How Much Does Employee Relocation to Germany Cost?
Relocating employees to Germany is a strategic investment for many companies looking to access talent, expand reach, or support internal mobility. But how much does a typical corporate relocation actually cost in 2025? Here’s a detailed breakdown for corporate decision-makers.
What’s Included in a Relocation Package?
Relocation packages for employees moving to Germany typically combine bureaucratic and legal processes, logistical services to ensure the move itself is smooth and compliant, and lifestyle support to help employees and their families integrate successfully. A well-designed package is not just about covering expenses, but about reducing friction during a high-stress transition.
Visa, Immigration, and Compliance Support – Germany’s visa and work permit processes are complex, and some companies choose to provide assistance in this area. Support can include legal and compliance guidance, processing fees, and documentation for both employees and dependents. Streamlined handling helps reduce delays and ensures regulatory compliance, though some employers limit this to higher-level moves.
Moving Services – Often one of the largest expenses, this can include professional packing, international shipping, customs clearance, insurance, and sometimes unpacking on arrival. Not every company funds a full-service move; smaller firms may provide only a moving allowance, leaving employees to arrange the details themselves.
House-Hunting Trips – Some employers offer pre-move trips covering flights, accommodation, meals, and childcare so employees can focus on securing housing. This option is especially valuable in competitive cities like Berlin, Munich, or Frankfurt, but is not universal across all packages.
Temporary Accommodation – To bridge the gap before long-term housing is secured, many employers offer furnished temporary housing for 2–4 weeks. Depending on budget, this can range from basic serviced apartments to premium corporate housing.
Travel Costs – Employers frequently cover flights for the relocating employee, and sometimes their dependents. Additional options can include excess baggage coverage, return trips, or multiple staggered flights if the family relocates in phases.
Housing Assistance – This may include lease negotiation, deposit support, agency fees, or, for homeowners abroad, assistance with lease terminations or property transactions. Whether these costs are covered often depends on the employee’s seniority.
Settling-in Services – To ease administrative and cultural transitions, some packages include orientation tours, help with local registration at the Bürgeramt, banking support, and utility setup. This type of service is usually provided when companies want employees to integrate quickly and focus on their work.
Family and Lifestyle Support – Particularly for executive or strategic relocations, employers may extend services such as spousal career support, childcare or school placement, and language or cultural training. These extras are often decisive for families considering a move.
Financial Adjustments and Tax Support – To offset cost-of-living differences, companies may provide allowances, signing bonuses, or salary adjustments. In some cases, tax equalization or advisory services are included, helping employees navigate Germany’s tax system and ensuring compliance for both employer and employee.
Miscellaneous Costs – Depending on the situation, companies might also cover car shipping, driver’s license conversion, storage, or local transport passes. These are generally discretionary and negotiated on a case-by-case basis.
Types of Relocation Payment Models
The way relocation costs are structured has a major impact on both employer control and employee experience. Companies typically choose from four main payment models:
Lump Sum: A one-time cash allowance paid directly to the employee. This gives maximum flexibility but places responsibility on the employee to manage expenses. While efficient for entry-level roles or cost-conscious startups, it carries the risk of underfunding critical services if the employee misallocates funds.
Direct Billing: Here, the company contracts directly with relocation vendors and pays them on the employee’s behalf. This reduces financial stress for the employee and ensures money is spent on necessary services. It also gives the employer greater visibility into actual relocation costs.
Third-Party Management: Many companies outsource to relocation service providers who oversee the entire process. This approach allows HR and mobility teams to scale support globally while maintaining oversight, and it ensures consistency in service delivery across different employee levels.
Comprehensive Expatriation Packages: Reserved for executives or strategic hires, these packages cover every stage of relocation and integration, sometimes including multiple pre-move visits, extensive cultural training, and dedicated family support. Though costly, they are often considered essential for senior leadership hires where smooth transitions directly impact business performance.
What Drives Cost Variation?
The reason relocation costs can range from just a few thousand euros to nearly €100,000 is because each move is shaped by unique variables.
Seniority Level is one of the strongest cost drivers. Senior executives often require comprehensive packages, not just because of higher expectations, but also because their success in the role is critical for the business. Entry-level professionals, by contrast, are more likely to receive smaller lump sums or basic support services.
Family Situation is another major factor. Relocating a single employee is significantly cheaper than relocating a family of four. Additional dependents mean more flights, higher visa and immigration costs, larger housing requirements, and often school search and childcare support.
Geographic Distance also matters. A move from Paris to Berlin is far less complex—and cheaper—than one from San Francisco or Singapore to Munich. Intercontinental relocations involve larger shipments, higher travel costs, and more complex immigration procedures.
Housing Needs can make a big difference. Employees who own property abroad may require assistance selling or leasing their home, while renters typically only need lease termination support. In Germany’s competitive housing markets, corporate housing assistance is often a necessity rather than a luxury.
Finally, Company Policy sets the framework. Startups and SMEs tend to provide leaner support to stay cost-efficient, while multinationals prioritize comprehensive packages to remain competitive in talent attraction and retention.
Typical Cost Range for Each Service
Visa & Immigration Support: €1,000–€5,000 (depending on family size and legal complexity)
Moving Services (shipping household goods): €3,000–€20,000
House-Hunting Trip: €1,500–€4,000
Temporary Accommodation (per month): €2,000–€4,000 in major cities
Flights & Travel Costs: €500–€4,000 (depending on family size and distance)
Housing Assistance (agent fees, deposits, contracts): €1,000–€3,000
Settling-in & Bureaucracy Support: €500–€2,000
Family Support (school search, spousal career, child-benefit application): €2,000–€8,000
Financial Adjustments / Tax Services: €2,000–€10,000
Ready to Relocate Talent to Germany?
Supporting employees through relocation is not just a financial decision — it’s a strategic investment in your global workforce. If your company is planning assignments or hires in Germany, now is the time to ensure your policies are competitive, compliant, and employee-friendly.
👉 Get in touch with our team to reduce compliance risks, and design a smoother employee experience.
Legal Disclaimer: The information provided here and on relokate’s website is for general informational purposes only and does not constitute legal advice.
Disclaimer: The cost figures and service examples provided above are illustrative ranges based on typical corporate relocation practices in 2025. Actual expenses will vary depending on company policies, employee seniority, family circumstances, distance of relocation, and the vendors chosen. Organizations should treat these numbers as a guideline for budgeting and benchmarking rather than fixed rates.