On January 1, 2016, the new MetroCard tax benefit program launched that enable straphangers to spend up to $130 in tax-free income a month for mass transit expenses in the New York City area thanks to a local law passed by the City Council that require any business in the city with more than 20 workers to let employees pay cover transit expense with pre-tax money.
This is great news for bus and subway, Metro North and Long Island Railroad riders who can all qualify for the program and save as much as $443 annually on monthly MetroCards. An estimated 450,000 workers in New York City will now be eligible for the benefit. Employers then either offer their workers a prepaid card or a debit card only usable at MTA vending machines. The new MetroCard tax benefit can actually save companies about $103 a year per employee who takes part in the program.
I pray that commuters in the New York area takes advantage of this program.