Relocation Package

Human Resources

If you’re wanting access to the best talent in the country, you could be asking them to pay $79,000 (if they’re renting) or $61,000 (if they’re homeowners) to relocate closer to your headquarters.

That’s a big hurdle you’re asking potential employees to jump!

To ensure you’re incentivizing new employees and talent the right way, you should start considering relocation packages. This could include the traditional method of paying for the employee’s moving costs or a de-location package to help them set up remotely (more on this later).

If you’re looking to learn more about relocation packages and how you can incorporate them into your hiring process, NoHQ has you covered. Below we’ll cover the basics and fill you in on everything you need to know. 

What is a Relocation Package?

A relocation package is a form of financial aid that helps employees move from one location to another. This is usually the case if the company requires an employee to move closer to the headquarters. 

These kinds of packages are normally found in specific industries, such as tech, as well as other fields with quick innovation. 

As well as traditional relocation packages, you now also find “reverse” or “de-location” packages with the introduction of remote work. 

These packages can include:

  • Desk setups
  • Laptops
  • Monitors
  • Etc.

Essentially anything that helps employees comfortably work remotely and provide value to the company. 

It’s worth noting that de-location packages are growing in popularity - Zapier implemented a $10,000 de-location package into their hiring process and witnessed a 30% increase in applicants. So, it might be something you should start considering. 

The Different Types of Relocation Packages

If you’re looking to implement a relocation package into your hiring process, there are a variety of ways you can go about it. 

Here are a few methods modern companies are using to offer relocation packages to their employees. 

Direct Billing

Direct billing involves the company/employer paying moving services directly to assist employees with a relocation. It’s a simple way for the employer to provide employees with what they need without any fuss or drama. 

For the employers, it can be beneficial from a cost point-of-view. By establishing long-term agreements, employers can negotiate a discount from suppliers and save money. Additionally, a lot of the items will be tax deductible. This will vary on the items and services provided during the move, but companies could save tax by implementing direct billing. 

For employees, it can be beneficial by providing a stress-free way to go from point A to point B. They won’t have to think about how they’re going to afford the move. They’ll simply tell the company what they need, and it will be provided for them. It’s a relatively easy process, especially for new hires. 


With a lump-sum, employers will cover relocation expenses with a specific amount that will be sent straight to the employees account. 

For the employer, sending a lump-sum to cover expenses is easy and doesn't require any additional work. With direct billing or other methods, logistics are involved and third-parties need to be contacted. With a lump-sum, employers remove the headaches and provide their employees with exactly what they need. 

For the employees, a lump-sum provides a bit of flexibility for what they need. The issues employees might run into though is tax - lump-sum payments are taxable items. Therefore, the employer will have to reimburse for any losses in funding. 


Reimbursement involves the employer reimbursing the employee once they’ve paid for their relocation expenses. There will be a limit to how much the employee can spend, as well as a cap on what will be reimbursed. 

Although this provides freedom for the employee to create their own remote setup or customize their move, they’ll still be stressed by the upfront payments they’ll have to dive into their pockets for. 

Third-Party Relocation

Some employers will leave third-party relocation companies to handle their employees' moves. These companies will provide assistance during the whole process, helping individuals and families move comfortably from one location to another. 

This can be an expensive option for companies, but it provides the most support for new employees (and existing ones) and is a hands-off approach for the employer. 

Companies like BP are famous for this. They’ll help families move across the globe, providing settling-in assistance, spouse employment services, and much more. 

Why is a Relocation Package Important?

There are a series of benefits to offering relocation packages. 

Whether it’s to bring more talent from far-away places or provide employees with an efficient remote location, here are a few perks companies should be aware of. 

Wider Talent Pool

By offering relocation or de-location packages, you open your doors to incredible talent from across the world. Hiring no longer has to be localized around your specific HQ. You can talk with and employ highly-skilled applicants from just about anywhere. 

Offering relocation packages gives your company a competitive advantage in today’s climate. It’s the reason many remote-first companies like Zapier and Gitlab have flourished. 

Reduces Position Vacancy  

Because you have access to a global hiring pool, the time it takes for you to find an A-player is shortened. 

