Moving & Relocation Guidelines

When the appointing authority and the appropriate approver deem it to be in the University's best interest, a prospective appointee may be offered moving and relocation financial assistance so long as the prospective appointee's new primary job location is at least 50 miles from the prospective appointee's current home and their most recent primary job location. The decision by an appointing authority to offer moving and relocation financial assistance is discretionary and contingent upon the availability of funds. In determining the amount of the relocation assistance provided, the appointing authority and appropriate approver should consider the distance of the relocation and anticipate reasonable costs for packing, insurance, transportation, and storage in transit, as well as unpacking and installation of the prospective appointee's household goods at a new residence, and temporary housing accommodation. Moving and relocation financial assistance shall be provided via a moving and relocation allowance payment issued by Payroll Services. Moving and relocation allowances will not be provided to individuals that will be employed by the University for a period of less than 2 years.

I. Steps for Moving and Relocation Approval and Allowance

  1. Hiring department obtains approval for allowance amount
  2. Human Resources (for MPP/Staff hires) or College (for Faculty hires) drafts offer letter
  3. Employee receives offer packet including Moving & Relocation guidelines
  4. Department Budget Analyst or Administrator completes Moving & Relocation Allowance request form that is submitted to Payroll Services for payment
  5. Payroll Services issues allowance with appropriate Federal and State payroll taxes deducted.
  6. Allowance is issued to employee AFTER they receive their first paycheck.

II. Moving and Relocation Allowance Approvals

The hiring department must obtain approval for moving and relocation allowance prior to extending an employment offer. Moving and relocation allowances for staff and management employees must be pre-approved by Human Resources and moving and relocation allowances for faculty must be pre-approved by Academic Personnel. There are two approval thresholds based on amount:

Dollar amount of Moving & Relocation Expense Reimbursement Approving Official
$10,000 or less Dean or Department Head
Greater than $10,000 Vice President and President

The total moving and relocation allowance request shall not exceed the authorized dollar amount provided in the employee's offer letter.

Approved Offer Letter language.

The following language referring to moving, housing, lodging, or other relocation type expenses should be added to the offer letter. No other language or amounts should be added to the offer letter for moving and relocation expenses or related assistance.

I am pleased to provide you with a relocation allowance of $«Relocation_expenses» to help you towards the cost of moving and relocation. The relocation allowance will be issued by Payroll following your first paycheck with all applicable taxes deducted (tax rate for these payments is 36.25%). Visit the Moving and Relocation page for additional information.

III. Cal Poly Recovery of Allowance:

If an employee who has received a moving and relocation allowance does not continue employment with the CSU for a period of at least two years (unless discontinuance of the employment was the result of death, disability or other similar unexpected cause beyond the control of the employee as determined by the appointing authority), the employee shall repay the following percentage of the gross amount of the allowance received:

  1. 100% if employed less than 6 months
  2. 75% if employed at least 6 months but less than 12 months
  3. 50% if employed at least 12 months but less than 18 months
  4. 25% if employed at least 18 months but less than 24 months

Department must contact Payroll upon employee's notice of departure.

Recovery Process:

  1. Department shall contact Payroll to inform them employee is leaving Cal Poly and provide a copy of offer letter and resignation date
  2. Payroll Services shall confirm time of employment
  3. Payroll Services establishes Accounts Receivable with the State Controllers Office for amount owed based on employment duration
  4. Payroll Services informs employee of total amount owed
  5. Employee pays Cal Poly money owed*

* Departments may not pay this amount on behalf of the departing employee

IV. Contact Information

Payroll/Income Tax Questions:

Cal Poly Payroll Services
Phone: 805-756-2605