Top 3 Posts of 2018

by | Jan 3, 2019 | News

2018 was a year full of change and growth for WHR Group. We welcomed more employees to the WHR family, completed our 2018 Mobility + Culture benchmark study, and developed and implemented numerous technology innovations. We were also able to cover a slew of topics within our blog. Subjects ranged from the housing market in Canada to the importance of creating the perfect playlist for making a stressful relocation more enjoyable. As we look back on 2018, we’re highlighting a few of our most popular blogs.

Blog #1: The Best Types of Expat Assignments for your Mobility Program

This blog outlines a selection of the pros and cons of long-term and short-term expatriate assignments. Selecting the right type of expat assignment for your mobility program can be a hard decision, but it is critical to do so to ensure company productivity and employee satisfaction. The specifics of each assignment vary greatly depending on industry and location, and each company defines time periods differently. Every company needs to determine what is optimal for their workforce and the business need requiring these assignments.

Blog #2: But We’ve Always Done it This Way

Change is hard for a lot of people, especially in an organization setting where change affects large groups of people at a time. However, as explained in the article, it is important to welcome change and new opportunities in order to grow, to stay competitive, and to remain relevant in the business world. In the relocation industry, change usually comes in the form of innovative technology advancements. This blog discusses efficiencies (or lack thereof) among household good carriers and the advancements that have been made by WHR to correct related issues.

Blog #3: Survey Fatigue: It’s Real and It’s Here

With almost every consumer-based or customer-support experience, there is a survey. It can be hard not to wonder what the point of these surveys is and what (if anything) is being done with the results. At WHR Group, we utilize a strategic, dual survey approach. The first survey is sent shortly after the relocation has begun and the second is sent immediately after the relocation has concluded. Questions are asked to gather valuable data and measure service, vendors, and overall satisfaction. This short read outlines the importance that WHR places on the results of surveys and how we utilize them to proactively overcome any issues in the relocation process.

As we wave goodbye to 2018, we welcome an exciting new year full of goals and opportunities. We look forward to continuing our ten-year 100% client retention rate and for new clients and supplier partners to join the WHR Group network.

Moving to a Winter Wonderland

by | Dec 27, 2018 | News

One of the largest obstacles in relocation is preparing for a new way of life in a different destination. Relocating employees can struggle with issues ranging from selecting a school for their children to finding their new favorite grocery store. A complication that many face is moving to a new climate, specifically a colder one. Being that we’re located in Wisconsin, we know all too well what the cold weather can bring and the importance of being proactive in this demanding climate. For those who didn’t grow up in a town that experiences snow, it might be hard to know where to begin in the planning process.

Moving to a Winter Wonderland

When it comes to prepping for the move itself, here are some elements to keep in mind that often go overlooked:

1. Watch the forecast: This might seem like a no brainier, but it’s easy to breeze over this in the midst of relocating. Consider checking once a week in the lead up to the move, then checking every day the week prior. This can provide an idea of the pattern of weather and what to expect when you arrive.

2. Check the snowplow schedule: Everything may have been carefully planned out; deadlines were met and movers arrived on time. What may have been forgotten was to plan for was last night’s snow plows. The snow is now on the side of the streets, blocking ways to enter the property safely. Make sure to check your community’s snow plow schedule ahead of time and check for updates upon arriving.

3. Bring a warm beverage: Warm up from the inside out with a hot chocolate (check out a WHR favorite ) or maybe a hot apple cider. Bring it along, then keep extra warm on the stove top. Hint: offering some to the movers might help them to keep a strong spirit while doing heavy lifting.

The move has been successful, and everyone is settling in. Here are a few things to be aware of:

1. A change in clothing: One layer of clothing may not be enough anymore. An additional sweater under your jacket goes a long way. A new jacket might be in order but try to purchase a jacket after the move. Jackets sold in warmer climates may not have the right gear for your new cold climate. Don’t forget to add gloves to the shopping list; hands and feet get colder than most think.

2. Practice driving in the snow: Find a nearby lot and see how the car operates in the snow. Once comfortable, practice on side streets or slower roads to be around other cars. Having a 4-wheel drive car will also go a long way! Also, consider contacting your local auto shop to discuss snow tires.

