With commuting pains growing, these benefits can help

Man commuting to work with bag on bus
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  • Key insight: Learn why commute benefits are becoming strategic retention tools under renewed RTO mandates.
  • Expert quote: Offer pre-tax commuter FSAs and employer contributions, says Ellen Pressman.
  • Supporting data: In NYC, 29% of transit users commute over an hour one way.
    Source: Bullets generated by AI with editorial review

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The increase in RTO mandates has many employees back to commuting multiple days a week — and dealing with all the related pain points. Financial and other associated benefits and perks can take the sting out of high gas costs and tedious treks to the workplace.      

Coast to coast, the average one-way commuting time in major cities is between 27 to 41 minutes by car and closer to an hour by public transportation, according to commercial telematics company Geotab. Many, though, face longer hauls. In New York, for example, out of nearly 2 million public transit users, 29% spend more than an hour each way, while 10% of the nearly 900,000 drivers spend that long going to and from work. For the latter group, high gas prices have driven up commuting costs that also generally include routine car maintenance and parking fees.  

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A simple but meaningful difference

Ellen Pressman, EVP, operations and client services at HR services company Congruity HR, helps employers design commuting benefits. With many of her clients in major metropolitan areas like New York City, Chicago and Miami, she shared some options that are particularly valuable to those with employees who use public transit.  

"We've been seeing a major uptick in return to work in the past 18 months," Pressman said. "We encourage employers to offer the pre-tax commuter and parking flexible spending accounts (FSAs) as well as an employer contribution toward this benefit to lessen the perceived burden for employees." 

Richard Huang, CEO and founder of office solutions company Reframe Space, covers parking costs for his employees who drive in. "It sounds simple," he said, "but makes a meaningful difference in daily stress, especially in areas where parking is expensive or unreliable. Removing that friction at the start and end of a workday matters more than people give it credit for."

Huang's employees also get a monthly commuting stipend, good toward anything from transit passes to gas to rideshare. "We didn't want to prescribe how people get to work; we just wanted to make it less of a financial burden, regardless of their situation," he said. 

Any contribution to employees' commutes can make a powerful impact, he continued, especially in tougher financial times. "Commuting is one of those costs that's easy to overlook because it's spread out in small amounts. A tank of gas here, a transit pass there, a rideshare on a bad-weather day. Individually, none of it feels significant, but it adds up to a real, recurring expense that employees pay just to show up. When the broader economy feels uncertain, those small fixed costs are often the ones people feel most acutely, because they're unavoidable and they hit every single workday."

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Beyond financial support

In addition to financial contributions, many of Pressman's employer groups are also offering benefits such as discounted Oura Rings, Fitbits and other fitness trackers so employees can see the health benefits associated with their commutes. She's also seeing gift cards being offered to companies' stores to spend on commuter essentials like headphones or airpods, reading lights, windbreakers and umbrellas. 

"Not only does this help employees to make their commute more comfortable, [but when these items are branded,] it also allows them to represent their company," she said. Lastly, she points out the value of gift cards or subscriptions to audio book, podcast and music platforms to give employees personalized listening options while on the road.

Read more:  Retirement benefits, hybrid work lose ground as employers cut costs 

While offering any of these is helpful, employee education about these benefits is key to their impact. "Make sure employees are not only aware of the benefits that are available to them, but they understand those benefits and how those benefits apply to them," Pressman said. 

"We provide … licensed benefit counselors — employees can call them and talk about their personal situation one on one," she said. "Everybody's situation is different, so just offering some of those more personalized things goes a long way."


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Financial wellness Employee benefits Employee retention
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