Safeload Coverage
Did you just get hired at a new job but need to move to a different city for it? Or maybe you got a better position at your current company but must relocate for it? If you can relate, you may be wondering: “What is a job relocation package?”
The Moving Help® Marketplace is here to inform you of everything you need to know about relocation packages before your job relocation.
What Is a Job Relocation Package?
A relocation package is typically given to employees by their company when they must move for work. It’s a set of benefits offered by the employer when an employee moves a significant distance.
These packages are meant to ease the stress and financial burden of moving to make relocating for a position more appealing.
For employers, they’re used for widening the pool of possible applicants to acquire the best talent possible for the position. This way, the job application isn’t limited to those living in a specific city.
What’s in a Relocation Package?
Depending on your employer, job relocation packages can look different. It’s important to know what’s in your relocation package, so you can coordinate ahead of time to ensure your move goes smoothly.
You also can make note of components that you consider necessary, so you can vouch for certain benefits from your company.
Some benefits that may be included are:
Temporary Housing
It isn’t uncommon to spend time looking for permanent accommodations, so, oftentimes, relocation packages will include some sort of temporary housing. This is especially true when moving long distances. It’s easier to search for housing while staying in the city you’re moving to permanently.
Moving Services/Expenses
Relocation packages can include a paid moving company to assist you in the relocation of all your belongings. This can include any moving labor service you may need, or whatever is included in the package. This could be a truck rental, packing/unpacking services, and insurance coverage.
Travel Costs
Travel expenses may be included in the relocation package as paid airfare/milage or reimbursement. The employer will cover the cost of the employee’s travel expenses and sometimes even the cost of transporting their family, if it applies.
Real Estate Assistance
Selling your home is already complicated but can be even worse on short notice. Employers understand this, so, oftentimes, they include assistance with home-selling or reimbursement for realtor fees.
In a renter’s case, they may include assistance with breaking a lease or paying the fines associated with ending a lease.
Other Possible Inclusions
Of course, all employment relocation packages are different and could contain endless combinations of benefits that could be included. Other possible inclusions are:
- Visa/Immigration Assistance
- Family support
- Temporary storage
- Driver’s license fees
Types of Relocation Packages
Typically, job relocation packages come in one of four different types. Here’s a short explanation of each one, so you’re aware of your possible options.
To understand the pros and cons of each read: “What Are the Different Types of Relocation Packages?”
Lump Sum
A lump sum package occurs when an employee receives a sum of money to use on all their moving expenses. Your company simply gives you the money upfront, and you’re responsible for booking and budgeting.
Reimbursement
Reimbursement packages allow the employee to pay for all their expenses first with the promise the company will reimburse them afterward. Employees must keep all their receipts to submit for reimbursement.
Direct Payment
A direct payment relocation package is when the employer pays the moving companies directly. This requires the employee to schedule and communicate with the moving company to coordinate their move.
Temporary Housing
A temporary housing package includes a place for the employee to stay while they begin to look for a permanent residence. In this situation, the company only covers the cost of temporary housing while you settle in the new city and begin work.
Benefits of Relocation Packages
Relocation packages can be beneficial for employees and employers.
Employees benefit greatly as it lightens the financial burden that typically comes with moving to a new city. This allows employees to adjust to their new role quicker and with less stress. It may be a deciding factor in whether they accept the new position or not.
For employers, their main benefit is being able to look for talent anywhere as opposed to being limited to one city. Relocation packages also may stand out to candidates considering multiple job offers and make one look more appealing.
Possible Downsides of Relocation Packages
Despite their many positives, relocating also can have many possible downsides.
Employees must still face the stress of moving to a new city and may have trouble adjusting. Even though relocation packages assist with finances, moving is still expensive. Depending on the package, employees may still face out-of-pocket costs.
Employees also are taking a huge risk when relocating for work. Sometimes, jobs aren’t what possible candidates expect them to be after getting into the role. Ensure the position is truly right for you before uprooting your life and taking the risk of relocating.
Offering relocation packages can be a large expense for employers. Organizing relocation packages can be time consuming for employers as well. It’s a large time and financial commitment that comes with the downside of possible failure if the job isn’t the right fit for the employee.
Employment Relocation
Whether you’re relocating for a new job or getting a promotion, being informed of job relocation packages is important to your move. Once you’ve got your relocation figured out, the Moving Help Marketplace can assist you in finding reliable moving labor to help you with your relocation.
