Third Party Pre-Tax Parking Reimbursement Account Program
Third Party Pre-Tax Parking Reimbursement Account Program
The Third Party Pre-Tax Parking Reimbursement Account Program is a voluntary payroll deduction program that allows you to deduct a specific dollar amount for work-related parking fees from your pay warrant prior to tax deductions; this reduces your taxable income. The funds taken out of your pay warrant go into a special reimbursement account that you will claim against. To receive payments from your account, you must submit a reimbursement claim form (CalHR 681) along with the required parking receipts. To enroll in this program you must submit the account enrollment form (CalHR 682).
For questions concerning the status of a claim or your account balance, please contact the third party vendor Application Software, Inc. (ASI) at (800) 659-3035 or visit the ASI website.
For more information on this program or eligibility, please contact your department’s personnel office.
Frequently Asked Questions
How do I know if I am eligible to participate in the Third Party Pre-Tax Parking Reimbursement Account Program?
Any active state employee who meets the following eligibility criteria can enroll:
- You drive a personal vehicle to work or to a location from which you commute to work;
- You pay for employment-related parking in a paid facility providing a receipt
- You currently do not have a state-administered or department-sponsored parking space.
When can I enroll?
There is no open enrollment period for the Program; you may enroll at any time.
How do I enroll?
Complete a CalHR 682 – Account Enrollment Form and give it to your departmental personnel office. For your deduction to be effective for the current pay period, your enrollment form must be processed and forwarded to the State Controller’s Office (SCO) Miscellaneous Deduction Unit by the 10th of the month.
What is the maximum deduction allowed from my paycheck?
You can deduct your actual cost of parking, up to $300 per month, for the 2023 tax year.
What is the minimum deduction from my paycheck required to remain enrolled in the Program?
You can deduct a minimum of $1 per month to remain enrolled in the Program.
Is there a cost to enroll in the Program?
No. Participants in the Program are not charged an administrative fee.
How do I get reimbursed?
- Pay your parking fees to your parking vendor and receive a receipt for all parking expenditures for the month.
- Complete a CalHR 681 – Account Claim Form. Your signature on the claim form attests that the reimbursement is for “qualified parking” and that you meet the eligibility criteria.
- Submit the completed CalHR 681 – Account Claim Form along with the required payment documentation to the third party administrator, ASI, via fax, mail, or your online ASI account.
How often can I submit a claim form?
You can submit a claim as often as you like. Reimbursement claims can be submitted monthly or on a less frequent basis. The reimbursement checks are mailed once a month at the end of the month. Your claim must be received by ASI by the 15th of the month to be included in the monthly processing cycle.
What information needs to be included on my parking fee receipt?
The following information should be legible on the parking fee receipt:
- The name of the parking facility or company
- The parking date(s) (e.g., Jan. 1-31, 2023)
- The parking fee amount
- Your name
What if my parking facility does not provide a receipt when I pay my parking fees?
You can submit other proof of parking fee payment with your CalHR 681 – Account Claim Form. It must include the required information listed in the question above. This documentation can be any of the following:
- Copy of money order
- Copy of cashier’s check
- Copy of the front and back of a cancelled personal check
- Copy of an invoice and the front of a personal check
- Copy of the front of a personal check on which the parking facility has signed and dated as paid
- Copy of credit card statement
- Copy of bank statement
- Proof of purchase of a debit card for parking meters
A copy of your paycheck statement showing the Program deduction is not proof of payment for reimbursement. If you still have questions about acceptable proof of parking payment, please contact ASI at (800) 659-3035.
Can I change my payroll deduction at any time?
Yes. You can increase or decrease the amount of your payroll deduction at any time by completing a CalHR 682 – Account Enrollment Form and submitting it to your departmental personnel office. The change to your payroll deduction will start with the current pay period if your form is received and processed by SCO’s Miscellaneous Deduction Unit by the 10th of the month.
Can I cancel my payroll deduction at any time?
Yes. You can cancel your parking payroll deduction at any time by completing a CalHR 682 – Account Enrollment Form and submitting it to your departmental personnel office. Your payroll deduction will be cancelled in the current pay period if your form is received and processed by SCO’s Miscellaneous Deduction Unit by the 10th of the month.
Whom do I contact to determine the status of a claim?
If you want to know the status of a recently submitted claim, login into your online ASI account or call ASI at (800) 659-3035 to speak with a customer service representative.
Whom do I contact if my reimbursement check is lost or stolen?
If you think your reimbursement check is lost or stolen, please contact the Program Coordinator at Pre-TaxParking@calhr.ca.gov.
Will my payroll deduction continue when I transfer from one department to another department?
Yes. Your payroll deduction continues when you transfer from one department to another. If you do not have to pay for parking at your new department or it has its own parking program, you need to cancel your payroll deduction as soon as possible. Complete the CalHR 682 – Account Enrollment Form and submit it to your departmental personnel office so they can process and forward it to SCO’s Miscellaneous Deduction Unit by the 10th of the month.
Do I need to cancel my payroll deduction when I move to a parking lot administered by a state department?
Yes. The Program’s payroll deduction differs from the state-administered/owned or state-sponsored parking programs in the way they are coded and processed. If you don’t cancel your payroll deduction as soon as possible when you move from a private parking lot to a state-administered/owned or state-sponsored lot, you will have duplicate pre-tax parking deductions taken from your paycheck and could face forfeiture of your unclaimed Program account funds.
If I stop participating in the Program and I have money left in my account, can I regain access to the money in the future?
If you are an active state employee, you must reenroll within one year from the date of cancellation to regain access to the money left in your account.
If I stop participating in the Program and I have money left in my account, will it be automatically refunded to me?
No. The Internal Revenue Code (IRC) doesn’t allow for the automatic refunds of unused funds in your account except for certain circumstances.
If you are an active state employee, you have one year from the date of your last activity (deduction or submission of a claim) to submit a claim for reimbursement. Claims must reflect costs incurred while you were an active participant in the Program and include valid parking receipts. Costs incurred after your last date of eligibility are not eligible for reimbursement.
If you are separating from state service, you have one year from your date of separation in which to submit a claim for reimbursement of work-related parking expenses incurred prior to your separation. Claims must reflect costs incurred while you were an active participant in the Program. Costs incurred after your last date of eligibility are not eligible for reimbursement.
If you don’t submit valid claims within these specified time periods, you will forfeit the remaining balance in your account.
Are there any circumstances in which I can receive a refund of money left in my Program account?
CalHR reviews refund requests on a case-by-case basis.
Refund requests are not permitted for current participants in the program or for participants who have a pending reimbursement claim on file.
There are certain circumstances when you may be eligible for a refund. For example, if you become disabled or there is a delay in processing your cancellation notice, you may be eligible for a refund.
If you are eligible for a refund, it is issued to you either by check or direct deposit. Refunds are not included in your regular paycheck. Since the deduction is done pre-tax, SCO is required to withhold taxes if you are issued a refund.
If I go on a leave of absence (LOA), will my Program payroll deduction continue?
If you go on a LOA, the payroll deduction will continue if there are “sufficient funds” in your paycheck. If you are on an Industrial Disability Leave and receiving non-taxable income, your pre-tax parking deduction will cease.
Since your Program payroll deduction can be cancelled and started at any time, your deduction should be cancelled when you are on a LOA of 30 days or more.