Payroll Deductions

Payroll Deduction Updates

(Updated 2/1/24)

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 $20.00 monthly subsidy for transit orders of $60.00 or more (and continue to provide a $10.00 monthly subsidy for transit orders of $30.00 through $59.99).  Orders placed by the next deadline (2/10/24) will be available for use by the following month (March).

Free Clipper Card: Transit Benefit Program Clipper Card Request Form (to receive a plastic Clipper Card in the mail) or add a free Clipper Card to your phone (for a limited time).

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 BART, Caltrain, Muni, SamTrans, SF Bay Ferry, Golden Gate Transit and Ferry, Marin Transit, and the SMART train.
• a 20% discount on 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.

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 $315.00 for parking and up to $315.00 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 ordering a WageWorks Debit Visa for Parking.

Instructions on ordering a WageWorks Debit Visa for Transit.

Instructions on Purchasing Frequently-Used Transit Passes

Instructions on purchasing an AC Transit 31-Day Local Pass.

Instructions on purchasing a BART High-Value Discount (HVD) Ticket.

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).