Microsoft Relocation Package and Policy (2026)
The short answer: Microsoft offers two corporate relocation options for eligible new hires and transfers, a Supported Move with logistics end to end or a one-time Lump Sum cash payment. This guide breaks down what you need to know before you sign and how to make sure you don’t leave money on the table.
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Microsoft relocation package at a glance
| Package detail | What Microsoft offers |
|---|---|
| Package type | Supported Move (managed) or Lump Sum |
| Relocation provider | Sirva |
| Lump Sum amount | Not published in policy; employee-reported range is $5,800–$18,500 |
| Household goods insurance | Up to $125,000 |
| Temporary housing | Up to 14 days furnished post-arrival |
| In-transit storage | Up to 30 days |
| Relocation Expense Allowance | $1,000 |
| Tax gross-up | Yes, partial |
| Repayment window | 12 months |
| Benefit window | 12 months from official start or transfer date |
How Microsoft’s relocation program works
When you accept a job at Microsoft or transfer internally, HR connects you with a dedicated Relocation Consultant through Sirva, the company’s contracted relocation management provider. That consultant becomes your primary point of contact from offer acceptance through the end of your move.
Before your move begins, you’ll receive a selection letter with two options, the Supported Move or the Lump Sum. You must choose before signing that letter, and the decision is final.
All relocation benefits expire 12 months from your official start or transfer date. You’re expected to begin the process as soon as you’ve set your start date, not wait until the deadline.
Pro tip: Get moving quotes for your specific route before you sign your selection letter. The Supported Move is worth significantly more than the Lump Sum for most families, but the right choice depends on how much your actual move will cost. Use the moveBuddha Moving Cost Calculator for a free instant estimate before you decide.
Who is eligible?
Relocation benefits cover you and your eligible dependents, defined as your legal spouse or partner and dependent children up to age 18 (or up to the age recognized by destination country immigration law for international moves). Parents, grandparents, siblings, and in-laws are not eligible dependents under Microsoft’s policy.
If you and another Microsoft employee share a household, you’re treated as a single household unit and receive one set of benefits, not two. If you’re relocating at different times, the benefits of the person moving first apply to the entire household.
What the Supported Move covers
The Supported Move is Microsoft’s managed relocation option. Sirva coordinates everything, including movers, travel, and housing, and pays vendors directly on Microsoft’s behalf.
| Benefit | What’s covered | Key limit |
|---|---|---|
| Household goods shipment | Full pack, transport, unpack, debris pickup | Insurance capped at $125,000; storage up to 30 days |
| Final travel | Flights or driving expenses for you + dependents | Coach economy; $50/person/day for meals |
| Temporary housing | Furnished unit with utilities and basic cable | Up to 14 days post-arrival |
| Relocation Expense Allowance | Miscellaneous expenses not covered elsewhere | $1,000 (grossed up; no receipts required) |
| Visa assistance | Work visas and residency documents | For you and eligible dependents |
| Tax gross-up | Partial offset of taxable relocation expenses | Not intended to make you fully whole |
Relocation Consultant
Your Relocation Consultant stays with you from day one through the end of your move. They explain your benefits, coordinate service providers, help you understand timing (including immigration if applicable), and handle any issues that come up. You may also work with additional partners like an immigration provider, a tax provider, and a household goods mover, yet the Consultant oversees all of them.
Household goods shipment
Microsoft arranges for a designated moving supplier to pack, load, transport, and unload your household goods from your departure location to your destination. Insurance coverage is included up to $125,000 (or local equivalent). For any individual item or set valued at $3,000 or more, you’ll need to complete a High Value Inventory form.
Storage of your shipment is covered for up to 30 days if you can’t move into your permanent housing immediately. Storage beyond 30 days is at your expense.
Microsoft won’t ship automobiles, motorcycles, boats, pianos, alcohol, hazardous materials, plants, perishables, and items requiring disassembly and reassembly (like waterbeds or pool tables). Valuables like jewelry, antiques, and works of art are also excluded. Review the full list with your Relocation Consultant before packing, since anything Microsoft won’t cover needs to be handled separately.
Final travel to your new location
Microsoft covers travel to your destination for you and your eligible dependents. Travel must be booked by your Relocation Consultant, within seven to 21 days in advance of your travel date, using your personal credit card, not your corporate card. You’ll be reimbursed through the expense process.
If you fly, you’ll receive a one-way coach economy ticket for each eligible traveler, plus up to $50 per person per day for meals and incidentals on your travel day and the day before. If you drive, Microsoft reimburses actual lodging costs, mileage at the prevailing rate, and up to $50 per person per day for meals.
Temporary housing post-arrival
Microsoft provides up to 14 days of furnished temporary housing after you arrive, or until you secure permanent housing, whichever comes first. Housing is arranged by Microsoft’s Corporate Housing supplier through your Relocation Consultant based on availability, family size, and whether you have pets.
