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Managed Budgets Deliver Preferable Relocation Experiences over Lump Sums
Another drawback of lump sum disbursements is that they offer no way for employers to smooth the employee’s relocation journey. Once those dollars hit an employee’s bank account, the employer’s out of the picture.
In contrast, because managed budget plans are…managed, they offer employees all types of tools and support—such as recommended vendors and the services of a relocation consultant—to keep those moves on track. They generally are offered by the employer’s relocation provider, which essentially acts as a safety net.
In other words, managed budget plans are engineered to prevent those dreaded headaches and last-minute disasters—and, if you’ve ever had to resolve one, you know it’s a big deal all around.
Managed Budget Plans Are Easier to Oversee than Lump Sum Plans
Sure, the beauty of lump sum plans is that there’s minimal administration for employers. Although some employers use relocation providers for this, others manage their programs directly.
The problem is, they have little idea how their relocation programs are performing. They don’t know how employees are spending their dollars…what percentage, if any, remains unspent…and how the process is going. The only time they get updates is when there’s trouble, such as a panicked employee urgently requesting more funds.
In contrast, managed budget plans generate detailed data, such as how dollars are spent, how long it takes to complete a move, etc. As a result of these insights, employers can not only budget more precisely, but continually improve their relocation program. And certainly, every employer wants that.
Ready to Make a Move?
Maybe your company is interested in upgrading its lump sum plan to a managed budget plan or another type of relocation policy. Maybe it wants to explore its options. Either way, we’re happy to chat about it with you.
Who are we? Well, we’re the leading tech-based relocation provider. Our claim to fame is reducing g employer program costs by up to 66%, while improving the relocation experience. If that sounds good to you, let’s start a conversation.