With a huge number of applicants to choose from, you’ll be able to simplify the hiring process and get talent into your company quicker. Allowing you to focus on producing more value for your customers and growing your company. 

Improved Retention Rates

By showing you actually care about your employees by providing them with a relocation package, you can increase retention rates and boost company culture. 

Additionally, if you’re providing state-of-the-art remote setups, employees will feel comfortable in their work environments and will be able to focus on producing quality value. 

You’ll tend to find the more you provide employees to help them move, the longer they’ll stick with the company. 

Grow Brand Reputation

A secondary benefit to utilizing a relocation package is improved brand reputation. Brands who offer impressive packages often receive praise and get noticed by large publications. They’re more likely to be recognized as a forward-thinking brand. 

As a result, you’ll often find talent seeking you out. You’ll start getting headhunted by employees looking for a company who will provide them with what they need to be the best at what they do. 

How Does a Remote Employer Save on Relocation Packages?

Remote employers save on relocation and de-location packages by lowering their overall overheads. 

With a completely remote force, employers won’t need a physical office near their employees. This means no rent payments or real-estate specific expenses. In fact, going fully remote can cut your real estate costs by 32% on average, sometimes 43%.

This leaves more money to grow and scale the company. Whether that’s investing more in marketing, innovation, or your staff. In either case, it’s better to have more money in the bank than less!

As well as costs, your employee will save money as well, especially if they usually have to commute. If you offer to move them to a cheaper location, they’ll also save money that way. Leading to more money in their pocket and greater job satisfaction. 

Relocation Package Alternatives - Employee Benefits for Your Remote Team

If you’ve read this article and are still not convinced by relocation or de-location packages, there are some other options to consider. 

We’ll list a few below if you’re looking for alternative remote team benefits. 

Health Insurance

Health insurance is a common benefit to offer remote employees. In countries like the USA, health insurance is a must so employees don’t have to fork out thousands of dollars if something were to happen. 

Even if your remote team is based in countries with a health care system, private health insurance can be an effective benefit to offer. Private institutions are usually faster and more efficient with no frustrating waiting times. 

However, talk to your insurance provider about the options you can provide remote employees. Packages can get complex if the insurance needs to cover people overseas. 

Virtual Learning & Development Opportunities

If you’re hiring top talent, there is a good chance they actually care about what they do and are looking to improve as much as possible. You can assist them with this by providing learning and development opportunities. 

These can include something as simple as an online course budget. This enables them to develop new skills, upskilling in areas that might be lacking in your company. 

You can also set up virtual learning events which upskill the team and create a social environment for people to connect. 

Learning and development is a great perk to offer and with a large budget, you can incentivise applications and garner more interest in open positions. 

New Technology Equipment

Although this is often included in relocation packages, you can still offer an equipment budget to help remote employees set up

If your new hires have never been remote before, they might be using an old, personal laptop to manage their out-of-office tasks. By providing a flash new setup, including a laptop, monitors, and even a desk, you can increase their productivity and improve job satisfaction. 

Plus, as you would have saved money from office furniture expenses, you’ll have the money to reinvest in your employees. So, it shouldn’t be too much money out of pocket. You can also expensive some of these items to claim tax back. 

Access to Home Care Services

Something unique you can offer is home care services. This can include meal delivery, laundry services, cleaning, and more. 

When your employee is working from home, they’ll have home chores to get on with that might distract them from their day-to-day. By providing a way for these services to be done for them, they can save time and have more focus on their tasks. 

Unlimited paid time off

To really incentivize employees, unlimited time off is a great option to provide. 

With work-life balance blending together, remote employees can often feel like there is no separation between work and life. Resulting in depression and burnout

To combat this, offering unlimited time off enables remote employees to rest and take leave when they need it. This can prevent burnout, boost job satisfaction, and lead to better employee retention. 

All of which benefit your company and keep your force productive. 


Relocation de-location packages are effective tools used to aid employees when they’re transitioning between two locations for work. Whether that’s moving closer to an office or moving into a remote environment. 

With a ton of perks for both employees and employers, as well as cost savings, remote employers should definitely start looking to implement them into their hiring process. 

To learn more about relocation packages and remote hiring, see our articles here. Alternatively, to find out how you can start hiring remote employees immediately, see our hiring guide now

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