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What is an Executive Relocation Package?

For any HR team, detailing out an executive relocation package isn’t easy. More so, when it comes to relocating the owner or the CEO.

Relocation packages cover a wide spectrum and can come in a variety of forms. Quite often, with the difficult economic times, you may need to work with a tight budget.

To help you out, we have compiled the main features of a typical executive relocation package and how to put it together.

What Does a Relocation Package Include

What Does An Executive Relocation Policy Include?

In most cases, relocation packages and policies for employees vary depending on the seniority or the position. Most companies offer a generous package that addresses all the concerns of an executive. The aim is to make it attractive enough for an executive employee to accept the offer.

Here are some important benefits that should be included in relocation packages for executives.

Real Estate Assistance

The issues related to selling a home are one reason that prevents many top executives from relocating. At times the mortgage balances tend to be higher than the market value of a house. A forced sale at a considerable financial loss for relocating is not something an executive will accept. 

So you need to consider the real estate market conditions and include the necessary incentives (such as a relocation mortgage) in the relocation package. These can help in covering any losses, buyer incentive features, and other housing-related benefits. It should also include assistance in buying a new property in case the old one can’t be sold in time. Other features can include legal assistance for canceling leases and assisting in obtaining mortgages.

It’s also necessary to include rental support in typical executive relocation packages. In case you are relocating millennials, leasing a property might suit their needs better. Considering that renting a property is an affordable option in many US cities, employees might avoid homeownership in a new location.

The Movement of Household Goods

This is one benefit that is a must for any executive relocation package. Some companies pay lump sums as a part of the relocation package to cover these expenses. This saves the time and effort of the HR team. However, some employees appreciate direct support during this important phase of relocation.

Instead of making this part of relocation a DIY project for an executive, you can take the help of professional relocation services. This will help in reducing the stress of the employees and make the entire relocation process easier.  It is also a practical choice if you don’t have the necessary experience in managing relocation services. In addition, this may give you an edge over your competitors.

That brings us to the point of choosing the right relocation company. Keep in mind employee dissatisfaction with the transportation of household goods can result in a negative impact on the company. It’s necessary to hire a trusted service that delivers the best results.

In reality, each employee has unique needs related to their personal possessions and pets. The right relocation company should come with deep experience in executive relocations. Also, the company should have a dedicated team of professionals who can work as an efficient team for handling the relocation smoothly. Ideally, there should be a single point of contact with whom the employee can coordinate.

Shipping household goods includes a wide variety of items and various categories require different methods of packing and handling. So the company should have sufficient resources for handling the entire relocation process of goods efficiently. At the same time, the entire process should be completed within the scheduled time frame.

Concierge Services

Premium concierge services represent a vital component of executive relocation packages, designed to handle the numerous personal logistics that accompany a high-level move.

These services manage everything from securing preferred schools and arranging utilities to coordinating home maintenance and setting up new banking relationships. For executives with demanding schedules, this personalized support ensures a seamless transition to their new location.

The concierge team also assists with lifestyle integration, helping executives and their families discover and connect with local resources that match their interests and needs. This might include introductions to exclusive clubs, recommendations for medical providers, or arrangements for specialized services such as private security or household staff.

Executive Relocation Package - Tax Treatment

Tax Treatment

For an employee, the relocation will involve various out-of-pocket expenses. While proper tracking of such expenses is necessary for annual tax reporting, it’s a cumbersome process. This may cause unnecessary stress for an employee and result in errors in the financial records. 

A relocation package for executives can offer record-keeping and invoicing assistance that can help in tracking all the related expenses.

To make the process smooth, you can offer the management of tax filing, and tax gross-up benefits to an executive. It is also necessary to help an employee understand the tax implications of all allowances and reimbursements paid to them. 

Relocation Allowance

The relocation allowance forms an important part of an executive package, addressing the many expenses that emerge during relocation.

Beyond the major costs of moving, executives face numerous incidental expenses – from temporary living arrangements to family transportation and meals during the transition. A well-structured allowance ensures these expenses don’t become a source of stress during the move.

Executive relocation allowances need to reflect the position and lifestyle of senior leaders. This typically encompasses multiple pre-move visits for house hunting, premium temporary accommodations, and additional support for family needs such as childcare or elder care arrangements during the transition period.

Most organizations now provide this allowance with built-in flexibility, recognizing that each executive’s circumstances differ. This approach lets executives direct funds where they’re most needed, whether that’s extended temporary housing or additional family support services.

Guaranteed Buyout Option

For executives relocating from high-value properties, a guaranteed buyout option provides essential security and peace of mind. This benefit ensures that executives can move forward with their relocation without the burden of maintaining two properties or risking significant financial loss.

Under this program, the company or relocation service provider purchases the executive’s home if it doesn’t sell within a specified timeframe, typically at a price determined by independent appraisals.

The buyout option becomes particularly valuable in challenging real estate markets or when the timing of the move is critical to business operations. It removes the uncertainty of a pending home sale and allows executives to focus on their new role and responsibilities rather than managing real estate transactions.

Other Features

A good executive relocation strategy should be designed to anticipate any problem the employee might face during the process. Such issues are more important for any executive with a family.

For such employees, you can think of engaging a service that can help in finding the best schools for the children or the best social support in a new environment. Since high-level executives have stronger community ties, they may need more support in a new location.

Since most employees will have a working spouse, spousal support can also be a part of the relocation package. This will help in making the spouse the best career choices in a new location.

Another important factor is to include free visits to the new location before the actual relocation. This will allow an executive to learn more about the new spot and get accustomed to it. 

Executive Relocation - Repayment Clause or No

Is a Relocation Payback Clause Necessary?

While a top-level executive may demand an attractive relocation package, these packages can be costly. As an HR manager, you need to ensure that the gains from the relocation will outweigh the overall financial costs. 

Once a substantial amount has been invested for the relocation, it will result in a considerable loss if the employee leaves shortly after relocating. For this reason, you can think about including a payback or repayment clause in an executive relocation package.

Under such a clause, the employer’s expenses have to be reimbursed if the employee leaves the organization within a specified time period. However, some employers prefer not to include such a clause as it might discourage a new employee from relocating.

Conclusion

While developing relocation packages for executives, keep in mind that there are no one-size-fits-all solutions. Basically, an executive relocation package should match individual needs. Personalization of the package based on needs is an important factor for any top executive.

As an industry leader in relocation services, ARC offers the complete spectrum of relocation services to its clients. From household goods shifting to tax and legal compliances, our professional teams are ready to tackle all the issues related to any executive relocation package in the best possible manner.

Feel free to get in touch with us for a consultation.

Move Management Services: Industry Leading Relo Services

Communication and planning are the keys to a successful corporate relocation. If you’re moving your business and it’s employees, you need to plan accordingly to maintain a positive outlook for both the employees and shareholders. 

This is where move management services come into play. HR professionals and managers only have so many hours in the day and coordinating a corporate relocation will only take valuable hours away from running the business. Instead, many businesses elect to hire move management companies to handle as much or as little as they want. 

What Are Move Management Services? 

