5 Things You Should Know About Relocating

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​When taking a new job with a company right after school, most companies (in my limited, manufacturing-specific experience) will give you a modest moving stipend if you are relocating by more than 50 miles to come work for them. If you are a good enough actor to appear competent and motivated after you start working (check out “20 Pieces Of Advice For New Graduates”) your company might actually upgrade your title and add a nickel to your pay. We call this a promotion. For those of you who are not the 11 loyal readers following my Twitter feed, I just received a promotion last month. I moved from the bright lights of Houston, Texas, to the swamplands of rural Louisiana, where the alligators outnumber the people three to one. I wanted to share some of the moving tips I learned along the way.

1. Spend as little of your moving allowance as possible. I know it seems obvious, but this is WAY easier said than done. Here’s the trick: expense reports. Save every single receipt of yours that is not fuel related (see #2) and throw everything else on an expense report. Any and all meals, your first grocery store run, the administration fee on your new apartment, fees on driver’s licenses and car registration (if you’re moving across state lines), and even a pet deposit fee if you have one. Are you starting to get the picture? The worst they can say is no, and then you have your moving allowance to cover it. It’s a point of personal pride that I was able to convince accounting to reimburse me for a full back massage; I needed it to cope with the stresses of moving, right? Companies with profit margins less than 30 percent might care a little more about your expenses, but that’s why I work for the oil industry.

2. Drive as much as possible and keep fastidious records of where you drove, along with how many miles you put on your car. Your company should reimburse mileage, and most companies (at least that I’m aware of) will match the government’s reimbursement rate of $0.56 a mile. Let’s pull out our cell phone calculators for a second. If I moved 300 miles away from Houston, that means my company paid me $168 extra dollars just to drive my car to my new apartment. My 2002 Ford Ranger gets 24 mph on the highway, resulting in 12.5 gallons of gas that I had to pay for. I filled up yesterday for $3.36 a gallon-that’s $120 of pure profit. Then once you get to your new place, keep track of every trip you make for moving errands before your first day on the job (Bed, Bath & Beyond, Walmart, Chipotle, etc.). God forbid you have to make a second trip back and forth carting all your crap to your new home…cha ching! Accountants don’t mind paying you back as long as everything is transparent and detailed.

3. Sell or throw away at least half of your belongings. My first job with my company was as an efficiency expert, which is six sigma and lean manufacturing kind of stuff. The first thing they teach efficiency experts is the seven deadly wastes. One of the wastes listed is inventory. Everything you own in your apartment is your personal inventory. If you want to move as efficiently as possible, cut down on your inventory, period. I moved to Louisiana with two suitcases of clothes, two guitars, three pairs of shoes, a box of treasured mementos, my laptop, and my bed. That’s it. I was done unpacking in 20 minutes. The best way to blow your moving allowance is to pay an expensive moving company to haul all of your junk in a giant moving truck. If you want to, you can donate all of your unwanted stuff to Goodwill. Not only will people who are on tight budgets have the option to buy your stuff, but you’ll get a pretty sweet tax deduction next April if you’re savvy about it.

4. Bring the essentials that you would have to buy again if you threw them away. These are, but are not limited to, shower curtains, silverware, shot glasses, kitchen and bathroom trash cans, a broom, dustpan, and mop, Windex and cleaning supplies, a toilet plunger, a bathmat, folding chairs, air fresheners, plates, and blankets. I’m sure there are a dozen other items I forgot, but if you bought everything I just listed at a Walmart or a Target, you’ll drop $100 bucks, easily. That’s money you could spend on alcohol.

5. Save all receipts that your company did not reimburse. I’m not a CPA, but I’m pretty sure the federal government reimburses legitimate moving expenses up to a certain amount (probably not a back massage). It’s better to be honest than shady here, though. I’ve never been audited, but tax audits are portrayed very negatively in modern film and TV shows, and I have no desire to meet with some creepy, little IRS agent to talk about the items I chose to deduct.

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HoustonOilGrad

The ultimate team player. Just a San Diego bro who misses his high school buddies and still thinks about his prom date from time to time. A much better wingman than a boyfriend, he enjoys brunch, Will Ferrell, and Southern Comfort. Finally bought the putt putt golf rug that he couldn't afford in college. Routinely sends three emails before 8:15 just to appear busy and on the ball; begins to check the parking lot for his boss' car after lunch. Started writing for PGP to get rich, achieve a massive twitter following, and meet girls. None of these have happened, not even close. Obvi. More recently, HoustonOilGrad accepted a promotion which moved him to rural Louisiana. He still drives a car to work, but a pontoon boat would probably be faster. He hopes to date a classic southern belle, wear boots made out of an alligator he killed himself, and finally get that six pack he's been dreaming about ever since 300 came out in theaters. I'd put my money on the alligator boots happening first. Spends his free time inventing a beer bottle opener iPhone case that is better than anything currently on the market. Purchases his polo shirts at Walmart and his button ups from Marshall's.

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  1. 4
    Dorns_Deadbeat_Dad

    That’s why I love my trailor. Its so easy to move in a mobile home and you don’t have to worry about packing. Gives me so much extra time for activities.

    Nice workMehLog in or sign up to reply. • 6 days ago
  2. 4
    sjcorcor

    Moving is my absolute greatest nightmare… along with the DC housing prices.

    Nice workMehLog in or sign up to reply. • 3 days ago
  3. 2
    fratanomics

    Unless you are donating thousands of dollars to Goodwill in the form of lightly used furniture or something like a car, the deduction you’d get back isn’t even remotely worth using. You’re way more likely to get a ton more from the standard deduction.

    Nice workMehLog in or sign up to reply. • 6 days ago
      • -1
        fratanomics

        If it’s an above the line deduction, why is it line 17 on your Schedule A, which is where you itemize your deductions?

        Or if you want to be real fancy, you can just read the first page on the 1040 form:

        “To deduct your charitable contributions, you must itemize deductions on Schedule A (Form 1040) or Schedule A (Form 1040NR). ”
        http://www.irs.gov/pub/irs-pdf/f1040.pdf

        Or you can read their guidelines on charitable donations:
        ” 2. To deduct a charitable contribution, you must file Form 1040 and itemize deductions on Schedule A.”

        So yeah, you need to itemize to deduct the shit you gave to Goodwill.

        Nice workMehLog in or sign up to reply. • 2 days ago