Jump to content

What's with the ads?


Photo

Relocation allowance: what is typical


  • Please log in to reply
13 replies to this topic

What's with the ads?

#1 fhjmom

fhjmom

    Hive Mind Queen Bee

  • Members
  • PipPip
  • 1674 posts

Posted 24 November 2012 - 10:06 PM

Just curious what is typical for a company to offer for a relocation allowance. Move is to a location approzimately 6 hours away from current location, if that matters.

Thanks!

#2 AdventureMoms

AdventureMoms

    Hive Mind Queen Bee

  • Members
  • PipPip
  • 1787 posts

Posted 24 November 2012 - 10:16 PM

When I've done corporate moves before it wasn't a flat fee, but they covered the moving expenses. I've done it 3x now and they covered movers to come and pack up the house, put it on the truck, haul it to the new place and move it in there. They put furniture where you want it but leave the other stuff in boxes. The company also pays for mileage to the new location, and usually one trip (travel and hotel) for house-hunting purposes. They also pay closing costs if you have to sell a house or lease-breaking costs if you have to break a lease. Sometimes they will buy your house from you if it won't sell in a certain amount of time (one of the 3 companies offered this). They pay up to 30 days of short term rental or hotel costs in the new location during the transition.

We had to pay tips for the movers, food expenses, incidentals, etc. I'm sure our last move cost DW's current company at least $10,000 (they moved us over 1000 miles with complicated timing and a difficult housing market playing into things)

#3 cloversandlions

cloversandlions

    Hive Mind Level 6 Worker: Scout Bee

  • Members
  • PipPip
  • 529 posts

Posted 24 November 2012 - 10:50 PM

When I've done corporate moves before it wasn't a flat fee, but they covered the moving expenses. I've done it 3x now and they covered movers to come and pack up the house, put it on the truck, haul it to the new place and move it in there. They put furniture where you want it but leave the other stuff in boxes. The company also pays for mileage to the new location, and usually one trip (travel and hotel) for house-hunting purposes. They also pay closing costs if you have to sell a house or lease-breaking costs if you have to break a lease. Sometimes they will buy your house from you if it won't sell in a certain amount of time (one of the 3 companies offered this). They pay up to 30 days of short term rental or hotel costs in the new location during the transition.

We had to pay tips for the movers, food expenses, incidentals, etc. I'm sure our last move cost DW's current company at least $10,000 (they moved us over 1000 miles with complicated timing and a difficult housing market playing into things)


This is similar to what we've been given by dh's company, which has moved us across country twice. The differences for us included
- food allowance and incidentals at full per diem rate for dh and me while we traveled across country, and at half the pd rate for each of our children
- if we had not driven across country, they would have covered full airfare for everyone in our immediate family, and airfare for up to three pets, plus a rental car for up to two weeks at our destination - we took this option for the first trip, from FL to CA; in both cases, our move package included the transport of up to three vehicles on the moving van
- this last time, we were offered two house-hunting trips, though we only used one of them; we were also offered up to 90 days temporary housing/short-term rental expenses if needed, but thankfully, we closed on our house here the day before we left CA, so temp housing wasn't needed
- dh received one month's salary for incidental expenses related to the move

However, before he received the offer above for our most recent moved, he had asked to relocate across country, and at that point, since it wasn't necessary, they were only going to offer a flat-fee of $5K for us to use as needed; there would have been no additional assistance at all. Apparently, his company has different tiers of move packages, and they are leveled based on criteria that probably factors in how critical the position is to the division/company, and how senior the person is overall. DH works for a big company, and that seems to have made a difference on packages he was offered for these moves vs. what he has been offered by smaller companies.

#4 Horton

Horton

    Princess Sparkles

  • Members
  • PipPipPipPip
  • 5227 posts

Posted 24 November 2012 - 11:00 PM

In dh's field things are starting to look up. There have been generous flat percentage offers, as well as offers to buy our home if not sold within three months. They are also offering an allowance to cover negative equity. We're hopeful dh will find something that fits and that offers enough for us to get out of his current job soon.

