Many companies are leveling-up their benefits programs to stay competitive in our ever-changing job market. One way to attract top talent and improve employee satisfaction is to offer flexible and sustainable Commuter Benefits.
Commute topics are frequently at the center of conversations around encouraging workers to return to the office. In an Indeed survey on returning to the office, 45 percent of workers are worried about commute time, and 38 percent note concern about additional transportation and fuel costs to get to the office. It’s clear that employees want fast, accessible, and affordable ways to commute.
The case for commuter benefits
Commuter Benefits, also known as transit/transportation benefits, are a winning proposition in which employees can use tax-free money to pay for commuting expenses, and companies can encourage employee wellbeing and environmental sustainability.
- Promote company culture: Transportation benefit programs play a significant role in creating a positive, community-oriented culture in which all teammates are able to tailor their commute.
- Drive job satisfaction: Research proves that transit benefits are related to greater job satisfaction and general well-being.
- Increase savings: Employers who provide commuter benefits improve employee satisfaction while lowering payroll taxes and helping employees save more of their paycheck each month.
- Unifying tool: Commuter Benefits can be an excellent tool for unifying employees regardless of their preferred transportation mode. Therefore, all employees can take advantage of tax breaks offered by the IRS and any other benefits their employers provide.
Practical ways to begin implementing transportation benefits
- Analyze what’s already happening. A good first step is to understand how your employees are commuting. What are common travel habits? What has changed in the last three years? You can also conduct surveys on your commuters' habits and their willingness to consider alternative modes of transportation. Adding this data to your decision making will help ensure your program suits your employees.
- Identify local commute options. See whether or not the office is near a transit hub, if an employee carpool program or vanpool program would be advantageous, or if there are bike-friendly streets surrounding the office.
- Consider equitability among your employees. Create a fair and accessible program by adding guidelines for proper use, eligibility requirements, and cut-off dates.
Incentive programs can motivate people, especially if they are money-focused. Also, they give the employees the extra push to try out a new transportation method.
Take the next step
Commuter Benefits can be a key component of retaining and attracting talent. Companies that offer this suite of benefits can stay competitive in a world where flexibility and choice are top of mind. Speaking of keeping pace with a competitive talent market, be sure to attend our upcoming conference on all things commuting.
Attend Luuminary22, a virtual conference featuring the hottest topics—supporting a hybrid workforce, blending Commuter Benefits with HR policy, developing equitable programs, and more. Register today and get ready to gather with industry leaders.
HealthEquity does not provide legal, tax or financial advice. Always consult a professional when making life-changing decisions.