Relocating for a job sounds like a big deal, and it is. Uprooting your life, moving to a new city (or even country), and adjusting to a new workplace can be stressful. That’s why employee relocation packages exist: to make the whole transition smoother, less expensive, and more manageable for everyone involved.
But what exactly should a good relocation package include? If you’re an employer crafting one or an employee being offered one, this guide breaks down everything that should be on the table.
Why Relocation Packages Are More Than Just Moving Costs
If you think a relocation package is just about hiring movers, think again. Today’s companies understand that supporting employees during a big move leads to better engagement, productivity, and retention.
Offering a proper corporate relocation package shows employees you’ve got their backs, right from day one.
Different Ways Companies Handle Relocation
There’s no one-size-fits-all approach. Depending on your company’s budget and the employee’s situation, you can offer relocation support in a few different ways:
- Lump Sum Package: You give the employee a fixed amount and let them handle everything on their own. It’s flexible, but they’re on their own for planning.
- Reimbursement-Based: Employees cover expenses upfront, and you reimburse approved costs. This gives you more control over spending.
- Fully Managed Relocation: The company covers and coordinates everything, ideal for executive or international roles.
- Third-Party Services: Many businesses now hire relocation support services to take care of logistics, housing, and even cultural integration.
Here’s What a Relocation Package Should Cover
So what’s included in a standard relocation package? Here’s a look at the essentials:
1. Moving the Stuff
This one’s obvious. Employees will need help transporting their household goods. That can include:
- Packing and unpacking
- Hiring professional movers
- Shipping vehicles
- Insurance for valuables
Covering these basics is step one in providing solid relocation assistance for employees.
2. Temporary Housing If Needed
Relocating often means a gap between leaving the old home and settling into the new one. That’s where temporary housing comes in. Whether it’s a hotel, serviced apartment, or short-term rental, this helps take the pressure off the employee.
3. Travel Expenses for the Big Move
Employees, and sometimes their families, will need help getting from point A to point B. Covering airfare, mileage, food, and even stopover lodging is a thoughtful and often expected benefit.
4. Help with Selling or Breaking a Lease
Relocation gets complicated when there’s a house or lease involved. Some companies offer:
- Help with selling the employee’s current home
- Coverage for real estate fees
- Lease break assistance
These can make a huge difference, especially in tight housing markets.
5. Support Finding a New Home
Searching for a new home in a new city? That’s stressful. Covering home-finding trips or connecting the employee with a local real estate agent can save time and headaches.
Bonus points if you also offer spouse relocation support, like job search assistance or networking help.
6. A Little Extra: The Relocation Bonus
Many companies now offer a relocation bonus, a one-time cash incentive to help with anything the package doesn’t cover. It’s a nice cushion for unexpected costs.
7. Tax Help (Yes, It’s a Thing)
Did you know relocation benefits can have tax implications? Some companies offer “tax gross-ups,” which means they’ll cover the extra taxes you might owe on relocation reimbursements.
This helps ensure employees don’t get hit with surprise tax bills later.
Can Relocation Packages Be Customised? Absolutely.
Not everyone has the same needs. A single employee moving locally will need very different support from a family relocating overseas.
That’s why more HR teams are shifting toward customised relocation packages, especially for executive or international relocation scenarios. Flexibility = happier employees.
Quick Tips for HR Teams and Employers
If you’re putting together a relocation offering, keep these tips in mind:
- Document Your Policy: A written employee relocation policy keeps things clear and consistent.
- Work With Experts: Partnering with corporate moving services or relocation companies saves time and reduces mistakes.
- Think Beyond Logistics: Include onboarding, settling-in help, and emotional support. Moves are hard!
- Track the Costs: Know the cost of relocating an employee to plan better next time.
What If You’re the Employee? Here’s What to Ask For
Got a job offer that involves relocation? Don’t be afraid to ask, “What’s included in the relocation package?”
Use a simple employee relocation checklist to guide the conversation:
- Is temporary housing covered?
- Will I get help with the home sale or search?
- Is there a lump sum or reimbursement plan?
- Will taxes be taken care of?
- Any support for my spouse or family?
Also, know that negotiating your relocation package is completely normal, especially if you’re moving across the country or internationally.
Final Takeaway: Make the Move Easy for Everyone
A good employee relocation package isn’t just about logistics. It’s about helping employees feel supported, respected, and ready to succeed, wherever the job takes them.
Whether you’re creating the policy or receiving the offer, knowing what should be included sets everyone up for a smoother transition.