statement is reduced.
While your payroll deductions are exempt from federal, state, and FICA taxes; however, they are not exempt from UCRP retirement contributions. Your commuter benefit deductions have no impact on any other employer-provided benefits that are based on your salary, such as the Health FSA (Flexible Spending Account).
Depending on your salary, your Social Security deductions may also be reduced by your payroll deductions. This means your Social Security benefits at retirement also may be reduced, because you have paid Social Security taxes on a lower wage amount. You should take this into consideration as you make your decision about enrolling. (For more information, you may wish to consult your tax advisor or financial planner.)
Planning Your Deductions
If you are already paying for parking and transit expenses, you probably know your monthly expenditures. By looking at your records for the past year, you can estimate the monthly deductions you want to make. You must estimate your eligible expenses very carefully, as IRS regulations prohibit the return or refund of unused transit passes or WageWorks Debit Mastercard balances.
Pre-tax commuter benefits are governed by Internal Revenue Code Section 132(f)(2)(A), which is subject to Congressional action and/or IRS cost-of-living adjustments.
Instructions on Ordering WageWorks Debit Cards
Instructions on Purchasing Frequently-Used Transit Passes
Payroll Deduction Schedule
Payroll deductions for qualified parking or transit commuting expenses are taken based on the UCPath payroll deduction calendar according to the schedule below and are taken on either a monthly or biweekly basis according to an employees' pay cycle (either the monthly amount or half of that amount, respectively).
|Parking or Transit Benefit Month||Monthly Employee Deduction Dates
||Biweekly Employee Deduction Dates
|Monthly Pay Period End Date||Monthly Pay Date||1st Biweekly Pay Period End Date||1st Biweekly Pay Date||2nd Biweekly Pay Period End Date||2nd Biweekly Pay Date|
|* Due to a payroll processing issue, the August Monthly deduction was not taken as scheduled. (This deduction was taken during the September Monthly pay period, with some exceptions.)|
|* Due to a payroll processing issue, the August Monthly deduction (if any) was combined with and taken during the September Monthly pay period, with some exceptions.|
|January 2024||1/31/24||2024 UCPath Payroll Deduction Calendar has not yet been published.|