Skip to main content

Lyft expands its tax-saving carpooling benefit program to more US cities

Lyft expands its tax-saving carpooling benefit program to more US cities


Is Lyft Line public transit?

Share this story

Photo by Amelia Holowaty Krales / The Verge

Lyft announced today that it would expand its commuter benefits program to all US cities where it operates its carpool service. Now, people who use Lyft Line to commute to and from work every day can save up to 40 percent by using pre-tax dollars through their employee benefits programs, the company says.

Lyft debuted its commuter benefits program a year ago in just four cities: New York City, Boston, Seattle, and Miami. Now those benefits will be available to residents who live in all 18 cities where Lyft Line operates. Employees who use WageWorks, TransitChek, Benefit Resource, Commuter Benefit Solutions, Navia, Zenefits, Ameriflex, and EBPA to receive benefits are eligible for the reduced fares.

Over the last few years, Uber and Lyft both have positioned their respective carpooling services as a form of public transportation. Indeed, there have been a growing number of private microtransit services across the country, especially as public transit service in many large cities starts to show signs of strain. Uber has struck partnerships with several cities and townships to offer reduced fares for commuters, and Lyft has followed suit.

But the fact remains that while they may be popular with riders, Lyft Line and UberPool are still enormously unpopular with drivers. A recent survey found 56.5 percent of drivers disliked driving for UberPool.