About Clipper Direct

Clipper Direct is a transit benefit program offered exclusively by Clipper®. The Internal Revenue Service tax code (Section 132 [f]) allows employees participating in employer-sponsored transit benefit programs to use up to $270 a month in pre-tax dollars towards their commuting costs on transit.

Transit benefit programs offer tax savings for both employees and employers. Using pre-tax dollars, employees can save up to 40% of the cost of their transit commute* to and from work. Employers can reduce their payroll taxes by as much as $25.50 per month for each participating employee.

Clipper makes commuting easy- the reloadable Clipper card allows employees to pay fares on multiple transit agencies, making Clipper the most convenient way to pay for transit. Clipper is accepted on most Bay Area transit agencies. Please visit clippercard.com for information about current participants. Transit riders can add any combination of cash value, monthly passes or tickets to their cards. Clipper protects your balance, which can be replaced for a small fee if your card is ever lost, stolen or damaged. To learn more about Clipper, please visit clippercard.com.


* The percentage of tax savings varies based on employee's actual tax rate. A total savings of 40% is based on a 28% federal income tax rate, 5% state income tax rate and 7.65% FICA and Medicare tax rate.