Overview
Companies invest $20,000-$100,000+ in relocating employees, viewing it as a recruitment and retention tool. Packages range from basic (lump sum cash) to comprehensive (full-service move, temporary housing, spouse career assistance, and home sale programs). The trend is toward lump-sum and managed-cap policies, giving employees more flexibility but also more responsibility. Negotiating before accepting an offer is crucial.
Key Benefits
Tax gross-up protections on taxable benefits
Temporary housing for 30-90 days typically
Spouse/partner career assistance programs
Home sale assistance or buyout programs
Full-service moving with unpacking
House-hunting trips covered
Challenges to Consider
Repayment clauses if you leave early
Tax implications of relocation benefits
Coordinating dual-career households
Children's school transitions
Real estate market timing
Step-by-Step Process
1
Review relocation policy before accepting offer
2
Negotiate improved terms if possible
3
Engage company's relocation management firm
4
Complete house-hunting trip
5
Coordinate home sale if applicable
6
Arrange temporary housing
7
Execute move with approved vendors
8
Submit expense reports and documentation
Expert Tips
Negotiate lease breakage fees and early termination coverage
Ask about repayment clauses - typical is 1-2 years prorated
Confirm tax implications and whether company provides gross-up
Request a higher lump sum rather than itemized benefits for flexibility
Use company's preferred vendors for liability protection
Document everything for tax purposes
Ask about cost-of-living adjustments if moving to expensive market
Negotiate spouse job search support