Lump sum solutions: a flat rate for more choice
An international move consists of much more than the physical move of household contents and the family. Individual requirements and personalised service play an ever-increasing part.
International companies are increasingly switching to lump sum assignments, whereby the assignee receives a fixed amount for the assignment transfer. The company provides an agreed amount for the move, which is then organised by the employee.
Is your company giving you a lump sum to cover the costs of your move? In some countries like the USA, these sorts of arrangements have been around for a while, and in Europe, they are becoming more popular.
Both sides - the company and the employee - can benefit from this arrangement. For the company, the administrative effort is reduced considerably. On the other hand, the employee can independently decide which services he requires.
The advantages are clear: you can decide which services you want to spend money on, and which not.
A lump sum payment from your company for your move is treated as fully taxable income. When employees have questions about tax issues, some companies provide support through their tax departments. Others pay a so-called "gross-up", increasing the gross payment to ensure that the net amount is equivalent to the agreed sum. And others provide no support at all on tax issues.
A fixed amount and a personalised service
With Henk International you have an experienced partner at your side, looking after the complete move process. We organise your assignment as individually as you require.We do this using our worldwide contacts and our depth of knowledge to give you the best possible service.
The simplest solution is when the company pays the agreed lump sum straight to the move management company. This direct billing agreement between employer and moving company is simpler because you do not need to declare the lump sum as taxable income. Conversely, if no direct billing agreement is arranged, you will be taxed on the lump sum payment. Of course, you can reclaim these costs in your tax return, but that will be a year later.
Optimal use of the available budget by selecting services on an individual basis
Competent advice to help choose the services that fit best
Providing a Moving Guide with practical tips for the DIY part
Calculation of various alternative methods (e.g. storage, air freight, sea freight)
