U.S. Domestic 1-Way Relocation Guide
U.S. Domestic 1-Way Relocation Guide
U.S. Domestic 1-Way Relocation Guide
WHATS INSIDE
How to Use this Guide Step 1 Check Your Eligibility Step 2 Determine Your Relocation Allowance Relocation Allowance Amount Tax Information Payment Schedule Break Lease Reimbursement Step 3 - Sign the Relocation Agreement Need Help? Who to Contact Appendix: Relocation Agreement Form
Page 3 Page 3
In situations where more than one Intel employee from the same household is relocating, only one relocation allowance will be provided.
3
Allowance restrictions: As with any income, you are free to use your relocation allowance however you choose; but please note that your allowance is a one-time payment and not intended to offset all possible relocation expenses.
Distance (miles)
All locations, except Santa Clara (Total Allowance) $0 $7,560 $7,980 $8,260 $8,750 $9,170 $9,800 $0 $9,450 $10,290 $11,200 $11,900 $12,810 $14,000 $0 $12,810 $14,070 $15,470 $16,590 $17,920 $19,950
Santa Clara (Total Allowance) $0 $12,750 $13,170 $13,450 $13,940 $14,360 $14,990 $0 $15,840 $16,680 $17,590 $18,290 $19,200 $20,390 $0 $19,480 $20,810 $22,210 $23,260 $24,660 $26,620
Relocation Allowance Examples: 1) John & Mary have qualified for relocation and are moving 1,370 miles from their principal residence in Hillsboro, OR to the Ocotillo, AZ site. As they have two children under the age of 18 living at home, their number of household members is 4. Their pre-tax relocation allowance amount is $15,470. 2) Mia is a new Intel employee relocating 2,436 miles from her current principal residence in Atlanta, GA to the Santa Clara, CA site. She is the sole member of her household. Her pre-tax relocation allowance amount is $14,360.
2 (including Employee)
6+ (including Employee)
If your household consists of 6 or more, including yourself, then you are eligible for the 3-5 Household Members allowance plus an additional $2,000 per household member beyond 5.
TAX INFORMATION
Now for the fine print. Your relocation allowance will be reported on your W-2 as income and taxed at the federal supplemental wage rate. Note you cannot make contributions to your Intel 401(k) Savings Plan with this income since it is not part of regular earnings as defined in the Intel Retirement Contribution Plan.
Relocating creates tax consequences that vary for each person. We advise you to consult with an independent tax professional to discuss tax issues related to your relocation. Qualified Moving Expenses Payments made for a qualified moving expense from personal funds, including an Intel relocation allowance payment, may be recorded as a deduction on your income tax return; therefore, you must retain receipts for these expenses. The following conditions must be met for expenses to be considered qualified moving expenses: Supplemental wages are compensation paid in addition to regular wages. Taxes that may apply: Federal (25%) State Local FICA
a) Mileage Test - The mileage from the former principal residence to the new job location must be at least 50 miles farther than the mileage from your former principal residence to your former job location. If there is no former job location (e.g. Recent College [RCG] and Technical Graduates [RTG]), the mileage from the former principal residence to the new job location must be at least 50 miles. b) Work Status - While some exceptions apply, you must work full-time in the new area for at least 39 weeks during the 12 months immediately following the relocation. An exception may occur when the transfer is at the request of an employer. Whats considered a qualified moving expense? The Omnibus Budget Reconciliation Act of 1993 (OBRA) indicates that relocation expenses can be considered qualified moving expenses only if they are reasonable expenses associated with the following: a) Moving household goods and personal effects, including certain storage expenses, from the former residence to the new residence b) Enroute travel to the new residence, including lodging incurred for you and accompanying household members; meals are not included
PAYMENT SCHEDULE
How soon will you get paid? Once the Relocation Service Center has received your signed Agreement the payment schedule varies based on your employment status. New Employee: Your relocation allowance will be paid to you within three weeks after your start date, based on payroll pay dates. The amount cannot be paid in advance of your start date.