The temporary housing benefit covers the unit itself, utilities, and basic cable. Meals, long-distance phone calls, incidentals, and any damage to the property are your responsibility. Personal injury or property damage insurance is not provided.
Relocation Expense Allowance
Microsoft provides a one-time $1,000 Relocation Expense Allowance (or local equivalent), paid by Sirva after your start or transfer date. No receipts are required for this allowance. You can spend this on miscellaneous costs not covered elsewhere in the policy, like storage fees, childcare, driver’s license fees, or driving lessons. The allowance is grossed up, so you won’t owe taxes on it.
Visa assistance
If you’re relocating internationally or need work authorization documents, Microsoft will assist with costs for obtaining the appropriate visas and residency documents for you and your eligible dependents.
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What the Lump Sum covers
If you choose the Lump Sum, Microsoft pays you a one-time cash amount after your start or transfer date in lieu of the Supported Move. You handle all logistics yourself, so there’s no Relocation Consultant, no managed movers, and no corporate housing. Any money left over after your move is yours to keep.
The Lump Sum also includes visa assistance (if applicable) and a tax gross-up.
How much is the Microsoft relocation lump sum?
Microsoft’s official policy document does not specify the Lump Sum dollar amount. The figure is communicated in your Selection Letter. Employee accounts on professional forums suggest domestic Tier 1 lump sums have ranged from roughly $5,800 to $18,500 in recent years, depending on job level and household circumstances, though recent reports trend toward the lower end of that range.
A few important rules apply to the Lump Sum. You must establish residence at your destination within 12 months of your start date, and you must repay the full amount if you leave Microsoft voluntarily within that 12-month window. No receipts or itemization are required for how you spend it, but you are responsible for managing your own records.
Pro tip: The Lump Sum works best if you’re moving a small household and can do the logistics yourself. For example, using a top moving container company instead of a full-service mover. Moving containers typically cost about 30% less than full-service movers.
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Taxes and gross-up: What Microsoft covers
Some of Microsoft’s relocation benefits count as taxable income, including the Relocation Expense Allowance and the Lump Sum. To offset the tax hit, Microsoft provides a tax gross-up, meaning they pay an additional amount on your behalf to cover a portion of the tax liability these benefits create.
There are two important caveats. First, the gross-up is not designed to make you fully whole. Depending on your total tax liability for the year, you may still owe additional taxes on your taxable moving expenses. Second, the gross-up amount and any taxable moving expenses Microsoft pays on your behalf will appear as income on your year-end earnings statement.
Since the 2018 Tax Cuts and Jobs Act, relocation benefits for non-military employees are generally treated as taxable income regardless of how they’re paid. If you’re unsure how your specific package will affect your taxes, talk to a tax professional before your move.
Rules and deadlines to know before you move
Microsoft’s relocation policy has several administrative rules that can affect your reimbursement if you miss them.
12-month window: All relocation benefits must be used within 12 months of your start or transfer date. Any expense incurred after that cutoff is not eligible for reimbursement or direct payment.
30-day submission deadline: Reimbursement requests must be submitted within 30 days of the expense being incurred. Receipts are required for any expense over $75. Late submissions won’t be honored.
No corporate card: You cannot use your Microsoft corporate travel card for relocation expenses. Use your personal credit card instead, even for airfare and hotels booked through your Relocation Consultant.
No cash advances: Microsoft does not provide relocation advances. All approved expenses are reimbursed after the fact through the expense process.
Travel booking window: For the Supported Move, all travel must be booked by your Relocation Consultant seven to 21 days before your travel date. Booking outside that window or booking independently can jeopardize your reimbursement.
The payback clause: read this before you sign
Microsoft’s relocation policy includes a repayment requirement that’s more expansive than a standard clawback clause. If any of the following happen within 12 months of your start or transfer date, you must repay all relocation cash allowances and any costs Microsoft paid on your behalf.
Voluntary departure: If you choose to leave Microsoft, all benefits must be returned. Microsoft is authorized to withhold the repayment amount from any money owed to you. Death or total permanent disability are explicitly excluded from this requirement.
Hybrid work decision: If you personally decide to remain in your departure location, return to it, or move to a worksite that differs from the one listed in your Offer Letter, even as part of a hybrid arrangement, the full repayment applies. This is worth understanding clearly if your role has any flexibility around remote work.
Involuntary termination: If Microsoft ends your employment for any reason within 12 months, the rules are different. Expenses incurred before the termination date will still be reimbursed if all other conditions (like the 30-day submission deadline) are met. Expenses incurred on or after the termination date won’t be covered.
Pro tip: The hybrid work repayment clause is easy to overlook. If your offer has any remote or hybrid component, get written clarity from HR about how your worksite is defined before you take the relocation benefits. Changing your work location within 12 months could trigger full repayment. For more on navigating relocation agreements, see our guide to negotiating a relocation package.
How to maximize your Microsoft relocation package
The policy gives you a framework, but how you use it determines what you actually walk away with. Here’s how to make the most of it.
