Can you explain my pay stub? How do I save?
Seeing a deduction, but you already paid on your personal card? Not sure where to see the savings? See a deduction but no reimbursement? The math can be confusing! Here's what Alice for commuting (mass transit and parking) looks like on your paycheck.
- Pretax Deduction is where you’ll see the amount that you spent with Alice during that pay period. This deduction happens before your pay is taxed. Alice Deductions are never taxed! This helps you save on Federal, State, some Local, Social Security, and Medicare taxes!
- Post-tax Addition, most commonly shown as “reimbursement”. After taking other taxes out, we add the amounts back to your paycheck (when you spend on your personal cards connected to Alice).
But where does it show what I saved?
This math is not spelled out in your paycheck. Alice Deductions are pretax, just like health insurance deductions. Alice users average a savings of about 30%. Alice provides an estimate of your savings each time you confirm a purchase, and you can also see your estimated savings in your Alice Dashboard. The actual amount saved is dependent on your unique tax situation, income, etc. The U.S. federal income tax rates range from 10% to 37% (State and Local Tax rates vary).
How can I make sure I did save money?
One simple but effective way to make sure you did save money is by comparing your paychecks. Compare a paycheck with Alice to another one that didn’t have Alice on it. You’ll see that you’re paying less in income taxes.
Alice will also text you with a reminder of what you spent and the total estimated savings that pay period.
Alice helps you save on income taxes right in your paycheck, lowering the amount you pay on commuting purchases by spending pretax!