Current Employee: Your relocation allowance will be included in your paycheck within 1-2 pay periods of processing your form, but no earlier than 30 days prior to your transfer date. Leave of Absence: If you are on a Leave of Absence, your relocation allowance will not be processed until you return to work from the Leave of Absence.
Your relocation allowance is authorized for up to one year from your start date at your new work location, as long as you remain at Intel. If your relocation allowance is subject to wage garnishment, please contact Payroll via Get HR Help for more information regarding garnishments.
Got questions? Please send your questions to [email protected] Once again, congratulations on your Intel relocation!
Current Resident Site and New Intel Work Location Print your current resident site (City/Province/State and Country) Print your new Intel work location (City/Province/State and Country) Accompanying Household Members Print the full name of each accompanying household member and their relationship to you Signature and Date Please sign and date this form before you submit it to Relocation. Be sure to make a copy for your records If you include an e-mail address on the agreement, Relocation will also e-mail confirmation of receipt once your Relocation Agreement has been data entered into the computer system. (If you are currently working at Intel at the time your Relocation Agreement is entered into the computer system you will receive e-mail confirmation via your Intel e-mail.)
Relocation Agreement
Please Complete this form (print clearly) and email ([email protected]) or fax, (916) 356-2210 to the Relocation Service Center E-Mail Address: __________________________________________________________ Effective on ____________________________ ("Start Date"), I, _________________________________ WWID# (if known) ____________, (Start date at new location) (Print your full name) accept payment by Intel of all Relocation Assistance authorized by Intel associated with my relocation from my current residence ________________, _______________________ To _____________________________________, ______________________. (City) (State/Province/Country) New Intel Work Location (City) (State/Province/Country)
1. I have read and understand the Relocation Guidelines applicable to my move. Pursuant to these Relocation Guidelines, I understand that I may receive certain payments and reimbursements attributable to my employment. No other assistance is implied. Relocation Assistance includes all relocation costs related to this move incurred before, during or after the move dates, regardless of whether they are paid through cash payments, supplier invoice, or expense report reimbursement. For the purposes of this agreement all references to Intel shall mean Intel Corporation and all subsidiary companies. This Agreement concerns the repayment of certain Relocation Assistance should my employment with Intel terminate involuntarily or by resignation before a designated period has expired. 2. I am responsible for ensuring that my (and my family's) passport(s), visa(s) and work permit (- if applicable) are kept current at all times. I am responsible for notifying host site Human Resources / Immigration Department if an update is needed to my (and my family's) work permit/visa. 3. Relocation Assistance'' includes all Relocation Assistance related to this assignment incurred before, during or after the move dates, regardless of whether they are paid through a lump sum, supplier invoice, or expense report reimbursement. 4. I understand that the ''Relocation Assistance'' will differ if I have accompanying dependents. I understand dependents eligible are those who currently reside in the same principal residence with me. I also understand that payments may be reduced or discontinued and that Intel reserves the right to recoup monies advanced if the number of my accompanying dependents changes. I declare the following dependents will accompany me on the above relocation; Name/Relationship (print full names): Name/Relationship (print full names): Name/Relationship (print full names): _______________________________________ __________________________________ ___________________________________ ___________________________________ ___ __________________________________ ___________________________________
______________________________________ ___________________________________ ___________________________________ 5. I understand that ''Relocation Assistance'' in the form of cash allowances and supplier services will only be initiated after this agreement has been signed/submitted by me and received by Intel. I am responsible for budgeting these lump-sum payments, and I will not receive any additional money from Intel beyond these payments. 6. I understand that I am eligible for certain ''Relocation Assistance'', but that Intel will not extend the service, reimburse or otherwise pay for ''Relocation Assistance'' incurred after that 365 day period (unless mentioned in a specific provision for a longer validity period) or during any period when I am no longer employed by Intel, whichever comes sooner. 7. I understand that Intel advances ''Relocation Assistance'' on my behalf only during my period of employment. Intel reserves the right to determine and enforce pay back requirements. The Company will not require repayment of any Relocation Assistance where my employment is terminated for poor performance or reasons beyond my control such as a reduction in force, reorganization, divestiture or disability. If I voluntarily terminate my employment with Intel (excluding corporate events, such as divestitures), or if my employment is involuntarily terminated due to my actions or behaviors warranting immediate discharge pursuant to Intel's Discipline and Discharge Guidelines (a ''Qualifying Termination''), I will be responsible for a prorated payment of amortized relocation expenses under the following schedule. Repayment for ''Recent Hires' (including International) is based on a 2-year (730 day) employment commitment, calculated as follows: Total Relocation Assistance / 730 days X # of days short of commitment = Amount due Intel Repayment for ''Internal Transfers'' (including Intel International) is based on a 1-year (365 day) employment commitment, calculated as follows: Total Relocation Assistance / 365 days X # of days short of commitment = Amount due Intel
10
Note: All one-way moves into or within PRC will be administered based on the ''Recent Hires'' employment commitment and repayment requirement above.
