MOVING EXPENSE PAYMENT PROCEDURES

 

Syracuse University will pay for employee’s moving expenses based upon individual departmental guidelines for such payments.

 

Moving expenses fall into two categories; qualified and non-qualified.  Qualified moving expenses are non-taxable to the employee and, as such, not subject to Payroll tax withholding.  Non-qualified moving expenses are taxable to the employee and, as such, are subject to Payroll tax withholding.

 

Examples of moving expenses are:

 

Qualified (Non-Taxable)                                           Non-Qualified (Taxable)

Air, Train, etc. Fare one way for employees               Meals

  and members of their household                               Temporary Living Expense

Moving companies/Movers                                         Lodging (local)

Gas for rented vehicles                                               Pre-Move house hunting trips

Tolls, Parking                                                              Storage in excess of 30 days

Truck/Car Rental to Syracuse                                     Closing costs

Lodging (non-local through move process)                                    Mileage for personal vehicles in

Mileage for personal vehicles up to $.27/mile*              excess of $.27/mile*

 

 

DIRECT PAYMENT

 

Direct payments to vendors (such as moving companies) will be made based upon the duly authorized departmental submission of a requisition to the Purchasing Department and the subsequent invoice(s) being received for such expenses.

 

Qualified moving expenses directly paid to a vendor are not required to be reported on the employee’s Form W-2.  Non-qualified moving expenses paid directly to a vendor are included as non-cash taxable income in the employee’s pay.  Taxes are withheld accordingly.  Non-qualified moving expense payments must be reported on the employee’s Form W-2.  They are included in Box 1 with Wages, tips, other compensation, and also reported separately in Box 14.

 

 

REIMBURSEMENT

 

Authorized reimbursements will be paid to an employee for moving expenses paid from the employee’s personal funds.

 

A request for reimbursement should be submitted on an Employee Expense Voucher or Travel Voucher to the Comptroller’s Office.  An employee can not be reimbursed for moving expenses prior to his/her appointment start date.  Upon receipt of a properly documented and substantiated (receipts) request for reimbursement of moving expenses the reimbursement will be processed and paid with the employee’s next regular pay.  Taxes are withheld accordingly from non-qualified moving expense reimbursements.

 

 

Both qualified and non-qualified moving expense reimbursements are reported on the employee’s W-2.  Qualified moving expenses are reported separately in Box 12 and identified by the letter P.  Non-Qualified moving expenses are included in Box 1 with Wages, tips, other compensation, and also reported separately in Box 14.

 

If you have question regarding moving expenses, please contact the Payroll Service Center by phone at extension 4042 or by email at payroll@syr.edu.

 

Additional information is available from the Internal Revenue Service in Publication 521at www.irs.gov/pub/irs-pdf/p521.pdf.

 

* The mileage reimbursement rate is subject to change by the IRS.  Please verify the rate with the Payroll Service Center at the time of your request for reimbursement for mileage.