If you are assigned a job transfer by your company, you may be wondering, “When should I start preparing for the move?” In most cases, the relocation costs of company-initiated transfers are covered by the company. However, depending on the situation, there may be costs that you will have to pay yourself.
In this article, we will explain the schedule for preparing for a move, the relocation costs that are likely to be covered by the company, as well as the costs that are likely to be paid by you. Please feel free to use this article as a reference.
At Village House, we offer a wide range of affordable rental properties across Japan, with prices starting from just ¥20,000 per month. If you’re searching for a place to live after your transfer, please visit our website!
When to start packing for a move due to a job transfer
It’s best to start preparing for a move at least one month in advance. However, it’s not uncommon for employees to be notified of their transfer just two weeks before their new assignment begins. In such cases, it’s important to begin your preparations as soon as possible.
Moving with your family
If you’re relocating with your family due to a job transfer, it’s ideal to start packing and preparing at least one month in advance. The steps for the move are as follows:
One month to two weeks before the move:
- Search for a new home
- Take care of the move-out procedures
- Request a quote from moving companies
- Handle the transfer procedures for daycare, kindergarten, school, etc.
One week before the move:
- Submit your move-out notice to your local city or ward office
- Contact utility companies for termination
- Submit a mail forwarding request at the post office
When moving as a family, you may need to adjust to your spouse’s work schedule and handle the transfer procedures for your children to a new school. For this reason, some families choose to move in stages rather than have everyone relocating at the same time.
Moving by yourself
If you’re relocating for a job transfer alone, the moving process tends to be less complicated since you only need to pack your own belongings. However, it’s important to check early on whether your company will provide housing for you or if you’ll need to find accommodation yourself.
Once you have decided on your new home, be sure to request a quote from moving companies as soon as possible. To keep relocation costs down and choose a plan that fits your needs, we recommend requesting multiple quotes at once for comparison.
In some cases, relocation costs due to a job transfer may not be covered by the company
In general, companies often cover the relocation costs related to job transfers. However, there is no legal obligation for them to do so, and it ultimately depends on the company’s policy. In other words, there are cases where the company will cover the entire cost, and cases where the employee will have to pay the entire cost on their own.
To understand the extent to which your relocation costs will be covered by your company, it’s best to check the company’s work regulations, transfer policy, and your employment contract.
How much of the relocation costs will be covered by the company?
Moving costs
When a job transfer requires relocation, it’s generally common for the company to cover the moving costs. These costs usually refer to the handling and transporting of your belongings during the move. However, whether additional services—such as packing, unpacking, and organizing—are included depends on your company’s policy.
In some cases, there may be a maximum amount that will be covered, or detailed guidelines outlining exactly which expenses are covered by the company. The scope and conditions of coverage vary by company, so be sure to check them in advance.
Initial costs such as security deposit, key money, and agency fees
When relocating due to a company-mandated transfer, it’s common for the company to cover the initial costs of renting a new home, such as the security deposit, key money, and agency fees. However, this doesn’t always mean that the full amount will be covered. In some cases, only a portion of the actual expenses is covered, or a fixed relocation allowance is provided regardless of the actual cost.
Additionally, some companies may cover part or all of your rent at the new location. If you’re relocating for work by yourself, you may also receive a solo assignment allowance. Be sure to confirm these details with your employer in advance.
Transportation and accommodation expenses when moving to your new assignment location
When moving, if the unloading and loading of your belongings are done on different days or if the distance to your new home is very far away, you may need to overnight accommodations along the way.
In many cases, your company will cover transportation and accommodation expenses related to the move. However, the company may specify approved means of transportation or set a limit on how much they’ll cover, so be sure to review your company’s policy in advance.
Relocation costs that are often paid out of pocket during a job transfer
Furniture and appliances for your new home
When relocating, many people consider disposing of their old furniture in order to save on transportation costs and then purchasing new ones after settling in.
However, in most cases, the cost of replacing furniture and appliances is usually not covered by the company and must be paid out of pocket. Therefore, it will ultimately be cheaper to continue using furniture and appliances that are still functional in your new home rather than discarding them.
That being said, if you’re relocating alone on a solo assignment and only bringing the essentials, you may need to purchase new appliances. In that case, you can reduce initial costs by purchasing secondhand furniture and appliances or choosing a fully furnished rental property.
Special items
Items such as pianos, potted plants, artwork, pets, etc. are classified as special items, and some moving companies may refuse to transport them. Even if they can be transported, special methods and equipment are required, so you will usually have to pay for extra services.
As a general rule, the moving costs that the company will cover only include standard moving costs. As a result, any additional fees for transporting special items are typically your own responsibility.
Moving costs that are not covered under the company’s policy
Although it varies depending on the company, there may be a limit on how much of your relocation costs will be covered. In some cases, you may be required to submit quotes from multiple moving companies or instructed to use a specific moving company designated by your company in order to receive reimbursement.
If you choose to use optional services like packing and unpacking, or disposal of unwanted items, you should be mindful when requesting them, as they are generally paid at your own expense.
Important points to note when your company covers relocation costs due to a job transfer
Confirm how the company will cover your relocation costs
When you are notified of a job transfer, or once the transfer is officially confirmed, it’s important to check your company’s work regulations, transfer policy, and employment contract to confirm whether the relocation costs will be covered as a fixed allowance or reimbursed based on actual expenses.
Keep quotes and receipts
If your company is covering your relocation costs, you will need to submit various quotes and receipts. In cases where you pay the moving costs upfront, be sure to keep the receipts as they are required when you claim for reimbursement later.
Reimbursement may take time to be processed
In many cases, relocation costs are handled through a reimbursement system, where you initially cover the costs out of pocket and then get reimbursed by your company later. This means you’ll need to prepare enough funds in advance to pay for the move before the reimbursement is processed.
At Village House, there are no security deposit, key money, handling fees, or renewal fees（※）. If you’re looking to save on moving costs, feel free to reach out to us!
※ Depending on the contract details and screening results, a security deposit may be required.
Related articles:
Hello, I’m Machiko Doi, a freelance writer who writes about housing and living in Japan.
I live in an 80-year-old house that I inherited from my grandparents along with my two shelter cats and daughter.
We live a relaxed life while repairing the house.
I like to cook vegetables from the garden and fresh fish caught by my father, and enjoy them with cold beer on a hot day or hot sake on a cold day.