Blog: RELOCATING TO TORONTO: Lump Sums

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Reimbursement vs. Allowance: Why Choose Lump Sum? In the past five years, lump sum has become the most popular method of relocation expense reimbursement. Considering how easy it is to administer, and the flexibility it offers to employees, it’s not hard to see why so many companies use it. What is Lump Sum?

A recent SHRM survey on employee benefits found that lump sum payments are the single most popular relocation benefit offered by the surveyed companies. Lump sums are offered by 28% of responding companies, down slightly from 29% in 2017 and 32% in 2016.

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Whether starting from scratch or revamping an existing program, Plus Relocation is here to help you build the relocation solution that works. Plus is a global mobility company, here to save you time, money, and headaches, while giving your employees the stress-free, positive experience they deserve – no matter where in the world they’re headed.

Many employers offer bonuses or lump sums to employees agreeing to relocate. Relocation reimbursement expenses and bonuses are often offered as part of a job relocation packages. While this is a welcome benefit, it’s important to understand the difference between relocation reimbursement and bonuses.

Lump sum payments are taxable for the employee, while relocation expenses paid by a company on the behalf of an employee may not be. This depends on a variety of factors, from move type and destination location to the intent of a relocation or assignments and any treaties associated with it.

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iMOVE is the outcome of extensive research into how next-generation technology can make the moving experience easier and more anxiety-free for the lump-sum population. It uses the concept of design thinking to create a streamlined, guided experience based on each assignee’s specific profile.

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