Employees hired into: India Japan Vietnam Malaysia PRC Others (not listed above) Repayment Schedule: Complete recovery prior to completion of three (3) years of employment commitment Pro-rated payment prior to completion of one (1) year of employment commitment for both internal transfer and recent hires Pro-rated payment prior to completion of three (3) years of employment commitment For critical hire and Extended Benefit international hires/transfers : Pro-rated payment prior to completion of three (3) years of employment commitment For others : Pro-rated payment prior to completion of two (2) years of employment commitment Pro-rated total relocation cost prior to completion of two (2) years (730 day) of employment commitment For ''Internal Transfers'' (transfer from one Intel site to another Intel site) : Pro-rated payment prior to completion of one (1) year of employment commitment For ''Recent Hires'' : Pro-rated payment prior to completion of two (e) years of employment commitment
Extended Benefit In addition, to the extent that Intel provides coverage of Relocation Assistance beyond my employment commitment above (''Extended Benefit'') and in the event of a Qualifying Termination, I will be responsible to repay each relocation expense paid after the completion of my employment commitment above and immediately prior to my Qualifying Termination date according to the following formula, as applied separately to each relocation expense:
Total Extended Benefit Costs/ # of days of Extended Benefit coverage period x # of days between Qualifying Termination date and the end date of Extended Benefit coverage period = Amount due to Intel
''Extended Benefit Coverage Period'' is defined as the period of benefit coverage for which payment of the applicable Extended Benefit cost covers. 8. I agree to repay the amount calculated pursuant to the foregoing formula (''Amount Due'') in full on or before my Qualifying Termination date. I hereby authorize Intel, at its option, to recoup the full or partial repayment of the Amount Due at the time of my Qualifying Termination through one or more of the following methods: a) deduction from any salary, wages or bonuses due me on or after termination; b) deduction from any of my monies held in Intel stock purchase plan; c) deduction from any other sum due me from Intel; or d) deduction from any sum due to me pursuant to my exercise of any Intel stock option, at or following notice of my Qualifying Termination. The Amount Due, where applicable, will be deducted from net sums following deductions of withholding taxes and other deductions. I hereby authorize UBS PaineWebber to distribute to Intel from the proceeds of the exercise of my Intel Stock Options the Amount Due to the extent that it has not been repaid by me at the time of my Qualifying Termination from other sources. 9. I also agree that I will, at the time of my termination, execute the Acknowledgement of Relocation Cost Calculation and Deduction form. 10. I further agree that, in addition to the methods described above, Intel may deduct, subject to local law, any unpaid portions of the amount due in whole or in part, from the difference between the grant price and the exercise price, net of withheld taxes, of any Intel Stock options exercised by me at any time after notice of my Qualifying Termination and 90 days following the date of my termination. 11. I understand certain ''Relocation Assistance'' must be included in my gross income and are subject to tax. I also understand that while I can deduct some of my expenses related to my relocation according to IRS guidelines (Canada Customs and Revenue Agency guidelines for Canada employees), I must have receipts to show my actual expenses. I understand that it is my responsibility to keep receipts, to respond to audits and to pay my income taxes. I agree that I will indemnify and hold Intel harmless for all fees, penalties, interest, attorneys' fees, assessment or taxes paid by Intel due to my failure to timely pay applicable state/provincial and federal taxes. 12. If I am required to pay any portion of ''Relocation Assistance'', I understand that I also may be required to repay Intel for taxes that were paid on my behalf. Intel hereby reserves the right, at its sole discretion, to make adjustments for income tax or withholding purposes in order to comply with applicable tax laws. 13. I understand that this Relocation Agreement is not a contract of employment and does not guarantee continued employment with Intel or alter my at will employment status. 14. Tax: Applicable to all moves: I understand certain Relocation Assistance must be included in my gross income and are subject to tax. I understand that it is my responsibility to keep receipts, adhere to all applicable tax regulations, provide information required to complete accurate tax returns on a timely basis, file these returns by the necessary due dates, pay my income taxes and respond to audits. Any interest and penalties associated with my failure to comply with these requirements will be my responsibility.