The best thing about move management companies and professional relocation companies is that there isn’t a one-size-fits-all option. You don’t have to choose from an endless list of packaged services and be forced to take on certain things you don’t need. The best relocation companies like ARC will offer a unique set of services to help you with your relocation. The services you receive might be different from someone else and that’s okay. You have your own business with its own unique challenges and we understand that. 

Where move management companies really come into play is with the planning and strategic movement of employees. Moving your “stuff” is simple. We help you package up whatever you want, coordinate the transportation, and get it moved to your new location. Anything you don’t want, we assist you with disposing or selling it. 

But taking care of employees is the time consuming and challenging part. These are real people with families and roots planted in your current community. Tearing them away from their home is not an easy thing to do and it’s up to you to make the process as easy and painless as possible

ARC Relocation not only moves your stuff, but we move your people too. We’ll work with you to develop relocation policies that provide your team members with the funds they need to sell their home, move their belongings, and purchase a new home. We’ll also act as a liaison that they can turn to whenever they’re struggling with something. You can still be available as much as you like but when you’re busy, we’re there to step in and help. 

Move Management Services

Move Management Services We Offer 

Now let’s talk more specifically about some of the services we offer to you and your employees. 

Corporate Relocation 

At the center of all we do is corporate relocation. If your business or employees are moving from one location to the next, you’ll want to hire a corporate relocation company to help you with that. Again, we can provide as much or as little assistance as you like. If you’re looking for a company that will simply take over and handle everything from A to Z, we’re here for you. 

Relocation Strategy 

Many business owners don’t realize the amount of strategic planning that goes into relocating a company. There are so many moving parts and that’s why we’re here. We’ll put together a relocation strategy that helps maintain employee morale while making the move as simple as possible. Our ultimate goal is to take as much off your plate as possible so you can continue focusing on running and growing the business. 

Global Mobility Planning 

International relocations are a whole different ball game. There are tax requirements, currency exchanges, and a bunch of paperwork that I’m sure you’d rather avoid. Understanding global mobility is not exactly easy but we do this all the time. That’s the advantage of hiring a company like ARC. This is all we do so we know how to handle every twist and turn. 

Financial Planning 

You can’t simply take an employee and tell them that they’re being relocated and make them take care of everything themselves. Companies offer relocation packages to help make the move more desirable. These packages include funds for shipping supplies, time off work, purchasing a new home, breaking a lease, fuel, and more. Determining how much to pay the employees is nearly impossible without an expert. 

Final Thoughts 

Move management services are so much more than simply helping move “stuff.” We’re moving people, we’re changing lives, and we hope it’s always for the better. To learn more about ARC Relocations move management services, click here to book a free call today

The Future of Relocation Technology: Using Artificial Intelligence to Calculate EXACT Moving Costs

Relocating employees is an intricate process with many moving parts. From home sales to household shipments, there are plenty of pain points in typical relocations. 

However, the integration of artificial intelligence into mobility programs aims to revolutionize how companies transfer talent. Intelligent automation can optimize costs, enhance compliance, and elevate experiences for both employers and transferees.

Understanding the Wide-Ranging Benefits of Relocation Technology

Relocation management software centralizes and brings intelligence to employee relocation. These platforms can manage the entire workflow – from initiation to reimbursement – on a single dashboard. One core advantage is data consolidation for sharpened visibility and control. As teams access information faster, they make informed decisions quicker.

Beyond central oversight, relocation technology also enables targeted automation to:

Empower Transferees Through Dedicated Portals

A user-friendly interface allows employees to submit requests, check policy documents, process expenses, and track progress. Instead ofEmail trails, everything is digitally documented for transparency. Users enjoy greater ownership over the process by directly accessing resources like destination guides and school reports. These self-service portals increase engagement, satisfaction, and perceived support.

Handle Common Requests via AI Chatbots

Where basic questions arise, virtual assistants promptly provide answers or route issues to the appropriate specialist. Intelligent chatbots can resolve 50-70% of repetitive queries regarding application status, invoice payments, home rental allowance, etc. This alleviates call volumes so human agents focus on high-value complex counseling. Bots that learn continuously improve knowledge over time.

Enable Hassle-Free Online Expense Submission

With centralized platforms, transferees can digitally submit invoices, rental agreements, and other receipts anytime. Automated workflows then route documents to relevant approvers and initiate reimbursement transfers upon approval. This reduces administrative tasks for finance teams and cuts processing times. Employees also appreciate the ability to check spending allowance balances in real-time.

Give Employees On-Demand Access to Critical Program Resources

Systems can house all critical program content – policy guides, job aids, cost of living calculators, area orientation materials, school reports, etc. – within dedicated repositories. Having these assets searchable in a centralized database makes it easier for transferees to find needed information themselves. On-demand self-service thus minimizes requests for already available materials.

Promote Informed Relocation Partner Selection

With integrated marketplaces, companies can request partner nominations while empowering employees to compare service quality. Platforms showcase peer reviews, ratings, and key capabilities on shortlisted real estate agents, household goods movers, immigration specialists etc. This transparency helps select best-fit partners faster while setting service expectations, leading to smoother processes.

Solicit User Feedback to Continually Refine Program

Advanced platforms enable configurable pulse surveys to instantly collect user sentiment on the overall program or specific vendors. The real-time feedback helps identify areas working well versus needing fine-tuning. Since results are tracked over time, the impact of changes is measurable. This data ultimately helps enhance policies, technology adoption, and partner service levels.

By providing these well-rounded capabilities on one seamless portal, relocation technology builds individual efficiency and program optimization.

Introducing Agoyu: Cutting-Edge AI for Household Relocations

While relocation software is advancing mobility ecosystem-wide, within household moves specifically, Agoyu’s AI-based platform marks a giant leap. Let’s examine the key innovations:

Calculate Precise Shipment Weights with AI Vision

A prime challenge in household moves is ambiguous weight estimates on which quotes rely. But Agoyu eliminates this major pain point with AI visual analysis. Users submit images or videos of items they want to ship and Agoyu’s patented AI vision technology digitally measures volume, dimensions, and classifications. Proprietary machine learning algorithms then derive weights and build a cataloged manifest. 

Monitor Real-Time Location and Conditions via GPS Tracking

Agoyu’s partner movers utilize GPS-enabled trucks for shipments. This allows customers monitoring possessions in transit through online dashboards showing real-time location and status. With reliable ETAs and prompt notifications if delays occur, customers enjoy peace-of-mind during the stressful moving period. The tracking also brings accountability for partners to uphold timeliness promises.

Provide 24/7 Support with AI-Powered Chatbots

For assistance after-hours, Agoyu offers an advanced chatbot on standby. The virtual assistant fields common questions, redirects cases based on urgency, collects relevant documents & details and applies policy correctly in straightforward situations. 

If an inquiry has more variables or complexity, the bot immediately connects users with a human representative. This balanced model closes support gaps. Over time, continuously updated AI algorithms expand the bot’s capabilities based on user patterns.

In summary, Agoyu infuses AI across household moves – from preparing itemized audits via computer vision to monitoring shipments through real-time tracking to resolving concerns quickly around-the-clock. 

