What Is a Relocation Fee

umzugsvergilch are a form of compensation paid to employees when they are

relocated for work purposes. These are typically a part of the overall relocation

package for an employee that includes expenses such as moving, housing and

shipping costs. Relocation packages are typically provided to high-level executives

and directors, but as the global economy has grown and more younger employees

have become accustomed to traveling for work, smart companies have begun

offering these types of incentives to attract talent and keep key employees.

Generally speaking, most relocation packages will cover the cost of professional

movers, packing and unpacking services and other moving-related expenses like

boxes and tape. It will also include the expense of transporting and storing

household goods. In many cases, the relocation fee will also reimburse the employee

for travel to their new location. This may include reimbursing the cost of mileage or

airfare, or it could involve a flat rate per person depending on the size of the family

being moved and the distance to their new destination.

In addition, some relocation packages will include short-term housing, either in the

form of an extended stay rental or a temporary apartment. These are designed to

provide some comfort and convenience during the transition between homes and

often include a cleaning service. Depending on the nature of the position being filled,

a relocation package will sometimes include child care assistance and help finding

schooling options for children.

For those moving internationally, some relocation packages will even offer language

and cultural assimilation assistance. This is an extremely useful benefit to offer as it

can be difficult for relocating employees and their families to adjust to a foreign


Other expenses covered by relocation packages can include mortgage or renter’s

insurance, closing costs for selling a home, real estate commissions and other

similar fees. Some relocation policies will even include a financial incentive to

encourage fast and effective house sales or purchases.

In the case of an international move, some relocation packages will also provide

support to assist the employee and their family in obtaining spousal work visas or

transferring children to new schools in the country. These are additional benefits

that can make a big difference for relocating families and they should not be

overlooked by any company that is serious about hiring top talent.

Relocation fees are usually a part of an overall relocation policy that is set by the

organization and negotiated during the employment process. It is important to

establish a clear relocation policy and provide it to relocating employees early on so

that there are no surprises when it comes time for them to move and begin working

at their new location. In Asanify HRMS, a relocation policy can be stored within Team

documents so that it is easy to find for employees and accessible when needed. This

way, employees do not have to worry about trying to locate a copy of the policy and

can focus on getting up to speed quickly when they start their new role.