Get moving quotes before you choose: The Lump Sum amount is fixed. If movers cost more than the Lump Sum, you cover the difference. Compare quotes for your specific route using the moveBuddha Moving Cost Calculator before you sign your Selection Letter.
Lean toward the Supported Move if you have furniture or a family: Employee accounts consistently describe the Supported Move as worth significantly more than the Lump Sum for anyone moving a full household. Full packing, household goods insurance up to $125,000, 14 days of furnished housing, and coordinated travel for multiple people add up fast, totaling well beyond what the Lump Sum typically covers.
Consider the Lump Sum if you’re moving light: If you have a studio or one-bedroom apartment and don’t mind handling logistics yourself, the Lump Sum can work in your favor. Rent a moving container or truck, keep costs below the Lump Sum amount, and pocket the difference. Just remember you’re responsible for everything, including timing, vendor selection, and any overruns.
Build a complete High Value Inventory: For the Supported Move, Microsoft insures your household goods up to $125,000. For any item valued at $3,000 or more, you must submit a High Value Inventory form.
Track every expense and submit promptly: The 30-day submission window is strict.
Ask about exceptions before assuming: If you have a cost that falls outside the policy, like car shipping, a lease break fee, or costs above a benefit cap, ask your Relocation Consultant to submit a written exception request before you incur the expense. Exceptions require hiring manager approval and financial and organizational leadership sign-off beyond a certain threshold.
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Pros and cons of Microsoft’s relocation package
- Two clear options to match your situation
- Full-service Supported Move for families with complex moves
- Household goods insurance up to $125,000
- 14 days of furnished post-arrival housing included
- Tax gross-up on taxable relocation benefits
- Dedicated Relocation Consultant manages the process for you
- Lump Sum lets you keep any unused funds
- Option is irrevocable once Selection Letter is signed
- Lump Sum amount not disclosed in the official policy
- Payback clause applies to hybrid work changes, not just departures
- Tax gross-up is partial, so you may still owe additional taxes
- No vehicle shipping covered (with limited exception for U.S.-to-Canada moves)
- 30-day reimbursement submission window is strict
- Storage beyond 30 days and temporary housing beyond 14 days are out of pocket
FAQ
Does Microsoft pay for relocation?
Yes. Microsoft provides relocation assistance to eligible new hires and internal transfers through its Domestic Relocation Tier 1 policy. Employees choose between a Supported Move, where Microsoft’s relocation provider, Sirva, manages the full move, or a Lump Sum cash payment. Both options include visa assistance (if needed) and a tax gross-up on taxable items.
How much is Microsoft’s relocation lump sum?
Microsoft’s official policy does not publish the Lump Sum dollar amount; it is communicated in your Selection Letter. Employee reports on professional forums suggest domestic Tier 1 lump sums have ranged from roughly $5,800 to $18,500 depending on level and household size, but these figures are unverified. Ask your recruiter or HR contact for the specific amount before choosing between the Lump Sum and the Supported Move.
What does the Microsoft Supported Move cover?
The Microsoft Supported Move includes full household goods packing and shipping (insured up to $125,000), up to 30 days of in-transit storage, final travel to your new location for you and eligible dependents, up to 14 days of furnished temporary housing post-arrival, a $1,000 Relocation Expense Allowance (grossed up), visa assistance if needed, and a dedicated Relocation Consultant through Sirva.
Does Microsoft gross up the relocation package?
Yes, Microsoft provides a tax gross-up on taxable relocation expenses, meaning they pay a portion of the tax liability you’d otherwise owe. The gross-up is not designed to make you fully whole, so you may still owe additional taxes depending on your total tax liability for the year. The $1,000 Relocation Expense Allowance and the Lump Sum are both grossed up.
What happens if I leave Microsoft within a year of relocating?
If you voluntarily leave Microsoft within 12 months of your start or transfer date, you must repay all relocation cash allowances and any costs Microsoft paid on your behalf in full. The same payback requirement applies if you move back to your departure location or change worksites as part of a hybrid work arrangement within that 12-month window. Microsoft is authorized to withhold the amount from any money owed to you.
Can I change my mind after choosing lump sum or Supported Move?
No. Once you sign your Selection Letter, your relocation option is locked in. You cannot switch between the Supported Move and the Lump Sum after that point. Make sure you understand the full value of each option, and ideally get real moving quotes, before you sign.
Does Microsoft ship cars as part of relocation?
Generally, no. Microsoft’s household goods policy excludes automobiles, mopeds, and motorcycles, with a possible exception for employees relocating from the U.S. to Canada. If you need to ship a vehicle, that cost will come out of your own pocket unless an exception is approved. See our guide to best car shipping companies for vetted options.
How long do I have to use my Microsoft relocation benefits?
All relocation benefits must be used within 12 months of your official start or transfer date. Expenses incurred after that 12-month window are not eligible for reimbursement or direct payment by Microsoft. You’re expected to initiate your relocation as soon as you’ve set your start date with your Hiring Manager.
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