This relocation technology infusion enables unparalleled accuracy, transparency, predictability and personalization across residential relocation processes. Stress stemming from lengthy walkthroughs with error-prone notes, ambiguous fee structures based on guesses rather than exact weights, lack of delivery visibility and delays reaching support personnel is minimized considerably.

LEARN MORE ABOUT HOW AGOYU WORKS HERE!

Final Thoughts

As emerging platforms like Agoyu demonstrate, AI and automation is transforming both corporate mobility programs and household moves to be smarter, faster and predictive. 

What used to be guesstimated can now be precisely calculated. What needed weeklong coordination can now be booked in minutes. What required constant status calls can now be monitored visually in real-time. AI prove it can systematically optimize relocation processes and economics.

The automated scheduling, pricing analytics, spend reconciliations, inventory audits and shipments tracking powered by AI today were inconceivable just a few years ago. But exponential advances in machine learning, computer vision and predictive algorithms have brought such capabilities within reach.

Looking ahead, the possibilities multiply further as relocation AI starts forecasting more accurately using data patterns. 

Platforms could estimate location-specific budget needs, project equity gains/losses, and recommend policy changes months before employees relocate based on machine learning insights. Instead of reactive decisions during assignments, predictive guidance early on helps strategic planning.

Office Moving Services: Hiring an Office Relocation Company

Office relocation can mean downtime, loss of productivity, potentially disgruntled employees, and plenty of headaches for the HR department. It doesn’t have to be that way though. This is an exciting time for your company but the work involved can quickly turn it into a nightmare. 

This is where office moving services come into play. We take the burden off your back so you can focus on the day-to-day operations of running a business and managing your staff. 

Reasons to Hire an Office Moving Service

Here are some no-brainer reasons to hire office move services.

Efficient and Stress-Free

The most obvious and simple reason to hire moving office services is because it’s simpler, easy, and more efficient this way. We’re professionals, we do this everyday, and we understand what types of issues or problems you may run into before they happen. 

One of the keys to coordinating an effective corporate relocation is anticipating problems ahead of time. This isn’t our first time relocating–We have a long list of problems we’ve run into over the years. We’ve already made the mistakes so you don’t have to worry about making them this time around. 

Turnkey Solution

No matter what business activity you’re taking on, planning and organization will determine how well everything goes. To coordinate a successful office relocation project you need a team of trained professionals on your side. Best of all, a good office moving company will provide a turnkey solution which means you won’t have to do any more or less than you want.

You can be involved in the process if you’re the kind of HR manager that likes to have their hands in on everything. Or, you could be like most people and hand it off to an office move company like ARC to handle for you. We do this all the time, we know what needs to be done, we understand how to coordinate everything properly, and we won’t stop until you’re satisfied. 

Office Relocation Services

Keeps the Office Running

One of the biggest issues with a large-scale corporate relocation is downtime. When you’re moving people, relocating equipment, setting up infrastructure on the other side, packing stuff, and planning everything it’s easy for employees to get distracted which can lead to unnecessary downtime and lower morale. 

Handing the job off to commercial relocation services allows your employees to continue focusing on day-to-day operations and can protect the company from any financial downfall that may result from an extended period of low performance. If you and the whole team can focus on running the business while we focus on coordinating the move, it will make the whole thing run smoother which will result in improved morale.  

Saves Money

This is the one point that a lot of companies don’t realize, but hiring office moving services can actually help you save money. Some of the costs you might run into if you do everything alone are: 

  • Moving truck and company costs
  • Moving and packing materials
  • Tools and devices for disassembling and transporting furniture
  • Lost working hours

Think about how quickly these costs can add up. Not to mention the fact that you’re going to make mistakes, there will be bottlenecks, and you’ll be responsible for handling everything yourself. 

On the other side of the coin, you can hire a corporate relocation company, we take care of everything, and there’s one flat fee for it all from A to Z. It takes a lot of the guessing out and you don’t have to lift a finger if you don’t want to. 

Gets The Equipment You Need

Office relocation project management requires you to think about all the minor details as much as the big ones. One thing that a lot of HR professionals overlook is the tearing down and reassembling of office desks, cubicles, tables, and other office furniture. Chances are, that stuff has been there so long that you neglect to realize it came in a box and was put together years prior. 

Office moving companies like ARC have all the contacts and resources necessary to make the process smooth and fast. We’ll make sure it all gets quickly and safely broken down for you, stored neatly in a way that is easy to transport, and even put back together when it gets to your new office. Trying to do this on your own or find office relocation movers that offer it will be difficult and costly. 

Office Relocation Do More

 

Banks on Experience

Our experience is the number one reason why people hire us for office moving services. Everyone has their thing and we don’t claim to know everything, but we know how to conduct a smooth and efficient corporate relocation. 

Office relocation requires quick planning and the ability to pivot in a seconds notice. You have an office to run, employees to manage, and now – employees to relocate. The last thing you want to think about is the fact that the moving truck is going to be two hours later than planned. Let the experienced team at ARC take care of your cross country or international relocation

Coordinates Transportation For You

Whether you’re moving five or fifty employees, transportation can be a challenge. You need to do all of this in a way that is timely, affordable, and easy for the employees. Keep in mind that they’re going through a lot as well. They might be uprooting a family, leaving loved ones behind, selling a home, taking kids out of school etc. This is all very stressful for them too. 

Not to mention determining the costs of all of these things. Figuring out a relocation package for your employees is one of the most difficult aspects. If you don’t have experience, you’ll have a hard time. We’ll help you compile all of the relocation expenses so you can put together the ideal relocation package for your business. 

Let us handle the transportation, airlines, moving companies, storage containers, dumpsters, and all that. You just worry about keeping your staff happy.

We’re Trained, Licensed, and Insured

Last but not least, reputable office moving professionals are insured. Even if you’re operating a small office, the potential for something to go wrong can be very costly. The data and information you have are also very valuable to your operation.

Good news–We work only with licensed, insured, and highly rated professionals, so your critical equipment, furnishings, and information are treated carefully and with respect. 

In the event of an accident where something does get broken, you aren’t left without recourse. Professional office moving services have insurance to cover these types of situations so you’re always protected. 

What Is the Difference Between Residential and Office Moving Services?

The main differences between residential moving services and office moving services are:

  • Size of items being moved – Residential moves usually involve furniture, boxes, and household items, while office moves involve desks, chairs, computers, office equipment, files, and other business items. Office items tend to be bulkier and heavier.
  • Packing services – Residential movers often provide packing services, thoroughly wrapping and protecting items. Office movers may just transport pre-packed items.
  • Timeframe – Residential moves can sometimes be done in a single day. Office moves often take multiple days or weeks, depending on the size of the office.
  • Logistics – Office moves require more coordination for disconnecting/reconnecting internet, servers, phone systems etc. Access to elevators, loading docks also needs to be arranged in advance.
  • Regulation – There are regulations specific to moving offices, regarding transporting sensitive documents, confidential files and equipment. Special care needs to be taken.
  • Cost – Generally speaking, office moves have a higher cost than residential moves due to the above factors – heavier items, IT requirements, secure document transport, overtime labor charges etc. Storage costs also differ.

