What are “Transportation Accounts” or “132 Benefits”?

Section 132(f)(4) of the Internal Revenue Code provides you with the opportunity to pay for qualified commuting expenses on a
pre-tax basis. You may exclude up to $245* per month for parking and up to $245* per month for mass transit (train/bus passes and
vanpool) costs. Thus, you could elect to reduce your taxable wages up to $490 per month. (*2013 limits, indexed annually)

What expenses are eligible for pre-tax reimbursement?

1. "Qualified parking" is defined by the Internal Revenue Service as:
(a) parking provided to you at or near the business premises of the employer or
(b) parking at a location from which you commute to work by transit pass, commuter highway vehicle or carpool
(e.g., the cost of parking in a lot at the train station so that you can continue your commute via train, bus, vanpool or carpool.)

2. “Mass transit” is defined as:
(a) transportation in a commuter highway vehicle if such transportation is in connection with travel between your residence and place of employment or
(b) any transit pass (token, fare card, voucher).

How am I reimbursed for parking or mass transit expenses?

If you purchase your qualified parking from the service provider directly, complete a "Request for Reimbursement” (provided by Group Dynamic, Inc. our third party administrator), attach your receipt for the expenses, and Group Dynamic, Inc.
will reimburse you with tax-free dollars via check or direct deposit. All claims must be for services incurred during your employer’s plan year. “Incurred” is defined as when the services were provided, not when payment was made.

If your employer currently deducts your portion of these costs from your wages and pays the parking authority on your behalf, your deduction will now come out of your pay pre-tax and there is no reimbursement necessary.

How do I enroll in the plan?

You will receive information on how to enroll in the plan from your employer. You will need to designate an amount for mass transit expenses and a separate amount for parking expenses. Separate reimbursement accounts are maintained for each
category, and funds cannot be commingled or transferred between accounts.

Will I forfeit any unused monies at the end of the plan year?

No. Any funds in your account at the end of the year will be automatically rolled into the subsequent year. You may not receive in cash any money left in the account at the end of the plan year should you decide to end your participation in the program.

May I change my election mid-year?

If your parking costs change during the year, you may make a subsequent change to your election(s) on a monthly basis. All changes must be made on a prospective basis only.

What happens if my employment terminates?

You may request reimbursement through the end of the year for expenses incurred while you were employed.

What if I have additional questions?

Questions regarding the program should be directed to your employer. Specific questions regarding your account or claim submission can be directed to the GDI Customer Service Team at 1-800-626-3539.

01/15/2013