UNIVERSITY OF PITTSBURGH POLICY 05-07-02
CATEGORY: FINANCIAL AFFAIRS
SECTION: Business Expenses
SUBJECT: Moving Expenses—Household Goods
EFFECTIVE DATE: June 28, 1995 (Published May 28, 1996)
PAGE(S): 4
I. SCOPE
This policy is to establish a basis for reimbursement of
household and personal moving expenses when University funds
including unrestricted, restricted, endowment, student loan, and
plant funds are to be expended for the relocation of full-time
faculty, librarians, and administrative and professional staff
who are newly hired by the University or are being transferred to
a new University location.
II. POLICY
Authorization by a Dean, Director, Regional President, Vice
Chancellor, Associate Vice Chancellor, Senior Vice Chancellor,
Provost, or Chancellor, holding a superior position to the
relocating employee, must be granted prior to offering moving
expense benefits to a relocating employee.
III. GENERAL PROVISIONS
A. All moving service requests are to be arranged through the
Department of Parking & Transportation, (412) 624-4433, (E-
mail: TRAVEL@vms.cis.pitt.edu) who will assign the move to
a reliable moving firm, pending the acceptance of the
relocating employee. Do not call the moving company
directly. All moves must be authorized to the moving
company through the Department of Parking & Transportation.
If the relocating employee selects a moving company not
University certified, the relocating employee assumes the
responsibility for the planning, preparation, and execution
of their move.
B. Relocating employees wishing to "self-haul" (rent a truck,
pack, load, unload, etc.) may do so without contacting the
Department of Parking & Transportation. The relocating
employee is responsible to pay costs associated with this
type of move and may receive reimbursement for actual
expenses by submitting a properly completed and authorized
Travel & Business Expense Report (Form 0060) supported with
original receipts indicating paid in full.
C. All commitments for moving and interview expenses must be
made from existing funds available to the employing
department.
D. Relocation of laboratory, library, scholarly collection, or
research equipment will not be considered household goods or
personal effects to the extent that these items are
relocated to University premises. These expenses are
considered ordinary and necessary business expenses of the
University.
E. Personal travel from a former residence to the first new
place of residence may be reimbursed in accordance with
Policy 05-07-01, Travel & Business Expenses.
F. Personal travel for the purpose of looking for a new
residence may be reimbursed in accordance with Policy 05-07-
01, Travel & Business Expenses. As of November 1993, the
reimbursement to the individual for such expenses is taxable
income for federal income tax purposes.
G. Exceptions to any provision of this policy require written
approval from one of the following:
- Chancellor
- Senior Vice Chancellor and Provost
- Senior Vice Chancellor for Business and Finance
- Senior Vice Chancellor for Health Administration and
President, University of Pittsburgh Medical Center
(UPMC)
- Senior Vice Chancellor for Health Sciences
- Vice Chancellor for Institutional Advancement
- Vice Chancellor for Student and Public Affairs
Requests for policy exceptions must move upward through each
level of the reporting structure related to the individual
desiring exception to this policy. Requests for policy exception
must not be forwarded directly to one of the above listed
individuals if such an action passes over a level in the
organization's reporting structure.
IV. ELIGIBILITY
Only individuals accepting full-time positions, who have agreed
to work for at least one year, are eligible to be offered moving
expense benefits. Individuals who receive moving expense
benefits, but who voluntarily terminate employment prior to
completing one year of service, will be required to return to the
University the moving expense benefit received. The Academic
Dean/Director whose account paid for the employee's move has the
responsibility to immediately notify the University's Payroll
Office, (412) 624-8079, and collect the above mentioned benefit
from the individual terminating employment. The effective date
of employment cannot be earlier than the date the individual
actually begins work at the University.
V. ALLOWABLE EXPENSES FOR HOUSEHOLD GOODS RELOCATION
A. Transportation charges for the movement of household goods.
B. Packing and unpacking charges except dates and times when
overtime rates are charged (see VI.A.).
C. Packing containers.
D. Insurance fees for coverage up to $50,000 full replacement
valuation.
Note: Although the University includes this insurance
coverage as an allowable expense, the processing of claims
and resolution of any disputes regarding damaged goods must
be resolved by the employee directly with the moving
company.
E. Storage fees, limited to 30 days at origin or destination,
but not both.
