New York City Transit Benefits – Jan. 1, 2016
Effective January 1, 2016, New York City employers with 20 or more full-time employees (those who work at least 30 hrs/wk) are required offer pre-tax transit benefits. Companies will have a six month grace period and then a penalty will be imposed if not in compliance within 90 days after a violation is found. The first violation will cost between $100-$250 and any violation after will be $250 every 30 days until compliant. Currently under a transit benefits program, employees can set aside $130 pre-tax each month. Employers should ensure that they have a transit benefit in place by 2016 to conform with the new requirements.