Seattle Transit Benefits – Coming January 1, 2020
Seattle Transit Benefits Ordinance becomes effective on January 1, 2020. In 2018 the Seattle City Council passed the ordinance requiring Seattle employers to offer employees the opportunity to use pre-tax income to purchase qualified transit benefits. The new ordinance requires all employers with more than 20 employees to adopt a Qualified Transportation Plan (QTP) as dictated by the IRS Code 132(f) by January 1, 2020.
Some Seattle employers are exempt , but most are not. To see information on eligibility and compliance – go to the city’s Q&A. Another reference is the Employer’s Tax Guide to Fringe Benefits.
If you determine you are required to put this plan in place, we recommend that you don’t do it alone – work with a professional organization. We can recommend Sound Benefit Administration (SBA) to provide that service and expertise. They have been administering these types of plans since 2004. Contact SBA @ (360) 779-7047.