5 Ways a Commute Benefit Programs Can Save Your Business Money and Keep Your Employees Happy
In today’s competitive labor market, businesses are rethinking what employee benefits look like. Commute benefits are a smart way to support your staff while improving your company’s bottom line.
In our recent Commute Benefits for Beginners webinar, we partnered with experts from Get There Portland Metro, TriMet, City of Portland, and local employer LAIKA to talk about how to start your commute benefits program, even on a small budget. The biggest takeaway? It’s easy—here are five ways it benefits you and your employees:
1. Reduce Payroll Taxes with Pre-Tax Commuter Benefits
According to TriMet’s Adriana Britton, one of the easiest ways to start is with a pre-tax commuter benefit. Employees can set aside part of their paycheck before taxes to pay for public transit or vanpooling.
This lowers taxable income for employees and reduces the employer’s FICA (Federal Insurance Contributions Act) tax liability. In other words, every pre-tax dollar employees use for commuting saves you money on payroll taxes–win-win!
2. Cuts Parking Costs and Frees Up Valuable Space
Parking lots and garages are expensive to maintain. Michael Espinoza from City of Portland’s Bureau of Transportation (PBOT) pointed out that urban employers can spend thousands annually maintaining or leasing parking spaces.
By helping employees choose other commute options, like biking, carpooling, or public transit, businesses can reduce parking demand, defer costly expansions, or even repurpose valuable space for revenue-generating use.
3. Boost Retention and Recruitment — and Avoid Turnover Costs
A stressful commute can drive employees away. Get There Portland Metro’s Marne Duke shared that nearly 70% of workers say they’d switch jobs for a better benefits package that includes commute support.
Replacing a single employee can cost up to twice their annual salary in lost productivity and hiring expenses. By offering transit subsidies, carpool incentives, or flexible work arrangements, employers can significantly improve job satisfaction and retention — saving thousands per year in turnover costs.
At LAIKA, Sustainability Lead Carla Chen reported that commute benefits like carpool incentives, EV charging, and bike tune-ups have become a talking point in recruitment and a key factor in employee satisfaction.
4. Improve Productivity and Employee Well-being
A smoother, less stressful commute doesn’t just save money — it also boosts performance. Employees who bike, walk, or take transit often arrive more alert and engaged.
As Espinoza noted, commute programs like Portland’s City Bike Bus encourage social connection and physical activity, turning a daily hassle into a community-building event. Happier, healthier employees mean fewer sick days and higher overall productivity — measurable savings for any organization.
Ready to Get Started?
For most employers, the first step costs little or nothing:
Offer a pre-tax transportation benefit through your payroll provider.
Set up a Get There network to connect employees who can carpool.
Connect with TriMet to conduct a free commute survey to understand your staff’s needs.
As Duke emphasized, “Commute benefits are just like any other benefit — they keep employees happy and healthy, and in the long run, that benefits both them and you.”
To learn more about launching your commute benefits program, watch our recorded webinar, contact us for a free consultation, or check out these resources:
5. Tap into Free Local Resources and Partnerships
Many local and regional agencies offer no-cost support for employers.
Get There Portland Metro we help businesses create customized commute solutions, promotional materials, and even branded carpool networks — all for free.
TriMet offers free commute surveys, new-employee transit kits, and emergency ride-home programs for participating employers.
The City of Portland provides digital and print maps, behavior-change campaigns, and one-on-one consultation for companies exploring sustainable commute options.
Leveraging these partnerships means businesses can launch or expand commute benefits without hefty consulting or administrative costs.