Updated on: Jul, 07, 2025
Originally Posted: Aug, 31, 2020 8:24AM ET • 2 min read

A P parking sign with clouds in the background

If you are new to the parking industry or have recently taken over your organization’s parking program, you might be curious about the difference between on- and off-street parking. Here is everything you need to know.

On-street Parking

On-street parking refers to designated vehicle parking spaces on a public street, typically within residential or commercial areas. Where paid parking regulations are in place, on-street parking is usually managed and controlled through a combination of parking meters, enforcement services, and signage that outline the instructions and applicable rules for the parking area.

Paid parking systems may use pay-and-display or pay-by-license plate meters. With these systems, enforcement officers verify valid parking sessions from the displayed ticket on the vehicle dashboard or the vehicle’s license plate in a database. In addition to traditional meters, payments can also be made through mobile parking apps. When cloud-based enforcement is integrated with handheld or in-vehicle license plate recognition (LPR) technology, vehicles can be authorized in real-time, whether payment was made using a mobile app, parking meter, permit, reservation, or by entering or scanning the vehicle’s license plate.

For operations that do not have paid on-street parking in place, time-based regulations typically stipulate certain hours or maximum duration vehicles can park. These regulations are controlled by the municipality and enforced by parking or bylaw officers.

Off-street Parking

Off-street parking refers to designated vehicle parking spaces within enclosed parking lots or garages. These facilities can be owned and operated by municipalities, government organizations, or private companies. Parking access and control solutions can vary, ranging from parking meters, gated parking systems, and mobile payment apps. Regulations can include a paid parking system or reserved parking for permit holders, customers, tenants, or visitors.

Gated systems are commonly used in garages or controlled lots, where drivers prompt a gate upon entry and pay at a pay station or exit terminal. These systems ensure vehicles cannot exit the facility without payment or valid access credentials. A variety of permits and access credentials are used to manage entry, such as short- and long-range RFID permits, vehicle transponders, Bluetooth Low Energy (BLE) permits, mobile permits, HID access cards, hangtags, and automatic license plate recognition (ALPR). These technologies improve access control, streamline permit management, and enhance enforcement.

The main differences between on- and off-street parking are summarized below:

Location: Exactly how it sounds, on-street parking is located on the side of a road, while off-street parking is provided within a parking lot or garage
Equipment options: For paid parking regulations, access and control systems for on-street parking systems are primarily parking meters as they cannot be managed by gated parking equipment. Off-street parking can benefit from a full suite of parking technologies, including gated equipment to manage access.
Enforcement & permits: Since on-street parking systems are subject to an honour system, parking enforcement services must be in place to verify valid parking sessions. A variety of permits and access credentials can be used to manage entry and exit for off-street parking with a gated system.

Understanding the difference between on- and off-street parking is essential for successfully managing permits and enforcement at your parking facility.

References

Duggan, T. (2025, March 11). Parking 101: 3 use cases for license plate recognition you need to know about. Precise ParkLink | Parking Management Services. https://www.preciseparklink.com/news/parking-101-3-use-cases-for-license-plate-recognition-you-need-to-know-about

Li, J. (2022, March 18). Cloud-based Enforcement: An introduction. Parking Industry. https://www.parkingindustry.ca/feature-articles/cloud-based-enforcement-an-introduction?rq=enforcement

Subscriber Management - Precise ParkLink: Parking Management Services. Precise ParkLink | Parking Management Services. (n.d.). https://www.preciseparklink.com/ps-parking-subscription-management