Policy
Purpose: 

Provide instruction for paying the moving expenses of eligible university employees.

Applies to: 

All Lawrence Campus departments and offices.

Campus: 
Lawrence
Edwards
Parsons
Juniper Gardens
Yoder
Topeka
Contents: 
Policy Statement: 

General

Moving expenses for relocation can be paid for unclassified faculty and staff who move more than 50 miles to their new location. All expenses must be paid with private funds. No state funds can be used, and no exceptions are made. Sources of funding allowed include KU Endowment Association (KU Endowment) fund 725, but some can be paid from KU Center for Research, Inc. (KUCR) funds 720 and 721. Authority to approve moving expenses to be reimburses by KU Endowment funds resides with the authorized representative responsible for those funds on deposit with KU Endowment.

Moving office or lab equipment for the use in the employee’s place of work should be paid separately and not included as part of the employee’s moving expense. The process for payment is the same as moving employee’s office content (expense account 521200).

Procedures

To begin the process for paying moving expenses the employee and department are to complete the written agreement.

Written Agreement

Moving expenses may be paid only after the employee agrees in writing (Form DA-22) to remain in University service for 12 months from the date of transfer or appointment, unless separated for reasons beyond the employee's control that are acceptable to the University. If the employee leaves before the 12-month period, the employee must reimburse the University of Kansas the full amount received. In the event of an employee's early termination, the department is responsible for collecting the full amount paid to the employee. The person responsible for the funds on deposit with KU Endowment or KUCR is required to sign Form DA-22 as the designated official "Agreement for Reimbursement of Moving Expenses".

Moving Expenses

The Taxable Moving Expense Analysis Worksheet can assist with the process of planning a move and capturing the expenses that may be reimbursed.

The value of moving expenses paid with KU Endowment or KUCR funds for the benefit of a KU employee are taxable to the employee and will appear on the employee's W-2 form. All payment of moving expenses through direct reimbursement of KU (State) employees must be paid through the KU payroll process no matter the funding source. When submitting moving expense documentation for payment/reimbursement, include the completed form Additional Fringe Benefit Income for W-2 Reporting.

  • Cost of Moving Personal and Household Items

    Preferred Method: The preferred method for paying a moving company is to have the cost direct-billed rather than reimbursing the employee. The invoices should be sent to the attention of the department, but then are submitted directly to KU Endowment or KUCR for payment rather than Payables. Three estimates are required for KUCR funds with the employee utilizing the lowest bid.. Employees are not limited to moving only 12,000 pounds. There are other restrictions that do not apply when the University is direct-billed. Whenever possible, this method should be used.

    Reimbursing an Employee: If the moving company cannot direct-bill the cost and the employee must be reimbursed for moving personal and household items, three firm rate bids must be obtained. The bid includes the cost of transportation, material and labor for packing and unpacking, delivery, and insurance. The employee must use the lowest responsible carrier. The employee can only be reimbursed for moving up to 12,000 pounds. If the carrier normally charges by cartons or cubic feet, the actual weight must still be obtained.

  • Moving a Mobile Home

    The employee may be reimbursed for either of the following:

    A mileage allowance at the established IRS moving mileage rate, including the payment of necessary tolls, charges, and permit fees if the trailer or dwelling is transported by the employee.

    Commercial transportation of the trailer or dwelling including tolls, charges, and permit fees.

  • Self-Moves

    Self-moves are allowed when deemed desirable by both the employee and the department provided the costs appear reasonable. While estimates are not required, the department may request estimates be provided.

    Reimbursable expenses include the rental costs plus insurance of a moving van or trailer or private car mileage (one-way) at the current mileage rate. Fuel for the moving van is reimbursed at the actual amount with receipts or the standard mileage rate in IRS publication 521. Repairs for the moving van are not allowed.

    Packing material (boxes, tape, etc.) is reimbursable.

    Paying others (friends and family) to help move is not a reimbursable expense. This includes buying meals as “payment” for those helping.

  • Storage

    Employees may be reimbursed for storage of household goods before being delivered to the new residence.

  • Airfare

    Airfare for moving purposes may be reimbursed when purchased in accordance with State procurement policy and will be taxable as a moving expense.