In summary, office moves require expert navigating of business and technology systems, security clearances and are more complex overall than the average home moving service.

Get Started

To learn more about ARC office moving services, schedule a free call today. We’ll discuss your options and provide you with a customized quote. We offer a wide-range of services to appeal to businesses of varying sizes and stages of growth

Commercial Relocation Services | ARC Relocation

Relocating for work can be one of the most demanding things to ever happen to your employees. That makes it necessary to provide them with the necessary support in every step of the process. This is where commercial moving services can play a big role and ensure limited downtime. 

No matter what your relocation policy is, the right commercial moving company can help you in saving time and effort during the entire process. 

The Services Offered by a Commercial Relocation Service

Relocation can involve not just the employees, but the movement of an entire office or business sector to a different location. When it’s a global relocation, the work and effort required are even more. 

Here are some of the ways in which the right company helps in the entire process:

You’re Hiring A Team of Experts

By hiring commercial moving services like ARC, you are engaging a team of trained professionals who have the right set of knowledge and skills to get the job done. They are familiar with the intricacies of the entire process and can tie up all the loose ends to ensure that nothing is missed. At the same time, they can ensure the best levels of safety and security during the process.

If you are moving an entire office, there will be expensive equipment to relocate like computers, printers, copiers, or even bigger machinery that need careful handling. A trained team is well versed with the details of packing and handling these items to prevent any form of damage. With professional commercial moving service at every stage, there is no need for your or your employees to stress over the process.

Commercial Relocation Services

Effective Planning

The first stage of any business relocation is proper planning. Organizing the entire process in line with your relocation policy can be a cumbersome task as there are numerous small details to take care of. Furthermore, multiple aspects of the process should fall in place at the right time to make it successful.

Reliable business moving services like ARC understand the requirements of a business and help in formulating the right plan at a global level. They also have the right level of experience to effectively coordinate with multiple departments of the business like human resources, management, and finance, as required.

Specialized Equipment

When it comes to moving the larger items in your office, you need to use proper equipment. Hiring the right equipment on your own not only takes time but will also add to your expenses. The right office relocation services will provide you with the necessary vehicles, packing materials, crates, and cranes needed for the process. 

Furthermore, you don’t need to deal with multiple vendors at any point. A single point of contact can help you move through the entire process in an efficient manner.

Hassle-free Cargo Shipping

One important aspect of any relocation is shipping the cargo in the best possible manner. If it’s a global relocation, there can be factors related to shipping rates, taxes, and legal parameters. Unless thorough research is done, these can be a barrier to the entire relocation process. Moreover, HR teams unfamiliar with the terrain will find it a demanding task.

By using the commercial moving services of an experienced commercial mover, you need not spend time on these subjects. They are familiar with the ins and outs of the system and can handle the issues related to cargo shipping, arrange for cargo clearances. The team can even provide you with the best shipping rates. The cargo is also monitored properly during transit and the cargo shipping dates are closely tracked.

Proper Support for Employees

In most cases, the employees may not have the right experience about relocating. Besides, figuring out the details about asset relocation can be a stressful situation for their families too. 

Commercial moving companies will ensure proper support for a relocating family and ensure smooth communication at all levels. Apart from full relocation assistance, they can also help the employees with issues like real estate purchases.

At the end of the day, employee satisfaction is a critical aspect of any business. The support of a professional commercial mover can not only reduce employee stress but can also boost their morale. Additionally, this will allow the employees to focus more on the work front. 

Special Commercial Relocation Services from ARC Relocation

ARC has years of unmatched experience in managing relocations and offers a wide variety of services for all types of businesses. From field workers to high-level executive relocations, we have offered our best services to a wide range of clients.

This provides ARC with the right level of knowledge about the requirements of individuals and businesses during a complex relocation process. It offers a full spectrum of services including the shipment of household goods, property management programs, lease negotiation, and more. Beyond that, we also offer destination services like area familiarization to help employees settle down in a new location. 

All of these services are tailored after conducting a necessary need analysis of individual families. At the heart of the process is the industry-leading customer service through a single point of contact in the form of a relocation specialist. ARC also uses proprietary technology to ensure the best outcome for its customers at all levels.

Note, ARC is a fully independent company. That allows it to choose the best service providers based on service quality and price. The entire process remains free from ownership obligations and affiliations.

Commercial Relocation: FAQs

How early should I book my commercial move?

We recommend booking your commercial move 8-12 weeks in advance if possible. Commercial moves often require more coordination, permits, equipment rentals etc. Booking early gives us more time to plan and ensure your move goes smoothly.

How does a commercial move differ from a residential move?

Overall, commercial moves are much more customized with additional planning, logistics, permits, and costs involved, making choosing an experienced commercial mover essential. There are several key differences between commercial and residential moves:

  • Size & Scale – Commercial moves are often larger with more furniture, inventory, and equipment to move requiring more trucks, movers, possible specialty equipment, etc.
  • Customized Planning – Commercial moves require more coordination and planning customized to your business’s specific needs and schedule versus residential’s more general process.
  • Permits & Regulations – We often have to arrange permits with the city or meet special regulations due to oversized loads, hazards materials, elevator reservations etc.
  • IT/Data Security – For commercial moves, we follow strict data privacy protocols and coordinate with your IT team to move networking equipment properly without disruption.
  • Insurance Differences – Commercial insurance protects company property and inventory at replacement costs versus personal possessions for homeowners insurance.

What types of businesses do commercial moving companies provide services for?

Commercial moving companies can be used for various office and industrial relocations, such as general offices, tech firms, bank branches, legal firms medical and dental offices, labs and testing facilities, manufacturing facilities, and more.

Experienced commercial movers have tailored solutions whether you’re a large corporation, small business, nonprofit, boutique shop or anything in between.

Final Thoughts

As a business owner, you may have too much on your plate to handle a relocation all by yourself. Nevertheless, expanding the horizons of your business by relocating can be a necessity. Choosing the right commercial moving services can ensure that the entire relocation process remains efficient, secure, and cost-effective for your business.

Looking for a reliable commercial moving company?

Book a free call with us so we can learn more about your commercial relocation project

Moving to Dubai From US: Why It Is Beneficial For Your Company

Many American business owners and CEOs have considered expanding their companies internationally. One location that tends to top the list is Dubai in the United Arab Emirates (UAE). 

As a major global business hub with low taxes, excellent infrastructure, and quality talent, Dubai offers numerous advantages for US companies looking to establish an overseas presence. This article will explore the key benefits of moving to Dubai as an American business owner or CEO. 

From the business-friendly environment to the central location providing access to growing markets, there are many compelling reasons Dubai should be on your shortlist for international expansion. We will also address some frequently asked questions American business owners have about making the move.

Why Moving to Dubai From US Can Benefit Your Business

Expanding internationally comes with risks but also tremendous opportunities. Setting up an office or regional headquarters in Dubai can facilitate access to new customers and partners across the Middle East, Africa, and Asia. 

