Being asked to relocate by my firm from LCOL to HCOL. We just moved personally and have put a lot of money into renovating the home we purchased. More than I’ll be able to get in the short term. Also have a country club we paid a fairly large initiation fee for recently. Do partners who are asked to relo negotiate for things like this? Not thrilled about moving period but losing a boatload of money is a big “nah”

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When I was "asked" to move (Big 4), they provided me with a relocation package that would cover everything to get my family and I moved. They weren't really interested in negotiating (I was going from HCOL to MCOL, so they noted that my draw would be above others in that region for similar ratings, and that they would not reduce). However, I did push back and got some support for selling my previous home, which did not sell quickly due to macroeconomic conditions thay had frozen the market. In hindsight, I probably should have held out for more, but they did help me out with selling my former home, which is what I asked for. I'd suggest naming your price and negotiating harder than I did.

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OP

Tried to DM you but says you can't receive them.

Not sure if your comment is genuine or a little facetious. I've put in nearly 35 years and been involved with nearly 25 lateral partner moves. If you are seriously considering a potential move to another firm, I'm happy to share insights, wisdom and experiences.

Either way, wishing you good luck and success.

One thing on reimbursements is the tax impact (as they treat the payments as guaranteed payments, big 4). They will then reimburse your reimbursement additional taxes based on the bonus rates (26%) but you’ll probably be at 37% rates (with the additional income. This was a hidden cost of
moving they don’t give you detail upfront on. Make sure the tax gross up is at your marginal fed/state rates.

Hotel for up to 90 days (to start right away), 5 RT flights (1 with only spouse and one with the whole family to move) to find housing, RE sales commissions, mortgage rate pay down and closing costs on purchase. They also paid for movers, including packing and unpacking in new home. Negotiated extra payments for my wife having to break her business lease as that was a unanticipated financial cost (similar to you leaving your country club). They also covered the first two month rent (rented for the first year while trying to buy a home). They gave me 24 months to do the whole move, I’d negotiate for 36-48 months if I had to do it again as I got into a rush to buy a house (I sold right before pandemic and got caught buying during the frenzy and barely made it under the wire for reimbursement). Basically if it’s going to cost you anything out of pocket to move, ask. They want you to move so you shouldn’t incur anything financially, you’re doing them the favor. If you asked to move and they are accommodating your request, I’d say you will have less negotiating leverage.

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We also get a settling in allowance—I think it’s 2% of house sale, to cover things like new license plates, new window treatments, etc. I would ask for an amount like that that is just paid so you aren’t stuck justifying/receipt submitting.

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