#5 Tap

Tap

    Beekeeping Professor

  • Members
  • PipPipPipPipPipPip
  • 13213 posts

Posted 25 November 2012 - 12:10 AM

In dh's field things are starting to look up. There have been generous flat percentage offers, as well as offers to buy our home if not sold within three months. They are also offering an allowance to cover negative equity. We're hopeful dh will find something that fits and that offers enough for us to get out of his current job soon.


If you are in a postion for a buy-out, really work to find out the details first. My sister got stuck with a house in sitation like this for a few years. There was some wording in the contract about having 3 appraisals and taking the middle one to base sales price on. They had to move to take the job, and pay for someone to maintaing the house (snowy area) in the winter. With the tanking economy the house wouldn't sell for the mid range price and price the company would pay for the buy out was well below market value. They had 2 mortgages to pay and it was very hard on them.

#6 QueenCath

QueenCath

    Queen of La La Land

  • Members
  • PipPipPipPip
  • 6912 posts

Posted 25 November 2012 - 03:41 PM

Ours haven't been flat rates. Normally, they pay for the moving company (packing, loading, drive, storage, unloading), house hunting trip, cost to drive to new home (the last was a 6 hour drive so it was just gas/food money), paid days off to go back to close on sale of old home (did not count against vacation time). During the last move, dh needed to move ahead of us so they gave him enough to cover an apartment for a few months. Recent offers, even though we aren't looking to move right now, have been similar.

#7 Slartibartfast

Slartibartfast

    Chief Cupcake Inspector

  • Members
  • PipPipPipPipPip
  • 9237 posts

Posted 25 November 2012 - 03:45 PM

When I've done corporate moves before it wasn't a flat fee, but they covered the moving expenses. I've done it 3x now and they covered movers to come and pack up the house, put it on the truck, haul it to the new place and move it in there. They put furniture where you want it but leave the other stuff in boxes. The company also pays for mileage to the new location, and usually one trip (travel and hotel) for house-hunting purposes. They also pay closing costs if you have to sell a house or lease-breaking costs if you have to break a lease. Sometimes they will buy your house from you if it won't sell in a certain amount of time (one of the 3 companies offered this). They pay up to 30 days of short term rental or hotel costs in the new location during the transition.

We had to pay tips for the movers, food expenses, incidentals, etc. I'm sure our last move cost DW's current company at least $10,000 (they moved us over 1000 miles with complicated timing and a difficult housing market playing into things)


Dh's company was similar to this. They did give us an offer on our house. They also gave us some funds to help with preparation, fixing up the house and such in addition to what you listed. I think it was about 9K?


If you are in a postion for a buy-out, really work to find out the details first. My sister got stuck with a house in sitation like this for a few years. There was some wording in the contract about having 3 appraisals and taking the middle one to base sales price on. They had to move to take the job, and pay for someone to maintaing the house (snowy area) in the winter. With the tanking economy the house wouldn't sell for the mid range price and price the company would pay for the buy out was well below market value. They had 2 mortgages to pay and it was very hard on them.


This was our experience as well. We did not end up taking the offer. What we ended up doing was living apart for a time so we could take care of the house but not have two mortgages. Dh had a small apartment. We are all moved now but it was difficult.

Edited by Sis, 25 November 2012 - 03:50 PM.


#8 lynn

lynn

    Amateur Bee Keeper

  • Members
  • PipPipPipPip
  • 5571 posts

Posted 25 November 2012 - 04:10 PM

Are you talking cash for the move or they move you then give you a lump sum allowance? If it's a lump sum we have received as much as $10,000, if it's after move allowance to help with expenses of changing license, fees for electric, trips home etc it's been 1 month salary.