In most instances, the business-friendly regulations and absence of corporate income tax make it easier to operate profitably. When you relocate to Dubai, it also offers world-class infrastructure and healthcare to support your employees.

With its globally oriented economy and multicultural workforce fluent in English, Dubai ticks many boxes for US companies looking to establish overseas operations. 

The quality of life is high despite the desert climate, while the convenient location makes it easy to manage additional offices across surrounding regions. As we explore below, Dubai offers an ideal launchpad for American companies to expand abroad.

Business Environment

Dubai prioritizes attracting international business investment with business-friendly regulations, making it relatively easy to register and operate a company. Ownership restrictions are minimal, and in most instances, there is no need for an Emirati partner or agent. Registering a business can be completed in a few days, while administrative requirements are straightforward.

The UAE has numerous free trade agreements, providing preferential access to markets across the Middle East, Africa, and Asia. It also offers an extensive network of double taxation agreements, minimizing the risk of businesses and individuals being taxed twice on the same income.

Tax Benefits

A major incentive for companies considering the move is Dubai’s low tax environment. The emirate does not levy corporate income tax on most businesses. Only oil and gas companies and branches of foreign banks are subject to taxation. There are also no taxes on personal income or capital gains for expats establishing residence in Dubai.

The absence of most corporate and personal taxation forms makes Dubai highly appealing to business owners and executives from high-tax jurisdictions like the US. It enables companies to operate very costlessly while employees also take home much more of their salary.

Excellent Infrastructure

Dubai has invested billions of dollars in developing a world-class infrastructure network, from ports and airports to roads, bridges, and utilities. This premium infrastructure greatly facilitates business activities across all sectors.

The emirate is home to the Jebel Ali Port, the biggest man-made harbor globally. It offers direct connections to over 140 ports worldwide. Dubai International Airport (DXB) ranks among the top three busiest airports globally, connecting to all major international transit hubs.

Advanced telecommunications and technology infrastructure delivers fast, reliable connectivity for businesses. Dubai also offers premium commercial and residential real estate to accommodate company offices and expatriate workers.

World Class Healthcare

Unlike some emerging markets, Dubai provides world-class healthcare infrastructure to keep employees healthy and productive. The healthcare system incorporates premium private hospitals, clinics, and internationally accredited medical staff.

Several US hospital chains, like Mayo Clinic and Cleveland Clinic, operate in Dubai. With health insurance premiums much lower than in the US, employee coverage is cost-effective for employers. This gives valuable peace of mind to employees when relocating their families.

Quality of Life

Although situated in the desert, Dubai offers expatriates an excellent quality of life. Luxury villas and apartments provide comfortable living, while gated communities with facilities like pools and gyms create inspiring environments. Education options like private international schools cater to expat families.

Despite hot summer weather, Dubai enables an outstanding work-life balance with beaches, resorts, golf courses, and shopping malls all available for relaxation. The dining scene encompasses all global cuisines for adventurous palettes. For entertainment, Dubai hosts world-class events ranging from shopping and music festivals to sporting events and the annual Dubai Expo fair.

moving to dubai

Ideal Geography

Dubai’s location gives it a strategic advantage, bridging East and West. It is well positioned between major business centers like Hong Kong, London, and New York, making connecting with teams and customers across various time zones convenient.

Excellent air connections via DXB facilitate quick access for face-to-face meetings across Europe, Asia, Africa, and the Middle East. The working week aligns from Sunday to Thursday, enabling business travelers to conveniently connect with other global markets at the start or end of the week.

With sea access via the Persian Gulf and fast, modern road infrastructure, Dubai also provides a strategic base for companies looking to cover the Middle East and East Africa. The emirate’s advanced transportation links make managing satellite offices and operations across surrounding regions easy.

Access to Skilled Talent

Dubai offers access to a skilled, talented, and multilingual workforce from all over the world. Major US multinationals have established regional headquarters, building a formidable talent pool in sectors like I.T., finance, logistics, and healthcare.

Dubai’s tax-free salaries, career development prospects, and quality-of-life offerings draw ambitious professionals. The international education options also attract expat families. For niche skills, Dubai offers a Visa security program that allows companies to deploy existing foreign talent efficiently.

With English as the universal business language, there are minimal barriers to integrating foreign workers. The cosmopolitan environment also makes it easier for expat executives and their families to adjust, with many international amenities catering to Western tastes.

Multicultural Workforce

Dubai’s workforce encompasses people from over 200 nationalities. The multicultural business environment facilitates cultural exchange and fresh thinking to drive innovation. Exposure to different perspectives can enhance strategy, marketing, and HR policies to better resonate across global consumer groups.

The shared corporate language of English also makes it easier to foster diverse, integrated teams. When structured appropriately, multicultural teams enhance problem-solving through broader inputs. 

They also minimize the risk of cultural blind spots impeding effectiveness abroad. Providing cross-cultural training for your American employees can help make the cultural shifts an easier transition. 

Integrating Emirati nationals into teams for US firms also provides valuable cultural insight into the local market. Emiratis help bridge foreign business cultures in a way that resonates with regional sensibilities.

Access to Growing Markets

Located at the crossroads of Europe, Africa, and Asia, Dubai is the perfect operational base to access fast-growing emerging markets. It provides a stable operating environment with minimal red tape to coordinate expansion into developing economies, offering significant growth potential.

Africa represents an underserved market with an expanding consumer class open to US brands and technology. Dubai enables access to African markets through geographic proximity, cultural affinity, and business ties. It offers an ideal test bed for products and services to fine-tune before expanding across high-potential Middle Eastern and African regions.

Emerging Asian economies also present untapped opportunities worth billions as disposable incomes rise. Dubai provides the optimal geographic and cultural platform for US companies to structure Asian market entry strategies. The region’s premier airports efficiently connect executives with commercial capitals across Asia.

Moving to Dubai From US: FAQs

Is it difficult to move to Dubai as an American?

Understanding how to move to Dubai from the US might sound difficult, but it is easier than it seems. Global relocation services can help make moving to Dubai less stressful and easier for your company. 

Expatriates from over 200 countries call Dubai home, so Americans are welcome. Securing residency visas simply requires having employment or owning property in Dubai. US citizens can quickly obtain 30-90-day tourist visas with a valid passport to explore opportunities.

How difficult is registering a company in Dubai?

Registering a business entity with Dubai’s Department of Economic Development takes 5-7 days. Most sectors do not require Emirati partners. Besides director and shareholder documents, the only major requirement is office lease documents showing physical premises.

Can foreign employees easily open Dubai bank accounts?

Yes, Dubai banks readily provide account services for foreigners working in Dubai. Major banks like HSBC, Citibank, and Standard Chartered have integrated multi currency account opening processes for expats of any nationality.

How can we assess talent needs for a Dubai expansion?

Working with a reputed HR consultancy is prudent to evaluate organizational needs. They provide insight on attracting and retaining top local talent while navigating UAE’s Visa and employment policies. Most good consultants offer talent mapping, staffing strategy, and salary benchmarking services.

