Commuter Spending Account Enrollment coming in January 2016
Enrollment begins January 1, 2016
Beginning January 1, 2016, employees will be able to enroll in a CSA to pay for transit and parking expenses incurred when commuting to and from work. CSAs let you use pre-tax dollars to pay eligible parking and transit expenses like parking lot fees and vanpool, bus and train fares. Like flexible spending accounts, CSAs are subject to IRS regulations.
Two types of CSAs:
- The parking account can pay for eligible parking expenses near the employee’s workplace or at a location from which the employee commutes to work via mass transit or vanpool.
- The transit account can pay for eligible mass transit – bus, train or subway - or vanpool expenses associated with travel to and from work. The IRS does not consider gas or toll road fees to be eligible expenses. (Generally, a vehicle is eligible for vanpool expenses if it seats at least six adults, not including the driver, and uses at least 80 percent of its mileage to transport employees to and from places of employment.)
Employees can find more information about CSA on the TexFlex website or contact ADP at (844) 884-2364 Monday – Friday, 7:00 a.m. to 7:00 p.m. CT.
FY 2016 Retirement Rate Changes
The September 2nd issue of the weekly ERS Employee News communication regarding a change to ERS contributions and a corresponding increase does not apply to TWU or any other higher education institution.
This letter included details regarding retirement contributions for non-higher education State Employees. The article references an increase to the ERS (Employees Retirement System) contribution along with an increase in pay to offset this increase. The 2.6% increase in contribution and 2.5% pay increase only applies to non-higher education state employees such as employees of the Department of Transportation.
TWU employees and all state higher education agencies contribute to the Teacher Retirement System (TRS) of Texas. The TRS contribution increase was .5% with a change from 6.7% to 7.2%. All references to retirement contributions to ERS can be disregarded.
To review FY 2016 benefits changes and to subscribe to the newsletter go to the ERS home page.
Please note there are often significant differences between State Higher Education Institutions and State Agencies. When subscribing to the newsletter select the News for Non-State Agency Employees.