3. The winter blues are real: It’s important to be aware of Seasonal Affective Disorder (SAD), or more commonly known as seasonal depression. The Mayo Clinic describes SAD as a type of depression that is related to changes in the season. Some individuals feel a change in attitude and habits such as oversleeping, changes in appetite, and a feeling of low energy. Being conscious of this can help to bounce back and appreciate the winter, rather than dread it.

Don’t let this intimidate you. While living in the cold is a difficult transition, there’s also plenty to appreciate; from building a snowman, to snowboarding, to being able to witness the changing seasons. Don’t be afraid to get out there and experience the snow in your new community.

Discover How Relocating During Non-Peak Months Can Improve Your Relocation Experience

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Repayments No Longer Deductible due to TCJA

by | Dec 11, 2018 | Uncategorized

Major tax reform rocked the relocation industry on December 22, 2017 when The Tax Cuts and Jobs Act (TCJA) was approved by congress. The most realized effect was the removal of tax exempt status for qualified moving expenses. In November’s edition of Mobility Magazine, Peter Scott, Worldwide ERC®’s tax counsel, details an additional effect of the TCJA.

employee relocation

A Repayment Agreement protects your financial investment in an employee’s relocation. The agreement establishes that an employee must repay reimbursable relocation expenses upon termination of employment. Typically, these are structured on a prorated basis determined by the length of employment, such as 100% repayment within the first year and 50% repayment between 13-24 months.

According to Scott, “repayments in the same [tax] year as the move are not at issue, because such repayments are accounted for by simply adjusting withholding and payroll taxes.” The company would credit the employee the overpayment in withholding and FICA and adjust the wages on Form 941 accordingly.

Previously, repayments in a subsequent year were deductible on the employee’s taxes. With the passing of the TCJA, employers must now:

  • provide a Form W-2c for the FICA and Medicare collected;
  • refund the employee share of FICA and Medicare;
  • obtain a written statement from the employee that they will not seek a refund; and,
  • claim a FICA and Medicare credit on a subsequent Form 941.

The TCJA’s suspension of miscellaneous itemized deductions applies to all repayments beginning with moves in 2018. Scott does additionally mention Section 1341, however given the fact that it is only applicable if “a deduction is allowable for the taxable year,” it cannot be used in this instance.

As we approach 2019, this change may seriously impact the employee from a financial standpoint. However, Scott warns that under no circumstance should the debt be forgiven or written off. The IRS treats forgiveness of the repayment agreement debt as taxable wages to the employee, requiring a Form W-2, income tax withholding, and payment of payroll taxes. This creates additional expenses on part of the company.

Click here to read the full article in Mobility.

relocation benchmark

An Emphasis on COLA (Cost of Living Adjustment)

by | Dec 4, 2018 | News

Creating policies that are competitive, compliant, and up-to-date for our clients is a top priority at WHR Group. By using the results collected from WHR’s 2018 Mobility + Culture benchmark study, we hope to do exactly that. The study has served as a tool to help us identify ways that we can enhance relocation programs and policies to ensure they are the best fit for the employees of current and future clients of WHR.

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WHR’s recent blog post outlined a handful of questions within the Culture Guide section of the study. These questions help us gain insight into what is important to companies when creating a relocation program or choosing a relocation management company. One question focused on whether the primary function of the company’s relocation program was to recruit new employees or retain existing employees. Questions regarding a Cost of Living Analysis (COLA) and its impact on employees were also included in the study. It was reported that 56% of companies that are retention focused offer a Cost of Living Adjustment.

Companies surveyed for the Mobility + Culture Benchmark study were instructed to ask their employees for the top reasons why they would deny relocation. A top reason for denial was due to the cost of living in the new destination being too high. Of the companies that reported this reasoning for denial, 75% of them do not offer COLA in their relocation policy. If these companies were to reorganize their relocation programs to accommodate for the cost of living, they might see more participation in relocation.

Reasons to Offer a Cost of Living Adjustment

Relocation is already a long and stressful process for the employee and their family. By offering a Cost of Living Adjustment benefit within a relocation program, a company can demonstrate to the transferee that they understand they are asking the employee (and their family) to make a huge life change. This leads to a possible positive affect on the company’s retention rate because the transferee feels less alone in their adjustment to a new way of living.

