Relocation Package Calculator
Estimate the real value of a job relocation offer. Add up moving, housing, and signing payments, subtract taxes, and adjust for cost of living in your new city to see the true net benefit of accepting the move.
Relocation Benefits Offered
Cost of Living Comparison (optional)
What Is a Relocation Package Worth?
A job relocation package is a bundle of benefits — moving allowance, signing bonus, temporary housing, home sale help — that an employer offers to get you to move for a role. Typical packages range from $10,000 for entry-level positions to $75,000+ for executive moves. The headline number is misleading though: most components are taxable income in the US since the Tax Cuts and Jobs Act of 2017 eliminated the moving expense deduction for most employees, so your real take-home can be 25-40% less than the stated package value.
Taxable vs Non-Taxable Components
Under current IRS rules, nearly all employer-paid relocation benefits are taxable as W-2 wages — including direct reimbursements, lump-sum bonuses, and the value of temporary housing. Exceptions are narrow: active-duty military moves remain deductible, and some qualified corporate moves still use gross-up (where the employer pays the tax for you). Always ask HR whether your package is grossed up — if yes, the company pays the tax on top, so $20,000 stays $20,000 in your pocket. If not, expect roughly two-thirds of the gross to reach you after federal, state, FICA, and Medicare.
Cost of Living Changes the Math
A $20,000 raise to move from Austin to San Francisco is not a raise — it is a pay cut. San Francisco housing alone costs ~80% more than Austin. Always adjust your new salary for the cost of living difference before deciding. A rough rule: if the COL is 20% higher, you need a 20% higher salary just to break even. The relocation package is a one-time benefit; the COL-adjusted salary is what you live on for years, and it usually matters 10-50× more than the signing bonus.
How to Negotiate a Better Package
Relocation is one of the easiest things to negotiate because employers already have a budget for it. Ask for: (1) a gross-up on the lump sum so taxes don't eat 30%, (2) extended temporary housing (60-90 days), (3) home sale assistance or a loss-on-sale guarantee if you own, (4) a return trip or spouse job-search visit, and (5) a repayment clause with a short 12-month term rather than 24. If the company won't grow the package, ask them to convert part to base salary — that compounds over your career, while relocation money is spent once.