Final Thoughts

Expanding into Dubai provides American companies gateway access to immense business opportunities across the Middle East, Africa, and Asia. From the low corporate taxes to world-class infrastructure supporting operations, it checks many boxes as an optimal location for international headquarters.

ARC Relocation can help your company with moving to Dubai from US. Contact ARC Relocation today to set up a complimentary consultation call. 

Companies Moving to Raleigh: Why Businesses Are Moving to North Carolina

Moving to Raleigh, North Carolina, has emerged as one of the top destinations for companies looking to expand or relocate. Major global corporations from a diverse range of industries are choosing to call Raleigh home.

Why are companies moving to Raleigh? The Research Triangle region offers a rare blend of advantages for business growth. Raleigh checks all the boxes for CEOs looking to gain a competitive edge, from infrastructure to economic growth to a skilled workforce and thriving tech hub.

In this article, we’ll look at some of the significant companies opting to move core operations or entire headquarters to Raleigh. We’ll also explore why Raleigh is becoming a preferred location for today’s leading companies.

Companies Moving to Raleigh

Some of the largest companies in the world are relocating their businesses to Raleigh. From Apple bringing over 3,000 high-paying jobs to British bank Barclays moving its Americas headquarters, Raleigh is attracting heavy investment across industries:

Apple

Apple is one of the top companies moving to North Carolina. The global tech titan Apple is investing over $1 billion to construct a new cutting-edge campus in Research Triangle Park, which will house various divisions focusing on emerging technologies. 

As one of the best tech companies in Raleigh NC, the new hub will employ 3,000 high-skilled workers spanning machine learning engineers, artificial intelligence researchers, augmented reality developers, software architects, and other critical roles in building breakthrough innovations. 

Apple offers an excellent relocation package, making it favorable for employees to relocate with the company. Apple selected Raleigh due to the region’s deep talent pool in software development and hardware engineering.

Propharma

Propharma is a global pharmaceutical company headquartered in Raleigh, providing customized solutions for drug manufacturers. The company relocated its headquarters from New Jersey to Durham County, allowing Propharma to tap into the Triangle’s thriving biopharma ecosystem and life sciences talent pipeline. 

The company’s new 60,000-square-foot headquarters facility will house over 704 workers. Propharma selected Raleigh after North Carolina offered an attractive incentives package, including tax breaks valued at over $12 million over 12 years.

Wolfspeed

The semiconductor manufacturer Wolfspeed, a leader in silicon carbide technology, plans to invest $5 billion over eight years to construct a mega-materials production facility in Chatham County. 

The factory will directly employ over 1,800 workers to meet the booming demand for energy-efficient chip solutions. Wolfspeed chose North Carolina due to the region’s electronics manufacturing base and world-class engineering talent from nearby universities developing next-generation power devices.

raleigh nc

Fujifilm Diosynth Biotechnologies

Fujifilm’s biopharmaceutical manufacturing subsidiary, Fujifilm Diosynth Biotechnologies, or FDB, chose Raleigh to construct a large-scale bioproduction facility to produce gene therapies and viral vaccines. 

The $2 billion flexible manufacturing site in Research Triangle Park will eventually house 725 bioprocess engineers, manufacturing experts, and lab technicians, expanding FDB’s capacity to serve clinical partners. FDB selected Raleigh due to local talent’s expertise in upstream and downstream bioprocessing.

Barclays US Consumer Bank

The British banking giant Barclays is relocating its entire Americas operations, including corporate functions and 1,500 high-paying jobs, to a newly constructed 30-acre North Hills campus in Raleigh featuring an Innovation and Technology Center. 

Barclays selected Raleigh to tap into the region’s financial solid services talent pipeline and as its strategic hub for the US consumer market. The move centralizes leadership teams and critical support staff under one dynamic location designed to accelerate collaboration.

Energizer Holdings

After considering options nationwide, the battery manufacturing giant Energizer Holdings selected Apex, a Raleigh suburb, as the site for its new corporate headquarters. Energizer plans to relocate around 75 top executives from its St. Louis headquarters to Wake County. 

Energizer chose North Carolina due to its strong talent networks, quality of life, and cultural fit. The company will also leverage proximity to Research Triangle Park and regional universities to tap into battery-related R&D.

Lowe’s

The home improvement retail leader Lowe’s opened an impressive global tech hub called Lowe’s Tech Hub in bustling South End Raleigh, cementing the city’s status as an emerging East Coast hub for corporate IT and digital innovation centers. 

The state-of-the-art facility houses over 2,000 technology workers building next-generation e-commerce tools, supply chain systems, and omnichannel retail solutions. Lowe’s selected Raleigh due to the region’s strong tech talent pipeline and growth trajectory.

Bandwidth

The homegrown unicorn Bandwidth continues scaling its global workforce from its Raleigh headquarters following a successful IPO in 2017. 

The cloud communications platform provider cites Raleigh’s rich access to affordable tech talent as a major factor, allowing it to compete for top candidates as it adds hundreds more software engineers and telecom experts to meet demand.

Bayer Crop Science

The German life sciences leader Bayer is expanding its presence in Research Triangle Park by opening an innovation center focused on developing enhanced seed technologies. 

The new SeedGrowth facility represents a $14 million investment that will house scientists and plant biologists working closely alongside North Carolina State University researchers. Bayer chose RTP due to its proximity to one of the world’s largest agriscience and plant science PhDs concentrations.

Blue Cross Blue Shield of North Carolina

As one of the largest companies in Raleigh NC, Blue Cross Blue Shield of North Carolina (BCBSNC) is centralizing 3,000 employees from across its statewide footprint into a new downtown Raleigh tower. 

The 20-story facility will house client-facing teams, IT staff, actuaries, population health experts, and critical roles. BCBSNC selected Raleigh to tap into the region’s emerging healthcare ecosystems and talent networks focused on next-generation care delivery.

Raleigh: The Research Triangle Park Capital

Raleigh is the capital and largest city in the Research Triangle region, often simply called the “Triangle.” The Triangle refers to Raleigh, Durham, and Chapel Hill – three cities connected by world-renowned research universities and an unrivaled concentration of high-tech Raleigh based companies.

The Research Triangle Park encompasses a sprawling 7,000-acre campus founded in 1959, positioning itself as the “capital of innovation” in North Carolina. Over 275 companies currently occupy research, office, and lab space within the Park, including IBM, Cisco, Biogen, Bayer, and dozens more giants continually commercializing cutting-edge technologies.

Beyond the Park, companies spanning sectors have flocked to set up shop or relocate to Raleigh and surrounding Wake County, cementing Raleigh’s status as the economic engine and nucleus of the broader Triangle ecosystem.

Why Is Raleigh a Top Choice For CEOs?

What is luring major companies spanning advanced manufacturing, financial services, technology, and pharmaceuticals to invest billions in Raleigh? The region offers key advantages that next-generation companies need to maintain an edge in competitive global markets.

Infrastructure

Raleigh’s superb location boasts modern highways, railways, and accessibility to Raleigh-Durham International Airport – one of the largest airports in the country – which provides companies with smooth supply chains and distribution channels and ease of domestic and international business travel access.