Company paid all realtor fees, 1 week house hunting trip ( with kids as needed), packing moving, traveling expense (flying or driving), 1-2months per diems, one move was 3 months because dh had to travel, storage.of household items. If we did not move with dh immediately they paid trips home every 2 weeks.

#9 GGardner

GGardner

    Hive Mind Level 5 Worker: Forager Bee

  • Members
  • PipPip
  • 1165 posts

Posted 25 November 2012 - 06:02 PM

Just curious what is typical for a company to offer for a relocation allowance. Move is to a location approzimately 6 hours away from current location, if that matters.

Thanks!


I don't think any amount is typical, it varies tremendously from company to company and even based on the level of position within a company. I've heard of companies whose relocation package is solely a handshake, to all inclusive package that cover buying the old house if it won't sell, real-estate services, 6 months in company housing, and all moving expenses.

However, what I would look at is whether relocation benefits are taxable. It may seem nice to be treated like a queen and have all your moving expenses paid for, but if you get hit with the federal + state taxes on what looks like an extra $20k of income, that could be an unhappy shock next year.

#10 airforcefamily

airforcefamily

    Hive Mind Level 3 Worker: Honeymaking Bee

  • Members
  • PipPip
  • 339 posts

Posted 25 November 2012 - 06:10 PM

double post

#11 airforcefamily

airforcefamily

    Hive Mind Level 3 Worker: Honeymaking Bee

  • Members
  • PipPip
  • 339 posts

Posted 25 November 2012 - 06:11 PM

For a comparison:

When the military gives someone orders to move they give them ten days 'house hunting' leave but do not pay travel expenses for the trip. They either pay for movers to come and pack everything up then deliver it to the new location OR pay you what amounts to about $1/pound to rent a truck and move your own stuff OR a combination of these two scenarios. They pay full per diem for each adult and half per diem for each child, I want to say it's around $90 for an adult and that includes your hotel costs. When paying per diem for the travel time they assume you will drive up to 500 miles for a one day trip or up to 350 miles per day for a multi day drive. If you choose not to drive or go overseas they will pay airfare and transport one normal sized vehicle. They will not pay any extra to transport pets (if they are in your car when you have it weighed they would pay the regular by the pound amount the way they do for all your stuff). They will not pay any home buying/selling costs. If you live on base you have to clean your house or pay to have it cleaned. If you go over your household goods weight allowance you have to pay them back for the overage, allowed household goods weight varies by rank, most ranks are in the 10,000-15,000 pound range. I'm not sure if it varies based on rank but there is a $2500 allowance to help pay for costs associated with setting up your new house.

#12 tess in the burbs

tess in the burbs

    Hive Mind Queen Bee

  • Members
  • PipPipPip
  • 3347 posts

Posted 25 November 2012 - 07:08 PM

We have had a variety over the years. One was nothing, one repaid us for the Uhaul only after we moved. We had 2 cross country relo's. one did it all....paid on their end, cost us nothing. The other full relo was repaid after we moved so I did the full move with a company and got paid back 6 weeks later.

So it's negotiable and not consistent at all. Worth knowing the costs a few different ways and negotiate what is best for you.

#13 DawnM

DawnM

    Qualified Bee Keeper

  • Members
  • PipPipPipPipPipPip
  • 13967 posts

Posted 25 November 2012 - 11:30 PM

Dh's firm stopped covering relocation, but instead, they give a sign on bonus, which usually covers most of it. I think they gave us $7,000 when we moved 7 years ago, BUT, we moved from Los Angeles to Charlotte, so it was a huge move. I think it covered most of the move, but not quite all of it.

Dawn

#14 fhjmom

fhjmom

    Hive Mind Queen Bee

  • Members
  • PipPip
  • 1674 posts

Posted 25 November 2012 - 11:40 PM

A flat rate amount has already been agreed to, and the amount is fine. I was just curious as I had no experience to compare it to.

Thanks!


What's with the ads?