F. Extra pickups and deliveries.
G. Normal services of major appliances (defined as stove,
refrigerator, washer, dryer, window air conditioning, etc.)
to ensure safe transport and normal destination service
(installation) for those items prepared for transportation
at the origin of move. Special electrical or plumbing
services in excess of regular services required to connect
or disconnect appliance is not allowable (see VI.M.).
VI. NON-ALLOWABLE EXPENSES FOR HOUSEHOLD GOODS RELOCATION
A. Loading or unloading, packing or unpacking on Saturdays,
Sundays, holidays or other times when overtime rates are
charged.
B. Transportation of currency, money, coins, bullion, notes,
securities, stock, stamps, wills, precious stones, jewelry,
furs, and other articles or collections of extraordinary
value.
C. Moving alcoholic beverages, boats, recreational vehicles or
equipment, trailers (camping or smaller), mobile homes, rock
collections, household plants, shrubbery, firewood, lumber, bricks, or
other items not normally considered as household effects.
D. Shipment of firearms, explosives, or other dangerous
articles is prohibited by law.
E. Moving buildings such as storage buildings, covered patios,
etc.
F. Transportation and related expenses for pets or animals.
G. Moving frozen or perishable items requiring special
refrigeration service.
H. Shipment by moving van of a personal vehicle.
I. Exclusive use of moving van (immediate delivery with no
stops to include other shippers' goods when weight of your
goods does not meet minimum weight requirements of the van).
J. Disassembling or assembling pool tables, children's
playhouses, storage buildings, shelving, worktables or
counters, swing sets, swimming pools, TV antennae or cable
hook up, and draining of waterbeds.
K. Housecleaning, cleaning of rugs or draperies, maid service.
L. Removing or installing wall-to-wall carpet, drapes, mirrors,
or related items.
M. Special electrical or plumbing services in excess of regular
services required to connect or disconnect appliance.
N. Temporary living expenses, e.g., lodging, meals, etc.
O. Selling (or settling an unexpired lease on) the old
residence and buying (or acquiring a new lease on) the new
residence.
The above list of non-allowable expenses serves as a guide and is
not to be considered all inclusive. All household goods
relocation expenses are subject to review by the Director of
Parking & Transportation.
VII. TAXES
The Revenue Reconciliation Act of 1993 modifies the definition of
tax deductible moving expenses paid or incurred in connection
with starting a job in a new principal workplace to include only
the reasonable expenses of: (1) moving household goods and
personal effects from the former residence to the new residence;
and (2) traveling (including lodging) from the former residence
to the new place of residence. The Act removes the following
costs from the allowable deduction for moving expenses: (1)
meals consumed while traveling and while living in temporary
quarters near a new workplace; (2) selling (or settling an
unexpired lease on) the old residence and buying (or acquiring a
new lease on) the new residence; (3) pre-move househunting trips;
and (4) temporary living expenses for up to 30 days in the
general location of the new job.
The Act also increases from 35 to 50 miles the mileage limit
between the workplace and the taxpayer's former residence
necessary to qualify for the deduction. Under the Act, qualified
moving expenses reimbursed by an employer are excludable from an
employee's gross income as a qualified fringe benefit to the
extent they meet the requirements for a qualified moving expense
reimbursement. Qualified moving expense reimbursements include
any amount received, directly or indirectly, by an employee from
an employer as a payment for, or a reimbursement of, expenses
that would be deductible as moving expenses if directly paid by
the employee. Reimbursements for moving expenses that are not
qualified moving expense reimbursements will be included in gross
income as taxable compensation. Qualified moving expenses not
paid or reimbursed by the employer are allowable as an adjustment
to gross income in computing adjusted gross income. These
provisions apply to expenses incurred after 1993.
For further clarification the relocating employee should contact
their personal tax consultant.
VIII.DEFINITIONS
Newly Hired Employee: A person who is accepting full-time
employment, with the University of Pittsburgh, as faculty,
librarian, or administrative/professional staff.
Transfer Employee: A person currently employed at the University
of Pittsburgh who has accepted a position as faculty, librarian,
or administrative/professional staff at another University of
Pittsburgh location.
IX. REFERENCES
Policy 05-07-01, Travel & Business Expenses
Procedure 05-07-02, Moving Expenses--Household Goods