Job Competition

The steady pipeline of talent emerging from Research Triangle Park and access to skilled graduates from nearby Duke University, UNC Chapel Hill, North Carolina State, and 12 other respected universities and colleges gives companies the confidence they can continually attract qualified candidates for competitive engineering and data science positions.

Economic Growth

Raleigh continues to experience explosive population and job growth that is substantially outpacing national averages. Being located in a region with strong economic momentum and stability spanning the past few decades makes Raleigh an appealing long-term home for executives planning for future expansion.

Skilled Workforce

Relatedly, Raleigh’s exceptionally dense concentration of PhDs, scientists, engineers, and STEM experts makes it easier for companies to tap into the specialized skill sets critical for innovation in the 21st-century economy, from machine learning to life sciences.

Advanced Raleigh Tech Hub

Spurred by the Research Triangle Park, Raleigh now consistently ranks as one of the nation’s fastest emerging technology and advanced R&D hubs. The expertise emerging in fields from biotech and pharmaceuticals to clean energy, intelligent mobility, semiconductors, and software reflects the future-focused industries flocking to call Raleigh home.

Business Friendly Policies

North Carolina continues incentivizing business investment by keeping corporate taxes among the lowest nationwide. State and local leaders also dangle attractive tax incentives for major job creators selecting Raleigh for investment. These relatively business-friendly regulatory policies appeal to companies’ bottom lines.

Low Cost of Living

Despite the explosive economic success, the greater Raleigh region has retained an affordable cost of living compared to other bustling corporate centers. As a result, companies can stretch wages to recruit talent who will enjoy an exceptional standard of living in Raleigh.

Quality of Life

Raleigh continues to earn among the highest scores nationwide for overall quality of life rankings thanks to an outdoor-loving, vibrant culture, thriving dining and brewery scene, and wealth of arts and entertainment options

Executives from these top companies in Raleigh recognize that the region’s energy and amenities make recruiting passionate talent-seeking work-life balance more manageable.

Innovative Ecosystem

The combination of world-class research universities like Duke and UNC pumping out entrepreneurial graduates and abundant tech startups across sectors from gaming to cleantech fosters a collaborative innovation network that larger corporations can tap into.

Conclusion

Today’s leading companies moving to Raleigh chose the Research Triangle region because it is one of the nation’s premier destinations for substantial business investment.

With competitive infrastructure, the country’s highest concentration of science and tech experts, a pipeline of skilled university talent, overall economic dynamism and affordability, and research parks cultivating tomorrow’s innovations, Raleigh offers an ideal launchpad for enterprises positioning themselves for enduring success.

At ARC Relocation, we can help with moving your company to Raleigh. Contact us today for a consultation.

Creating an Effective Relocation Policy for Your Company

A well-designed relocation policy is crucial for companies looking to transfer or hire employees from out of town. Relocating employees involves significant costs and coordination, so having clear guidelines and procedures in place is key to ensuring a smooth process. As a relocation professional advising a company, here are my tips for creating an effective relocation policy:

Define the Scope

First, outline who exactly is eligible for relocation assistance. Typically this includes:

  • New hires moving to work at your location.
  • Existing employees transferring to a new office/location.
  • Employees returning from an international assignment.

You’ll also want to define any limiting factors like:

  • Minimum distance required for relocation support (e.g. 50+ miles from current residence).
  • Maximum relocation allowance for each employee tier/level.
  • Timeframe when relocation expenses must be incurred.

Clearly setting eligibility parameters upfront prevents confusion down the line.

Choose the Relocation Package Type

There are a few main options for structuring relocation packages:

Lump Sum Allowance: The company provides a fixed dollar amount based on factors like employee level and family size. The employee manages the funds directly.

Reimbursement: Employees pay for relocation costs initially, then submit receipts for reimbursement by the company up to a maximum.

Managed Relocation: The company works with a relocation management firm to coordinate and pay for qualified expenses directly.

A managed program offers the most oversight and flexibility, but costs more to administer. Lump sums or reimbursement plans place more responsibility on the employee. Evaluate your budget and needs to decide which approach works best.

Determine Covered Expenses

The relocation policy should spell out every expense that the company will pay or reimburse for eligible employees. 

Typical categories include:

  • House hunting trips – Temporary housing – Home sale assistance
  • Moving household goods – Final travel to new location – Car shipping – Pet relocation
  • Utility installation – Mortgage assistance – Temporary storage – Miscellaneous allowances

Also indicate what isn’t covered, like luxury items or upgrades. Establishing clear guidelines on expenses will streamline administration and prevent misunderstandings.

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Outline the Process

Provide a step-by-step overview of the relocation process for employees. Key steps often include:

  • Employee submits relocation request form.
  • HR reviews request and confirms eligibility.
  • Relocation package details are communicated to employee.
  • House hunting trips and temporary housing arranged.
  • Movers and real estate agents selected.
  • Travel to new location booked.
  • Reimbursement forms and receipts submitted.
  • Resettlement allowance provided.

Having a defined roadmap sets consistent expectations and ensures nothing falls through the cracks.

Set Repayment Requirements

To prevent abuse of relocation packages, many companies require full or partial repayment if the employee leaves shortly after relocating. Typical clauses include:

  • 100% repayment if employee resigns within 12 months.
  • 50% repayment if employee resigns within 12-24 months.
  • Pro-rated repayment schedules work too.

Seek legal guidance on developing a repayment agreement that protects the company without being overly punitive.

Communicate the Policy

Once finalized, distribute the written relocation policy to hiring managers, your relocation management firm, and current employees. Make sure the policy is easily accessible on the company intranet or HR site.

Providing clear communication upfront prevents confusion and ensures equitable support for all transferring staff.

Track Metrics

Analyze metrics like:

  • Number of transfers/new hires utilizing relocation annually.
  • Average spend per relocation.
  • Employee retention rates post-transfer.

This helps spot trends and fine-tune the program to keep costs under control while offering the support employees need.

Allow Flexibility

While consistency is important, retaining some flexibility is wise too. For example, discretionary exceptions for cases like highly sought-after executive hires. Or additional temporary housing for employees with children changing schools mid-year.

Having options to handle unique situations helps attract top talent and support employee needs. Just be sure to document any exceptions approved.

Creating and optimizing a relocation policy takes time. Following this guidance will help craft an effective program tailored to your company’s specific requirements and budget. Please reach out with any other questions!

Define Policy for International Relocation

For employees relocating internationally, there are additional factors to consider:

  • Will you cover the costs for obtaining visas and work permits?
  • How will you handle tax equalization and preparation?
  • Will you pay for language and cultural training?
  • What about shipment of household pets?

Ensuring foreign transferees integrate smoothly requires more support. Outline all special allowances and benefits clearly in the policy.

Consider Group Relocation

When relocating multiple employees, you may be able to negotiate group rates on some expenses like corporate housing and household moves. This can help maximize your relocation budget.

Just be sure group moves don’t cause delays or limit personalization for individual employee needs. Maintain flexibility even within group relocations.

