Moving for a Tech Job: Relocation Packages at FAANG, Startups, and Mid-Size Companies

The big five (and their equivalents) offer the most generous relocation packages in the industry. Most provide a lump sum that you can spend however you want, though some offer managed relocation where a third-party firm handles everything.

The amounts vary significantly by level. A new grad joining Google gets a very different package than a senior engineer. L3/L4 (entry to mid-level) typically gets the lower end of the range. L5 and above often gets managed relocation, which is worth significantly more than a lump sum because the company pays the relo firm directly.

One thing to know: these packages are largely standardized within each company. The recruiter has limited flexibility to increase them. Your negotiating power is better spent on salary, equity, or signing bonus. But it never hurts to ask.

This is where the real negotiation happens. Mid-size tech companies (think Series C through recently public) usually have relocation budgets but not rigid policies. The recruiter or hiring manager has discretion over the amount.

The range is wide. A well-funded Series D startup might match FAANG packages to land a competitive hire. A bootstrapped company might offer $3K and an apology. The key variable is how badly they want you and whether they are competing with FAANG offers.

Consulting firms deserve a special mention. McKinsey, Bain, BCG, and the big four all have strong relocation packages, especially for MBA hires. These are usually reimbursement-based (you pay, they reimburse with receipts) rather than lump sum.

Let's be honest: most seed to Series B startups cannot afford to give you $15K to move. Their entire office furniture budget might be $15K.

But that does not mean you walk away empty-handed. If they cannot offer a relocation package, negotiate something else: additional equity (the cheapest thing for a startup to give you), a larger signing bonus, a WFH period of 1 to 2 months so you can move at your own pace, or reimbursement for specific costs like lease break fees.

The startup negotiation is less about a formal package and more about creative problem-solving. Frame it as: "I want to make this work. Here is what I need to make the move feasible." Most founders respect directness.

If a company offers "managed relocation," you hit the jackpot. This is the premium tier.

A relocation management company (like SIRVA, Cartus, or Graebel) handles everything. They coordinate movers, pack your stuff, ship it, set up temporary housing, and sometimes even help you find an apartment. You do not pay upfront. The company pays the relo firm directly. The total value can easily be $20K to $50K for a full managed relo, far more than any lump sum.

Managed relocation is typically offered at senior levels (L6+ at FAANG), for executive hires, or for extremely competitive recruiting situations. It is rarely offered to new grads or entry-level hires.

If you are offered a choice between a lump sum and managed relocation, do the math. A $15K lump sum might sound great, but managed relo worth $30K is objectively better, even if you have less control.

The best negotiation strategies depend on your situation and leverage. But a few tactics work consistently across company types.

The lease break angle works because it is a real, documented cost. If you are locked into a lease with a $3,000 termination fee, tell the recruiter. Most companies will cover it on top of the standard package. Bring the lease agreement as proof.

The temporary housing ask is almost always granted when framed correctly. "I want to find the right place so I can focus on ramping up, not apartment hunting during my first week." One to two months is a reasonable ask.

Asking for a lump sum instead of reimbursement gives you more flexibility and often more total value. With reimbursement, you can only get back what you spend. With a lump sum, if you move cheaply, you keep the difference.

The competing offers lever is the most powerful but only works if it is true. Never bluff. Recruiters talk to each other and the industry is smaller than you think.

A $15,000 relocation package in California means roughly $9,000 in your pocket after federal and state income taxes. In Texas or Florida (no state income tax), that same package nets you about $10,500 to $11,000.

Since 2018, all relocation benefits are taxable income. The moving expense deduction for individuals was eliminated by the Tax Cuts and Jobs Act. Some companies "gross up" the relocation payment to cover the tax liability, meaning they give you enough extra so that after taxes, you receive the intended amount. Most companies do not gross up. Ask.

This means you are effectively getting 60 to 70 cents on the dollar for every relocation dollar. A $10K package is really a $6,500 to $7,500 package. Factor this into your total compensation comparison when evaluating offers.