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University of Oregon Fiscal Policy IV.04.05,4.a Moving Expenses & UO Departmental Fiscal Procedures, Updated May, 2021

  • Newly hired University employees may be reimbursed for reasonable house hunting, moving, relocation expenses as approved by the hiring authority. 
  • Existing employees, when relocation is required for a change in work location, may be paid/reimbursed as approved by the hiring authority and in accordance with the University Fiscal Policy. See different, applicable procedure at Travel Procedure D.Persons Eligible for Travel-Expense Reimbursement [1] Employees
  • Certain travel and moving/relocation reimbursements may have income tax implications. The recipient is ultimately responsible for his/her tax filing and any resulting tax liability.
  • Relocation expenses are no longer reimbursed through Concur.  Instead there are now two Options available that, with some limitations, are paid through Payroll.
  • The total amount of Moving Expense Allowance, including house hunting expenses, that is available to a new employee must appear within their signed offer letter or term sheet. (term sheets are the input mechanism used by the Office of the Provost uses to create TTF offer letters.)
  • Determination of which Option is available to a new employee is dependent upon 1) the amount of their Gross Annual Wages, 2) Limits within the Options, and 3) whether the employee chooses to have a Moving Company paid directly.

Departmental training is available, please contact Joy Germack at before making a payment under this new Policy and procedures. One-on-One trainings on Teams or Zoom are available. 

Moving Allowance Payroll Option 1: This option requires Standard Language wording in the offer letter/term sheet.  Capped at 10% of new employee's annual income or $15,000, whichever is less; and requires department to compile and keep on record supporting receipts or appropriate documentation. (MCR STO). The Cap includes house hunting expenses. All documentation and receipts required to be kept with department Payroll records. See Department Fiscal Procedure

Moving Allowance One Time Payroll Option 2: This option requires Standard Language wording in the offer letter/term sheet. Capped at 7.5% of new employee's annual income or $11,250, whichever is less; does not allow for any direct payments to third parties; and does not require receipts.(PRF STO).  The Cap includes house hunting expenses.
  • Caps on the amount of the Moving Allowance for Options 1 and 2.  Exceptions to the maximum allowance capped limit may be granted by the Provost (for academic appointments), the Vice President for Research and Innovation (for research appointments), or the Vice President for Finance and Administration (for administrative appointments) or designees. Fiscal Procedure

Standard Language - This is required wording required within all University Offer Letters or Term Sheets that include a Moving Expense Allowance: -University of Oregon Departmental Fiscal Procedures

"Subject to UO’s policies and procedures regarding reimbursable moving/relocation expenses, we will also make available up to [$X,000] for eligible moving expenses. The procedures for claiming moving/relocation expense reimbursements can be found on the UO Business Office Moving / Relocation Expense page: Please note that reimbursements for moving expenses paid to you through university payroll will be subject to federal and state taxes. Accordingly, I encourage you to speak with your own tax advisor before making your moving arrangements. Please also consult your unit for information regarding movers who work with the university and with whom the university has direct billing arrangements. If you voluntarily terminate employment at UO within one (1) year of your official hire date, all amounts paid for your moving/relocation shall be reimbursed by you to the UO unless an alternative arrangement is made in writing."

  • Option One  requires that the 'Standard Language' appears within the offer letter/term sheet, requires the collection of receipts and documents to be kept in the New Employee's Payroll Files kept by the Hiring Department. This option allows for direct pay to a Moving Company.  
  • Option Two requires that the 'Standard Language' appears within the offer letter/term sheet, does not allow for direct payments to a Moving company, and does not require receipts.
  • Direct payments to Moving companies (Option One only) - use account code 10780 & include the name and Banner ID of the new employee in the Banner text. Cannot exceed the approved Moving Allowance. The Moving company receipt to be kept with the employee's payroll records.
  • Direct payments to airlines or hotels for house hunting or moving expenses are no longer allowed. 
  • The Hiring department is responsible the process, review, and authorization of Moving Expense Allowances. Documentation is to be kept in the new Employee's Payroll records.
  • As of January 1, 2018, the Tax Cut and Jobs Act made all moving/relocation expenses paid or reimbursed by the employer subject to payroll taxes until 12/31/2025. The applicable taxes will reduce the employee’s moving allowance, or net income if a third party is paid directly, at the supplemental tax rate and their share of FICA (Social Security & Medicare) tax. The applicable percentages at the 2022 rates are Federal supplemental tax rate 22%, FICA rate 7.65%, State of Oregon supplemental rate 8%, and. Eugene Employee Payroll tax rate .44%.  The total is 38.09%. Please have your new employee plan accordingly.  Example:  Moving Expense allowance is $10,000, the employee will receive $6,191  ($10,000 -$3,809 taxes).
  • How to pay through Payroll - 

                       Option 1:If this is a reimbursement for expenses that receipts have been submitted for, a PRF (Payroll Request Form) is not necessary; only an MCR (manual check request), using the regular/primary position.  It would probably be most appropriate to use the pay month where the hire began.

                       Option 2: If this is a one-time allowance (receipts not required), then a PRF would need be submitted and routed through HR.  No MCR would be necessary.

                       Question? Contact Payroll Department for questions on how to use the Earn Code STO, PHAHOUR, the PRF Payroll Request form, and the MCR Manual Check Request form. 

Additional Information 


If you have questions about the new moving expenses policy, contact Joy Germack, Senior Tax Accountant/Analyst at or 541-346-0782.

Last updated 08/17/2022