11
If I am required to pay any portion of Relocation Assistance, I understand that I may also be required to repay Intel for taxes that were paid on my behalf. Intel hereby reserves the right, at its sole discretion, to make adjustments for income tax or withholding purposes in order to comply with applicable tax laws 15. If I fail to repay Intel within 30 days of notification, I authorize Intel, subject to local law, to deduct any money I owe from my Employee Cash Bonus Plan (ECBP), Employee Bonus (EB), Stock Purchase Plan (SPP) and/or through wages/commissions or other local payments I may be entitled to receive. I understand that failure to repay money owed to Intel may lead to disciplinary action, up to and including employment termination. 16. If Intel requests, I will agree to submit to arbitration to resolve any dispute under this Agreement and I agree to be bound by the decision of the arbitrator. If Intel initiates arbitration or initiates a lawsuit to collect any monies due hereunder, I agree to pay reasonable attorney's fees (also known as solicitor and client legal fees) incurred by Intel and costs awarded by the court. For [U.S. employees I understand that California state law governs enforcement and interpretation of this agreement. For Canada employees: I understand that the law in the province where I work governs enforcement and interpretation of this agreement. In the event of arbitration, the Arbitration Act (or equivalent legislation) in the province where I work applies. For all other employees: the governing law will be what is stated in my employment contract. 17. If my start date changes after I sign and submit this agreement to Relocation, I understand the system of record will default to the start date recorded in GENI. 18. I understand that that an International 1 Way Relocation is a permanent relocation and does not include any promise or commitment of a return relocation back to the original home site. This includes employee separations from the company, whether voluntarily or involuntarily. 19. To affect your move, Intel Relocation may need to share some of your personal details with our external supplier. Please confirm by signing below, your agreement allowing Relocation to do this, as we are unable to progress your move without your prior authorization. 20. I have read and understand and agree to the terms and conditions outlined in the Relocation Agreement. (If the move includes two Intel spouses on assignment to the same location, both must sign below.) GAR Employees: I have reviewed the Authorized Relocation Assistance Package for my permanent move and I understand that this is the complete summary of the Relocation Assistance I am eligible for, based on my managers approval. No other assistance is implied. I am aware that Relocation Assistance is part of my compensation package, and therefore to be considered confidential and not to be shared with other Intel assignees. Relocation Assistance includes all Relocation Assistance related to this permanent move incurred before, during or after the transfer date, regardless of whether they are paid through a lump sum, supplier invoice, or expense report reimbursement, as summarized in the Authorized Relocation Assistance Package.[EC: Use Relo Assistance generally here in this template consistent with the two-way relo agt] India Employees: I hereby agree to sign the Relocation Agreement executed on the stamp paper which is an India site compliance requirement Russian Employees on a Permanent 1-Way Move: For compliance and records retention, Russia assignees are additionally required to sign and submit the hard copy of the Relo Agreement to Russia HR Services at the mail stop: Nizhny Novgorod, TGV 713.
Date
Date
Employee Signature
Employee Signature
12