Human Resources

Pre-Tax Parking Fee Deduction Program

The Pre-Tax Parking Fee Deduction Program allows you the choice to payroll deduct your parking fees on a pre-tax basis. When you elect to payroll deduct on a pre-tax basis, it reduces your taxable income. This allows you to realize savings in Federal Income Taxes, Social Security, and Medicare. Due to recent changes in Federal tax laws, up to $230, effective 1/2009, of personal parking expenses per month can be paid for on a pre-tax basis through this program.

How do I know if I am eligible?

You are eligible for the Pre-Tax Parking Fee Deduction Program if you are a Faculty, Classified Staff, Exempt Staff or Hourly Employee. Student employees are not eligible.

How do I enroll?

All NEW employees are automatically enrolled in the pre-tax deduction unless they opt-out of the program. To opt-out of the program, complete the Opt-Out Form. 

Employees who are employed at the time when this program was put into place, July 1, 2009, will need to complete the Parking Permit Payroll Deduction Authorization Form to participate in the pre-tax parking fee deduction.

Can I still use payroll deduction for my parking permit WITHOUT enrolling in the Pre-Tax Parking Fee Deduction Program?

For current employees, unless you complete a Parking Permit Payroll Deduction Authorization Form, your deductions will continue as they are currently set up.

Can I get a refund on my permit if I purchased it using the Pre-Tax Parking Fee Deduction Program?

No, but you can stop the payroll deduction at any time prior to the month that you want the Pre-Tax Parking Fee Deduction to stop.

Important Note About Refunds: Federal law prohibits refunds of pre-tax qualified parking deductions. This is clearly stated on Parking Permit Payroll Deduction Authorization Form signed by the participant. According to the federal law and regulation, an employee who ceases to participate in the Pre-Tax Parking Fee Deduction Program (such as in the case of termination of employment) would not be entitled to receive a refund.

Tax laws do not allow for a refund of the Pre-Tax Parking Fee once deducted. Therefore, it is recommended that you payroll deduct through the end of the plan year (September through August) or until your academic or cyclic appointment ends each year.

If you wish to stop parking permit fee deductions, return the permit to the Parking office for cancellation of the authorization and the deduction will be stopped on the next available pay cycle.

If am a current employee, can I start my Pre-Tax Fee Deduction effective July 1, 2009, the start of the plan?

Yes, on the Parking Permit Payroll Deduction Authorization indicate the effective date of your participation in this program.

Will the amount of the Pre-Tax Parking Fee Deduction impact the amount I can contribute to my retirement plan or tax sheltered annuities?

No. Your retirement contributions will not be affected.

Will the Pre-Tax Parking Fee Deduction affect my Social Security benefits?

Since this program has the general affect of lowering your taxable income, Social Security benefits may be slightly reduced for certain participants.

Will the Pre-Tax Parking Fee Deduction reduce my retirement benefit?

No. The Pre-Tax Parking Fee Deduction will not impact your retirement benefit.

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This web site is maintained by the Human Resources Office.
 Highline Community College
 2400 S. 240th Street | P.O. Box 98000, M.S. 99-200
 Des Moines, WA  98198-9800
 Phone:   (206) 878-3710, ext. 3812 | Jobline: (206) 870-3751
 Fax: (206) 870-3773 | TDD/VP:  (206) 870-4853