In summary, a well-designed relocation policy aligns with your corporate culture and values. It provides the right mix of structure and flexibility for your organization. With strategic planning, you can create an effective program that attracts talent while keeping costs contained.

Contact us today for more information and assistance with your corporate relocation! 

Relocation Expenses [2024 Fees, Costs, and Inclusions]

The relocation industry is big. Around $25 billion a year big.

Roughly 10% of those who do move in the US are moving for work purposes.

It’s a huge and important market for US businesses – many are surprised at the costs involved. As such, we’ve built this guide to help you understand what a relocation package includes and what relocation expenses to expect.

Before we go any further, it should be noted that our relocation company specializes in helping HR teams to put these packages together.

Relocation Packages: What is Covered

There’s more to a relocation package than just financial assistance.

To give you an idea of what it can cost to relocate an employee, we have laid out some basic examples of how much it can cost.

  • Current employee: homeowner $97,166
  • Current employee: renter $24,216
  • New hire: homeowner $72,627
  • New hire: renter $19,309

A package can include the following:

  • Moving Costs: the shipment of household goods, packing and unpacking and the storage of any items that cannot be moved right away.
  • House-Hunting Trip: there could be more than one trip, and accommodation and travel need to be factored in.
  • Travel: not just for the house-hunting trip but for the final destination trip too. This also includes any airfare for their spouse, children and pets too.
  • Temporary Housing: hotels or rental properties may form a part of the allowance if the permanent residence is not ready yet.
  • Home Sale and Lease Breaking Fees: relocation allowances can cover the fees to arrange the current property to be put up for rental or sale. If the employee is in a tenancy agreement, the allowance may also be used to cover any early termination fees.
  • Relevant Documentation: visas and work permits, especially if your employee is moving out of the US or you are hiring an overseas recruit.
  • Miscellaneous Costs: these kinds of expenses can include, but are not limited to, driving license fees, pet registration, cleaning services and setting up utilities at the new home. It is worth noting that these costs can add up. Depending on the type of package, you may wish to include a budget limit.

New Home in Destination

Other Relocation Expenses

We also have a section of our website dedicated to benchmarking policies, including examples of the policies with their approximate costs.

Some of the other expenses you can expect to cover for relocation include:

  • Temporary Living Expenses: this is usually covered if an employee has to live in a hotel or short-term rental before moving to their permanent residence. Or, another reason could be that the job start date is before the move date.
  • Spouse Support: your employee’s partner will need to be factored into their move, and many allowances include support for their job hunt, a business venture or financial aid.
  • Children and Dependents: some relocation packages also include assistance and information on local schools. We offer a resource pack to parents to help to include their children in the move. It’s a big change for them too!
  • A Loss On Sale Allowance: if the sale of the employee’s house is less than what is owed on the property, you can include an allowance to cover this. House prices fluctuate regularly and facing financial hardship due to the move is something that needs to be avoided.
  • Cultural Support: one of the biggest obstacles for a relocation is a culture shock for an employee. Cultural support can include language lessons, an introduction to the culture of the new home country and as mentioned above, support for spouses and children.

These are not necessarily “must-haves” for a relocation policy, but small details can make all the difference to employee morale.

Employee Relocation Policy

Different Types of Relocation Packages?

There’s no such thing as “one size only” for relocation. You can tweak a package based on what your company can offer and what your employer needs.

As a standard, there are the following packages:

  • Lump Sum Packages
  • Tiered Packages
  • Managed Budget Package
  • A Fully-Covered Relocation Package

Lump Sum is the oldest and most common approach to relocation. It is what it says; a whole cash payment to the employee. They are then responsible for arranging their relocation. This package is also not to be confused with a lump sum relocation bonus.

The main advantage of using a lump sum package is the convenience to the employer. It also puts the onus on the employee to arrange all aspects of their move.

With that key benefit, there are some negatives to the lump sum.

  • The employee can spend this money however they like.
  • If the move costs less than the payment, the remaining money does not go back to the company; the employee keeps this.
  • A lump sum payment is a taxable amount, the employee could end up with less than they thought once their tax bill arrives.
  • Moving costs are unpredictable, is the amount sufficient? Could this cause some tension between you and the employee before they’ve even begun their new role?

You can look at using a lump sum signing bonus as an addition to another package, especially if you have agreed upon a reimbursement plan.

Other packages may not look as efficient as a lump sum on paper, but they certainly keep the employee happy during an exciting but stressful time.

Tiered Packages are seen as the cost-effective approach by companies. It’s also the option commonly used by many in-house and third-party employee relocation teams.

These packages are bespoke depending on the individual and business too. For example:

  1. Tier one: intern or entry-level employee with no mortgage, private tenant.
  2. Tier two: mid-level managers and long-serving professionals. Either has a mortgage or is a private tenant.
  3. Tier three: high-level executives and senior managers.

Each tier would consider the above expenses depending on the living arrangements and obligations of the employee.

Managed Budget Packages are also sometimes referred to as a “capped allowance”. A business would use this model to set a limit on what they are willing to spend on an employee’s move and also, set a maximum limit.

These are similar to a lump sum in the sense that an employee is responsible for spending the allowance themselves. The main difference between them is that the package is broken down into sections, how much they can spend per section and, if there’s any money left over, this goes straight back to the employer.

While this can be seen as an ideal approach for the employer, it may leave a bitter taste in the employee’s mouth as the maximum spend per section may not be adequate for certain moving costs.

Fully Covered Relocation packages are often the preferred approach if you’re looking to manage your employees’ moves. Relocation specialists also work with this package to assist with the move of a high-level employee, and it can help to manage those large unpredictable moving costs.

The downsides to a fully covered package are few and far between. The main one from the employee’s point of view is that they can’t keep any remaining money, much like a capped budget.

The main benefit of a flexible allowance is that it gives the employee more direction with the spending. From a business point of view, you have more control over where the money is spent, any remaining allowance goes back to the company and they can be tailored to each employee.

If you’re still undecided about which package is right for you, you can take a look at our online resources for more information or check out our ultimate guide to employee relocation.

You can also contact us to discuss your requirements, and we can talk you through the list of options and packages that can work for you.

There is so much more to consider with a relocation than just bricks and mortar. The upheaval of someone’s life for work requires a lot of time and careful planning.

You’ve spent the time acquiring the top talent in your field and now you need to retain them and prove that your company is worth moving for!

We offer full guidance and an abundance of options when it comes to relocating an international employee. You can find full details of this on our Global Relocation Services.

Bill Mulholland Headshot
Bill Mulholland, SCRP, GMS
Founder & Owner
ARC Relocation

About Bill

In his role as Director of Business Development at ARC Bill oversees all aspects of the growth initiatives for both government and corporate clients, domestically and globally. Bill graduated from George Mason University with a BA in Psychology and has been in the relocation industry since 2000. Bill has earned both his SCRP and GMS designations from ERC. Bill is the former President for the Greater Washington Area Employee Relocation Council (GWERC), ERC content committee member, ERC Ambassador, the recipient of the ERC’s “Meritorious Service Award” and “Distinguished Service Award”.