What is relocation allowance – can you get it?
Moving to a new home can be a costly affair, so it is important to be aware of the financial support available. Although some forms of relocation assistance are no longer offered, there are still many ways to get financial help. In this guide, we explore the current options to facilitate your move.
History and current status of relocation allowances
Previously, it was possible to apply for a relocation allowance through the Public Employment Service or the Social Insurance Agency to cover costs related to a move. This included grants for commuting costs and household relocation. However, these possibilities have been discontinued since 2015. However, this does not mean that all doors to financial support are closed.
Opportunities for financial support when moving
There are several avenues to explore for those who need financial support when moving:
- Work-related relocation: For those who change jobs, there may be opportunities for compensation, especially if the move is linked to new employment or a change of job within a group of companies.
- EU grants and Municipal Allowance: Students or jobseekers moving for training or work within the EU may be eligible for specific grants.
- Advice from the Public Employment Service: The Public Employment Service can offer advice and possible reimbursement of costs related to work-related moves.
Tax-free relocation allowance and its criteria
- Conditions for reimbursement: The reimbursement can cover expenses for double resettlement, repatriation and sometimes loss on sale of housing.
- Application process: Normally the employer is responsible for this type of compensation, but there are specific criteria that must be met.
Role of the employer and tax rules
It is essential for employers to be aware of the rules on relocation allowances and tax deductions:
- Rules for Employers: Especially for foreign employers, it is important to pay attention to tax rules when hiring in or from Sweden.
- Updated Information: It is important for both employers and employees to keep up to date with changes in tax legislation that may affect relocation benefits.
Effective planning and coordination of work-related moves
Moving for work requires careful planning and coordination:
- Identify Needs: Review your work and housing needs in the new location.
- Choosing a moving Moving company: Compare different movers to find the option that fits your budget and needs.
- Checking the relocation allowance: negotiate with your current or future employer about the possibility of a relocation allowance.
- Coordination with colleagues: Effective communication with the parties involved is essential for a smooth transition.
Summary of the relocation allowance
The landscape of relocation assistance has changed over the years, but there are still many avenues to explore for those seeking financial assistance when moving. By being well informed and planning carefully, you can ensure that your move is as smooth and cost-effective as possible.
