#Commuter Benefits

Carpool rideshare incentives: need-to-know info

February 07, 2023

From saving time to saving the environment, there are many reasons why today’s commuters should consider carpooling — and plenty of reasons for employers to incentivize it.

Let’s take a look.

Why carpool?

Today’s employees are all about working smarter, and that includes their commute. Here are some reasons employees may opt into rideshares or carpooling.

Helping the environment

The bottom line is that fewer people driving means fewer cars on the road, which equals less fuel burning, which significantly impacts the environment. Just how much of an effect does it have? Carpooling can reduce the carbon footprint of an average household by up to 2,000 pounds!

Save time & money

Fueling up has hit us all in the wallet this past year — inflation made gas prices rise over 10%. It makes sense that if you can share a ride, you’ll save money.

Depending on the vehicle and habits of the driver, the total cost of auto ownership and use can range from approximately $0.50 per mile to over $1.00 per mile. For a person with a longer-than-average commute (e.g., more than 12 miles) and carpooling 250 days a year, the potential savings in a two-person carpool could exceed $1,500.

Carpooling not only saves money in expenses, it can also be a time-saver. By not having to find a place to park, or fight to get through traffic, employees can shave precious time off their commute, which often leads to less stress and more productivity in the workplace.

Lyft Rides

Despite the benefits that carpooling provides, it’s not always feasible to organize office carpools due to where employees live, varying shift schedules or start/end times, and before-work or after-work obligations.

So, what are some other smart commute alternatives?

Lyft Rides is one option that gives employees flexibility in commuting while taking advantage of cost savings.

Private Lyft Ride subsidy

Lyft Rides offers your employees a subsidy that can be used towards Private Lyft Rides, which is a powerful incentive as they return to the office.

Guaranteed Ride Home

When you offer Guaranteed Ride Home to your employees, they can opt to take a Private Lyft Ride to get home in the event of an emergency or other related matter.

How it works

Employees can request a ride directly through the mobile app and select their vehicle class and pricing options. The mobile app then checks the existing balance of subsidized funds before completing the ride request. The origin and destination are restricted to home and office addresses, ensuring subsidies are used for commuting. The optional approval process guarantees that Private Lyft Rides are being used for commuting purposes.

A win-win

By including the carpooling/rideshare option as part of your commuter benefits, you can show your support for employees’ needs and subsidize this option without creating new policies and additional administration outside of your current commuter benefits offering.

To see how adding commuter benefits to your portfolio can benefit you and your employees, schedule a meeting with us today to learn more.

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