What does Alice look like on my Paylocity paycheck?

Every dollar you spend on bus, subway, train, or parking through Alice comes out of your paycheck before taxes. That means less goes to taxes and more stays with you, usually 20% to 30% of what you spent. When you commute with Alice, two things can show up on your paycheck:

A pretax deduction: money set aside from your earnings to cover your bus, subway, train, or parking costs.
A matching reimbursement: only if you paid with your own card (not Alice Card). This puts the same amount right back into your take-home pay, tax-free.

Here's what that will look like on your paycheck if your employer is using Paylocity.

Using your own card

This employee's total pay for this pay period was $1,205.75 before taxes.
After taxes, they took home $850.13.
They spent $65.34 on parking with their own card, so Alice ran a $65.34 deduction and a matching $65.34 reimbursement. Paylocity labels the reimbursement "Addn" and shows it as a negative.
Comparing the values in blue, you can see their Fed Taxable Income is exactly $65.34 less than their Gross Earnings.
Because the reimbursement is untaxed, the employee gets to take home all of that $65.34 with no taxes.
Without Alice, this employee's take-home pay would have been about $830.
By using Alice, this employee increased their take-home pay by about $20.

Using Alice Card

This employee's total pay for this pay period was $1,205.75 before taxes, same as above.
After taxes and the Alice deduction, they took home $784.79.
They spent $65.34 on parking with their Alice Card, so Alice ran a $65.34 deduction to cover that purchase. There is no reimbursement line, because Alice Card already covered the cost when they tapped or swiped.
So their take-home pay appears lower, but they still saved about $20 by not paying any taxes on the $65.34 they used to pay for parking at work.
In the end, the result is the same as using your personal card: you don't pay taxes on your commuting spending, and you keep more of your earnings.

Need help?

Text or call (888) 431-4355 or email support@thisisalice.com.

Savings shown or implied — including any reference to "cash back" or take-home pay — are illustrative. Actual savings depend on your tax rate, benefit elections, and eligible spending each pay period. "Cash back" in Alice's materials refers to the federal, state, and FICA payroll taxes you don't pay on eligible commuter spending. It is income tax you keep, not a cash payment from Alice, your employer, or any third party. Alice does not provide cash back, rebates, or any direct financial benefit in connection with the Program. Alice does not provide tax, legal, or financial advice. Consult your own tax preparer, lawyer, or financial advisor for guidance specific to your situation.

Trademarks, brands, and product names referenced in this article are the property of their respective owners. References are for descriptive purposes only and do not imply endorsement. For definitive information about a third party's products or services, contact that party directly.

Pretax Hero Visa Commercial Card is powered by Stripe and issued by Celtic Bank. Program funds held at Fifth Third Bank, N.A. (Member FDIC). Use of card and program is subject to the cardholder terms and related agreements presented at issuance.