Organizations that that are more concerned about recruiting new employees could also gain from offering COLA within their relocation programs. By showcasing that a company offers more benefits within a relocation program, the organization is being proactive and competitive within their industry.

The Impact of an Integrated Relocation Strategy

It’s clear that we’re facing a talent shortage. In 2012, the McKinsey Global Institute reported that by 2020 the global economy could face 38 to 40 million fewer workers with college or postgraduate degrees than employers will need. Additionally, we’re facing 45 million too few workers with secondary education by 2020. As baby boomers exit the workforce and technology continues to advance, the demand for highly trained, sophisticated workers increases. These pains are heard all the way to the board room, where senior leaders frequently cite finding talent as their most significant challenge.

The mountainous talent challenge seems impossible. What do we do? Use the tools we have. If you’re already offering relocation, increase your attention to the program. We believe it’s important to view relocation as a strategic enhancement to your company’s acquisition plan, not an uncomfortable, expensive necessity. By using data from benchmark studies, you can quickly compare your program to your competitors and make changes accordingly. This can give you an edge in recruiting or retaining your top talent.

At WHR Group, we place the utmost importance on culture as it relates to your relocation or mobility programs. Understanding an employee’s needs and wants can go a long way in creating a fitting relocation program, and we believe this goes hand in hand with our dedication to advancing lives forward.

 

 

relocation cost estimator

Corporate Culture & Your Relocation Program

by | Nov 27, 2018 | News

Corporate Culture refers to the beliefs and behaviors that determine how a company’s employees and its management interact and handle business. Corporate culture is often implied, rather than expressed or defined, and it is something that develops organically over time. A company’s culture reveal itself in a variety of ways from dress code to the treatment of clients.

We’ve seen the results when relocation policies and programs match corporate culture and wanted to see how other companies stack up. That’s why we surveyed some of the largest and most successful companies around the world to participate in the 2018 Mobility + Culture benchmark study. Our unique Culture Guide analyzes each respondent’s cultural values through eight A/B style questions.

employee relocation

Do you prefer your partners to be High Tech or High Touch?

Is your company’s primary focus on technological advances or on relationship building? Of companies surveyed, 85% prefer to partner with high-touch companies. At WHR Group, we understand that relocating can be stressful on the transferee and their family. We heavily rely on the relationships that we build with our clients and their employees so that we can assist and help them to move forward in the best way possible.

While relationships and person-to-person communication is large component to how WHR handles relocation, technology is the tool that allows us to bring every factor included in the relocation to one destination. Our business is based on a “high-tech, human-touch” model, where we blend our intelligent, proprietary relocation technology with a dedicated team of real estate licensed relocation experts.

Do you primarily focus on budget or employee satisfaction?

When asking companies if they are primarily focused on budget or employee satisfaction, only 13% reported that there is more concern about budget. It’s clear that surveyed companies also understand the stressful nature of relocation and have placed their importance on employee satisfaction in their programs.

At WHR, we also value our employees. This is realized through our 5-time award winning culture in the Top Workplaces program by the Milwaukee Journal Sentinel. By hiring based off of WHR’s core values, we are able to guarantee the best service you will ever experience, regardless of the industry. Our inherently empathetic employees create high-touch relationships with transferring employees, creating a stress-free relocation experience.

Is your program designed to be proactive or reactive?

Being a “proactive” company means that the corporation actively plans ahead, and they are preparing for the needs of their employees. Of companies surveyed, 67% of them related to this culture. At WHR Group, one of our core values is to be proactive, and this is executed every day. When a transferee’s file is initiated, a call is made within 24-hours to introduce the Counseling team, and to explain what the employee can expect throughout the life cycle of the relocation. The initial call is a critical time to reveal any potential issues, set expectations, and lay the foundation for a smooth relocation.

At WHR Group, we place the utmost importance on culture as it relates to your relocation or mobility programs. We believe this goes hand in hand with our dedication to advancing lives forward.

See how WHR Group has became a leader in the global mobility industry with these 6 policies.