Lump Sum Allowance Administration | KinetixRelo
Lump Sum Programs
Over the past few years, Lump Sum programs have gained popularity as an alternative to expense reimbursement under the idea that they reduce administrative costs, are easier to administer, and allow transferring employees more freedom to allocate their relocation spend. While the general ideas may be true, lump sum allowance program administration for reimbursement of one time employee expenses may require a little more attention to best benefit relocating employees and their families
As an alternative to expense reimbursement, Lump Sum programs need to be monitored to ensure that payment levels are appropriate for current cost exposure, that employees are purchasing the support they need effectively, and that participants don’t feel like the company has left them to fend for themselves in a way that erodes the employee experience. Ignoring the support element can lead to relocation policy exceptions and a bad experience that can negatively impact employee retention. Kinetix can help manage and monitor your Lump Sum program, keeping it on track and ensuring the best possible employee experience.
Lump Sum Administration
Kinetix understands that a balanced Lump Sum Relocation Program includes both the choice and flexibility of an employee managed approach that gives an employee a stake in the process, and a watchful eye from an expert to ensure that they have the best experience possible.
With tried and tested vendor options for moving, housing, and destination support, Kinetix limits program and policy exceptions by educating your transferring employees in the best possible use of their Lump Sum.
Relocation Program Cost Containment
While Lump Sum programs can serve to reduce relocation program administrative costs when appropriately managed, it’s important to understand the need to provide reliable and cost-effective vendors to your transferring employee base as well. The aim of relocation program cost containment can be undermined by improper level setting or a lack of understanding of employee cost exposure, two things that can be easily remedied.
Kinetix will use historical program data, point-to-point cost of living analysis, and detailed needs analysis to set program levels and employee expectations. Working hand in hand with your internal program team, we will make sure that you realize the administrative ease you seek, while providing comprehensive support for the key talent you move.