  • Lodging

    Up to 30 days of lodging can be reimbursed as taxable while the employee is occupying temporary lodging and waiting to occupy a new residence. Lodging is reimbursed at the State travel rates for employees. Lodging is reimbursed for single occupancy only, even though the employee may be accompanied by the employee's family. 

  • Meals

    Meals while en route to the new residence can be reimbursed. Alcoholic beverages are not reimbursed. Employees will use the Meals and Incidental Expense (M&ID) rates per state policy. The day and time the employee leaves the old residence and arrives at the new residence along with the number of quarter day increments being reimbursed will need to be submitted with the moving expense paperwork.

  • Transportation for Employee and Family Exceeding Tax Exempt Rate

    Mileage for the employee and family members between the old and new residence is reimbursable at the State standard mileage rate.

  • Multiple Trips

    Reimbursement of expenses for multiple move-related trips must receive prior approval.

  • House Hunting

    Lodging, meals, and mileage reimbursements for house hunting trips must follow State travel rates for employees.

Required Actions

Responsibility

Action Step

Reimbursed to Employee

Direct Payment by KU Endowment

Direct Payment by KU Center for Research, Inc.

Department

Enter into agreement for reimbursement of moving expenses (Form DA-22) with employee.

Enter into agreement for reimbursement of moving expenses (Form DA-22) with employee.

Enter into agreement for reimbursement of moving expenses (Form DA-22) with employee.

Employee

Obtain 3 firm-rate quotes from moving companies.

Keep receipts.

Maintain accurate records.

Keep receipts.

Maintain accurate records.

Obtain 3 firm-rate quotes from moving companies.

Keep receipts.

Maintain accurate records.

Department

Determine that the expenditure is legal and proper and complies with regulations as set forth in this policy.

 

Use Moving Expense Analysis Worksheet - to determine the moving expenses that may be reimbursed.

 

Prepare a Taxable Fringe Sheet. Select “Moving Expense” and indicate the funding source (must be Fund 725 for KUEA or Fund 720/721 for KUCR). Attach supporting documentation

 

Submit all documentation to Payables. Supporting documentation includes:

• Three bids obtained from commercial carriers if a moving company is used.

• Bill of lading and receipts if a moving company s used.

• All other moving expense receipts

• Moving Expense Agreement (Form DA-22)

• Additional Fringe Benefit Income For W-2 Reporting

Send appropriate documentation directly paying the moving company to KU Endowment, include a copy of the Additional Fringe Benefit Income For W-2 Reporting Form.

 

Submit Additional Fringe Benefit Income For W-2 Reporting to Payroll.

Send appropriate documentation and quotes directly paying the moving company to KU Center for Research, Inc., include a copy of the Additional Fringe Benefit Income For W-2 Reporting Form.

 

Submit Additional Fringe Benefit Income For W-2 Reporting to Payroll.

Payables/KU Endowment/KU Center for Research, Inc.

Payables ensures the documentation is complete and accurate.  Forward to Payroll for payment processing. 

KU Endowment pays moving company directly.

KU Center for Research, Inc. pays moving company directly.

Payroll

Process payment and report on employee’s W-2

Report paid moving expenses on W-2.

Report paid moving expenses on W-2.

 

Contact: 

Office of the Comptroller
comptroller@ku.edu
Ph: 785-864-3066
Fax: 785-865-5829

Procurement Services, Payables
payables@ku.edu
Ph: 785-864-3790
Fax: 785-864-3454

Approved by: 
Vice Provost for Administration and Finance
Approved on: 
Monday, December 8, 2008
Effective on: 
Monday, December 8, 2008
Review Cycle: 
Annual (As Needed)
Keywords: 
Moving Expenses, Mobile Home, Self-Moves, Storage, Airfare, Lodging, Meals, House Hunting, Taxable Fringe Benefit Income
Review, Approval & Change History: 

05/14/2018: Updated to comply with federal tax reform legislation (The Tax Cuts, Meals, House Hunting, Taxable Fringe Benefit Income).
09/08/2016: Updated Taxable & Non-Taxable worksheets for FY 2017.
07/11/2016: Updated to remove gendered pronouns.
11/16/2015: Updated links.
01/08/2015: Updated links to Taxable and Non-Taxable expenses forms.
11/03/2014: Policy formatting cleanup (e.g., bolding, spacing).
10/03/2013: Updated to reflect change from Central Accounting Services to Payables and KU Procure-to-Pay System (KUPPS).

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