Your permit will be billed to your student fee account.
Changes in your enrollment status may cause you to become ineligible for Student Fee Account payment transfer.
If you become ineligible, your permit will be held until it is paid in full or until it is revoked for non-payment on
August 25, 2023,
whichever occurs first.
Your permit will be placed on your Student Fee Account approximately the first week of August.
Payment is due by the date specified by Student Billing Services.
To qualify for payroll deduction, you must be in a budgeted position with at least a 4.5 month appointment and at least 25% effort.
Changes in employment status may cause you to become ineligible for payroll deduction.
If you become ineligible your permit will not be active until it is paid in full. Permits not paid by
August 25, 2023
will be offered to the next customer waiting.
The Texas A&M University Pre-Tax Parking Deduction Plan requires eligible employees to pay for TAMU
parking permits with pre-tax dollars. This pre-tax benefit is available only
through payroll deduction for qualified parking, as defined by the IRS and established
by TAMU. Appropriate deductions will be made before federal, state, Social Security,
and Medicare taxes are calculated. As a result, your taxable income is reduced,
as well as the taxable income reflected on your annual W-2 statement. An employee’s
gross pay will not change, but the amount of pay subject to tax withholdings will
be reduced. The effect is that employees will have an increase
in their net pay because less tax will be withheld from their pay. Participation in the
plan is required for employees choosing to participate in payroll deductions for the payment of their parking permit.
The Texas A&M University Pre-Tax Parking Deduction Plan will have no impact on your Teachers Retirement
System, Optional Retirement Plan, or any other paid benefits. However, depending
on your salary, your Social Security benefits at retirement may be reduced slightly
because you will have paid Social Security taxes on a lower wage.
(For more information, you may wish to consult your tax advisor or financial planner.)
Anyone choosing payroll deduction will be enrolled in the Texas A&M University Pre-Tax Parking Deduction Plan.
Those eligible to participate in the
Texas A&M University Pre-Tax Parking Deduction Plan are employed by Texas A&M University in a position budgeted
for a minimum of 4.5 months AND at least 25% effort. Participation requires enrollment
in payroll deduction for the payment of your parking permit.
Enrollment in the Texas A&M University Pre-Tax Parking Deduction Plan is required for eligible employees.
Employees wishing to opt out of the pre-tax plan can do so by paying the entire balance of their permit in full.
Employees enrolled in payroll deduction for the payment of their parking permits
are automatically enrolled in the Texas A&M University Pre-Tax Parking Deduction Plan. Employees
who are not currently paying for these expenses through payroll deduction must authorize
payroll deduction to receive the favorable tax treatment available under this
new program. Participation will be effective with the first paycheck containing a parking
deduction. Your participation will continue from pay period to pay period until
you terminate the plan or separate from Texas A&M University employment.
If you choose to discontinue your participation, you must follow the permit cancellation process and pay the balance of your permit in full.
Federal regulations require pre-tax parking deductions to be paid in advance.
Additionally, the Internal Revenue Service mandates that no portion of payments made on a pre-tax basis may be refunded to the customer.
Customers who select pre-tax payroll deduction during online permit registration will see deductions reflected in the following ways:
Customers who select pre-tax payroll deduction after online permit registration closes will see deductions reflected in the following ways:
No. If you don't wish to participate in pre-tax parking deductions, you must pay the entire balance of your permit in full.
If you elect to discontinue your participation in the Texas A&M University Pre-Tax Parking Deduction
Plan, bring your photo ID and permit to Polo Rd. Building, Suite 350
and pay the permit balance due in full.
The IRS limits qualified expenses to those incurred when you park at or near your
work location. Only expenses paid in advance by means of payroll deduction are eligible
for pre-tax treatment under the program. Expenses incurred before the period
covered by a payroll deduction are not eligible for payment under the program. For
example, an employee may not pay for the cost of a parking pass for September with
payroll deductions made in the following October.
IRS Code Section 132(f) limits the amount of qualified parking that may
be excluded from your taxable income for pre-tax parking deduction. The IRS may
adjust this limit annually for cost-of-living increases. Any amount of parking deduction
in excess of the allowed amount will be paid with after-tax dollars. Currently,
no Texas A&M University parking permit exceeds this limit.
If an employee is contributing at or near the maximum amount to a supplemental retirement
income (IRC 401(k)), a tax sheltered annuity (IRC 403(b)), or a deferred compensation
plan (IRC 457), the employee may need to decline the pre-tax parking benefit or
adjust his or her tax-deferred contribution because participation in the pre-tax
parking benefit reduces the income available for sheltering under those plans.
Social security earnings upon retirement may also be marginally affected due to the reduced social security contribution.
Employees should consult their tax advisors with questions.
Each month participating employees have dollars deducted from their paycheck, up
to a limit set by the IRS, on a pre-tax basis to pay for parking passes or other
qualified transportation expenses. Since these deductions are taken on a pre-tax
basis you are saving taxes by not paying income or social security
taxes on the wages used to purchase parking. The net effect is that you are buying
your pass at a discounted price. You may save up to 35% depending on your tax bracket,
which might mean up to 3 free months of free parking over the course of the year.
An employee's gross pay will not change, but his/her net pay will increase, due
to the lesser amount of pay subject to tax withholding. Examples:
No. Federal law prohibits refunds of pre-tax qualified parking deductions. Employees
can stop payroll deductions at any time prior to the month that you want the Pre-Tax
Parking Fee Deduction to stop by paying their permit balance due in full. It is recommended that you payroll deduct through
the end of the plan year, or until your academic or cyclical appointment ends each year.
Rules governing pre-tax parking plans are set by the Internal Revenue Service (IRS)
and supersede the information contained on this website in the event of any discrepancy.
If you have questions about the plan, contact the Transportation Services office
at firstname.lastname@example.org or 979.862.7275 (PARK).
Payment must be received by
August 25, 2023
to claim your parking assignment. Permits will not be mailed until payment is received.
Pay online with CREDIT CARD or E-check. Beginning
August 1, 2023,
assignments will be available via My Account and you may pay for your permit.
Mail a check, payable to Texas A&M University and include your printed permit confirmation to:
Pay in person by bringing your picture ID and payment to Polo Rd. Building, Suite 350.
Payment will be processed and your permit activated.
Register for the parking permit you desire.
On Step 2, choose the Credit Card or eCheck payment option*.
No later than August 1, 2023
you will receive an email from Transportation Services via TAMU email
indicating that it is time to submit payment information. Login to My Account,
print your parking assignment and mail your printed permit information and payment (check) to:
To pay in person, bring your picture ID and payment to Polo Rd. Building, Suite 350.
Payment will be processed and your permit activated.
*Payment must be received by
August 25, 2023
to claim your parking assignment. Permit will not be mailed until payment is received.