How to Negotiate Your Relocation Assistance Package
Fact Checked by: Here’s the quick answer: How much relocation assistance you should ask for depends on your industry, how far away you’re moving, and the company’s policies.
The right relocation package should cover your move without leaving you out of pocket. It should be crystal clear on what’s covered and when and how you’ll be reimbursed.
This guide breaks down what to ask for, typical ranges, how packages are structured, and concrete tactics to negotiate with confidence.
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Relocation packages explained
Relocation benefits help cover the costs of moving and settling into a new city. Employers generally offer one of three structures:
- Lump sum: A one-time payment you manage yourself. It’s fast and flexible, but you carry budgeting and tax risk.
- Reimbursement (“accountable plan”): You pay, submit receipts, and get reimbursed for eligible categories. This option provides good control, but it requires paperwork and careful timing.
- Managed relocation: The company (or an RMC) books and pays vetted vendors for you. This route is low hassle, but you have less freedom to pick the movers.
Who Gets a Relocation Package?
Though they were once reserved for executive-level management types, relocation packages are now frequently offered to junior employees and new hires as well.
While a recent college graduate may be offered a few thousand dollars to cover renting a U-Haul truck, A VP of finance may enjoy more extensive white-glove service.
Factors in relocation package availability include:
- The company’s financial resources
- Strength of the economy
- Whether the employee is a homeowner or renter
- The uniqueness of the employee’s talents
- The desirability of the area they’ll be moving to
- Age
What a comprehensive relocation package should include
A strong offer addresses both your move-day costs and short-term living needs while you land.
- Packing & unpacking services: Pro crews box, protect, and set up your stuff. You can compare the best moving companies here.
- Household goods transport: This includes door-to-door moving for your furniture, boxes, and specialty items (pianos, safes). It includes shuttles and long carries if needed.
- Full-value protection: This upgraded moving insurance repairs or replaces items at today’s value.
- Vehicle shipping or stipend: This is especially key for cross-country or international moves.
- Storage: The package should cover 30–60 days of short-term storage if dates don’t align, with the option to extend at a corporate rate.
- Temporary housing: Packages tend to include 30–60 days (sometimes 90) of furnished housing or a stipend while you home-hunt.
- Travel expenses: One or two house-hunting trips could be covered, plus airfare/mileage, a per diem for meals, and lodging.
- Real estate support: Home sale and purchase assistance, closing cost help, or lease-breaking coverage for renters is often included.
- Family support: School search resources, spousal or partner career services, and child/elder-care referrals are covered in a lot of relocation packages.
- International add-ons (if applicable): Visa/immigration, destination services, language and culture training, and tax equalization should be factored in for international moves.
How much relocation assistance you should ask for (by career stage)
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- Entry-level: Pro movers or container, 30 days temp housing, one house-hunting trip, full-value protection, travel/per diem.
- Mid-career: Home sale/purchase assistance, 30–60 days housing, car shipment or stipend, 30–60 days storage, FVP insurance, spouse/partner support.
Average costs & benchmarks
Use these ballpark estimates to spot gaps that can get expensive fast.
| Employee profile | Typical total package | What drives the cost |
|---|---|---|
| Renter (domestic) | $18,000–$30,000 | Movers, travel, temp housing, storage, pet/vehicle shipping costs |
| Homeowner (domestic) | $70,000–$110,000 | Home sale/purchase, realtor fees, extended housing, larger HHG shipment |
| International | $90,000–$150,000+ | Sea/air shipments, visas, tax services, destination support |
These ranges compiled from industry surveys and moveBuddha customer data; your exact costs will depend on distance, timing, and home size.
Want a personalized move estimate to sanity-check your offer? Use our moving cost calculator:
Tax treatment (don’t skip this)
Relocation money can be taxable, and taxes can erase a big chunk of your benefit if the company doesn’t add extra to cover your taxes.
- Lump sum: Usually taxed as income. Ask for a tax gross-up or a larger amount to offset taxes.
- Reimbursement via accountable plan: Non-taxable if you substantiate expenses within the plan rules and deadlines.
- Managed relocation: Often treated as non-taxable when the employer pays vendors directly for eligible expenses.
Pro tip: Request written confirmation of tax treatment and whether benefits are grossed-up. Clarify deadlines for receipts and the reimbursement portal you’ll use.
Compare package structures
| Type | Pros | Cons | Best for |
|---|---|---|---|
| Lump sum | Fast; flexible; you choose vendors | Taxable (often); easy to under-budget; admin on you | Experienced movers who want control |
| Reimbursement | Potentially non-taxable; policy guardrails | Cash-flow burden; receipt deadlines | Mid-career moves with predictable costs |
| Managed relocation | Low hassle; vetted vendors; compliance | Less choice; caps and rules; slower to change | Family moves, homeowners, complex routes |
How to research a package
A little prep helps you ask for the right things and avoid surprise out-of-pocket costs.
- Request a detailed policy: Covered items, category caps, timelines, tax treatment, reimbursement rules, and any payback/clause (e.g., if you leave within 12 months).
- Benchmark in your industry: Ask trusted peers, HR forums, and recruiters what’s typical for your level/location.
- Vendor list & flexibility: Can you choose your own mover or container company? Are multiple quotes required?
- Submission & timing: What platform do you use? Are there deadlines for receipts? How fast are reimbursements paid?
How to negotiate your relocation package
Most employers expect some negotiation. Be specific about what you need and why, and offer trade-offs.
- Do your homework: Price your route and home size with 2–3 quotes (full-service movers or moving containers).
- Name the line items: “Could we include 60 days of temporary housing?”, “Will you cover full-value protection and 30 days of storage?”
- Ask for gross-up: If the benefit is taxable, request a tax gross-up or a higher lump sum to keep your net benefits the same.
- Make trades: If cash is tight, ask for non-cash value (longer housing, spouse support, house-hunting trips, extra PTO for move days).
- Clarify clawbacks: Negotiate down any repayment period (e.g., from 24 to 12 months) or make it prorated.
Important Relocation Terms
- Transferee–the employee who is moving
- Lump sum–a fixed payment provided by the company to cover moving expenses
- Reimbursement–the maximum amount the company will reimburse the transferee for all moving related expenses
- Direct bill–when the company bills service providers like movers, realtors, and tax professionals directly (so the transferee doesn’t have to pay upfront and submit receipts for reimbursement)
- Third-party relocation–when a company outsources its relocation functions to an outside provider that handles management and coordination of all move related services
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