In general, you should wait 1 to 4 weeks for the relocation, depending on how many household items you need to move. If you only have a few bags, you could be relocated within a week. But if you need the relocation services to move your car and other household items, the process is a bit lengthy. New hires usually start about two weeks after accepting a job offer.
However, if that new employee must move, it may take longer. When developing a relocation program, companies should keep this in mind and ask employees how much time they need. By working with new employees early on, companies set a more realistic time frame for the move and can also take the first steps to create a good working relationship. Relocation is an entirely different area from Human Resources; a relocation specialist can take the initiative to ensure a smooth transition for you and your new employee.
Employers have lost the ability to use relocation as a tax deductible and employees must pay taxes on any relocation benefits received. The relocation company will match this offer and then sell the house to the outside buyer, provided that the highest offer is a genuine offer made in good faith. While most companies have a relocation package figured out mostly when they offer a job, employees may have individual needs or requests to make the move as simple as possible. Employee relocation occurs when a company decides to move an existing employee, new employee, or intern to a new location for work reasons.
Employers could also deduct relocation expenses incurred when relocating their employees, which would benefit both parties. Often, the employee keeps relocation costs low and keeps the rest of the pay; this can lead to a bad move and many companies are abandoning these packages. Your new company or relocation specialist will contact you to discuss the entire process and this will include how expenses are managed. While the final cost of an employee relocation package varies widely, there are ways companies can calculate and reduce these costs.
If a relocation company is used to purchase the home through a GBO and an outside buyer offers a higher price, a modified value option (AVO) can be used. In an GBO, the relocation company buys the house from the employee at a fair market price, before subsequently selling it to an outside buyer. It's an approach that is sometimes used when hiring a professional outside company to help with relocation management. An employee relocation package is an advantage that companies use to help new and current employees move from one location to another because the job requires it.
To cover their bases, companies should consider adding a reimbursement clause, which states that if the relocated employee leaves before a certain period of time, they will have to reimburse the company's relocation costs.