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UHR Procedures: Moving and Relocation Expenses

APPLIES TO: Regular Faculty and Staff and Visiting Faculty from other educational institutions with the exception of those represented by a bargaining unit

ISSUED BY (DEPT): University Human Resources

SPG NUMBER: 201.68

DATE: 01/11/2013

RESPONSIBILITY	ACTION
Procedure A: To arrange for reimbursement after relocation
Department Administrator (before move)	Obtain approval of Dean/Director/Chair for reimbursement before commitment is made to faculty/staff member. Communicate amount of reimbursement committed to faculty/staff member. Three Tips: Definition for "move" is a new hire coming to UM to begin employment. Definition for "relocation" is an existing employee whose work site has been changed, i.e., a clinic has closed and the employee will work at a clinic in another city. Only individuals who they claim on their income tax can be claimed on a moving expense.
Faculty/Staff Member	Submit receipts for moving and relocation expenses to department administrator.
Department Administrator (after move)	Complete “Moving and Relocation Worksheet” found in PeoplePay. For moving expenses only, per Internal Revenue Services regulations, the mileage reimbursement rate per mile is $.555 per mile, of which $.23 is non-taxable, and $.325 is taxable. *Effective 09/01/2012. Effective 2/1/2013*, the mileage reimbursement rate is increasing to $.565 per mile, of which $.24 is non-taxable, and $.325 is taxable. Using results from Worksheet, complete “Reimbursement/Reconciliation of Moving and Relocation Expense Form” found in PeoplePay. Send Worksheet, Receipts and Expense Form to Dean’s/Director’s Office for approval.
Dean/Director’s Office	Approve reimbursement and sign “Reimbursement/Reconciliation of Moving and Relocation Expense Form.” If reimbursement for a staff member exceeds the SPG limits, approval must be obtained from the vice president of the area in which the staff member is employed before forms are sent to HRRIS. For faculty, approval must be obtained from the dean or director. Send Worksheet, Receipts and Expense Form to HRRIS.
HRRIS	Review Worksheet. Approve Reimbursement. Send completed forms to Payroll. Scan copy of documents to employee’s personnel file
Payroll	Process reimbursement, or if advance was taken, reconcile reimbursement with advance. If there was a promissory note, send cancelled note to faculty/staff member.
Procedure B: To arrange an advance prior to relocation for faculty/staff member.
Faculty/Staff Member	Request an advance for moving and relocation expenses.
Department Administrator	Obtain approval of Dean/Director for reimbursement before commitment is made to faculty/staff member. Send Promissory Note Form or Electronic Form along with instructions to faculty/staff member.
Faculty/Staff Member	Complete Promissory Note Form; send to Department Administrator along with estimates of moving costs (usually from moving company).
Department Administrator	Complete “Request for Moving and Relocation Advance Form” found in PeoplePay. Send this form along with Promissory Note and moving estimates to Dean’s/Director’s Office for Approval.
Dean’s/Director’s Office	Sign “Request for Moving and Relocation Advance Form” and send this form along with Promissory Note and moving estimates to HRRIS.
HRRIS	Review estimates and approval. Assign faculty/staff member UMID, if not already assigned. Keep copy of packet and send originals to Payroll.
Payroll	Review forms, if approved, issue check and mail it to faculty/staff member. Send letter to Department Administrator that check has been sent and date it was sent.
Faculty/Staff Member	Save all receipts from moving and relocation. Follow Procedure A above.