Alex Is it easy to negotiate a relocation package?
Negotiating Job Relocation as a Benefit. Because relocation expenses are a one-time cost for a company, negotiating a relocation package is sometimes easier than negotiating a higher salary.
What are the benefits of an employee relocation package?
Some employee relocation packages include job search assistance for your spouse or partner. Transportation. Companies may reimburse travel expenses to get to your new home. Temporary Housing.
What’s the average cost of a relocation package?
The cost of an average relocation package varies depending on the employee’s current living situation and how recently they were employed. If the transferee is a renter at the time of the move the standard cost is generally in the low to mid-20s.
Do you have to pay taxes on a relocation package?
When negotiating your relocation package, remember that lump sum payments are fully taxable as earned income, which means you’ll be on the hook to pay income taxes for that amount at your full salary rate at the end of the year. Most companies will offer the lump sum pre-tax but may be willing give it to you post-tax — but only if you ask for it.
What’s the average salary for a relocation package?
Lump-sum relocation packages are popular with some transferees too, but there are downsides, one of which is the gross-up. Let’s look at an example: Your salary is $75,000 per year, but when you recently relocated for work your employer gave you $10,000 to cover moving expenses.
Negotiating Job Relocation as a Benefit. Because relocation expenses are a one-time cost for a company, negotiating a relocation package is sometimes easier than negotiating a higher salary.
Can a relocation package include a cost of living stipend?
But if you’re relocating to a more expensive city, your benefits and salary package should reflect that. Your employer may sweeten a relocation package with a cost-of-living stipend, a signing bonus, or offer a larger salary to compensate for a higher cost of living.
Can you get relocation package with lump sum?
Congratulations! Depending on your employer, position, and salary level, you may be offered a relocation package to help cover costs associated with moving, either in the form of a lump sum, or a more defined benefits package. Some relocation packages cover just a single aspect, like a moving truck.