Are your moving expenses tax deductible?

If you moved due to a change in your job or business location, or because you started a new job or business, you may be able to deduct your reasonable moving expenses but not any expenses for meals. To qualify for the moving expense deduction, you must satisfy two tests. 

Under the first test, the "distance test", your new workplace must be at least 50 miles farther from your old home than your old job location was from your old home. If you had no previous workplace, your new job location must be at least 50 miles from your old home.

The second test is the "time test". If you are an employee, you must work full-time for at least 39 weeks during the first 12 months immediately following your arrival in the general area of your new job location. If you are self-employed, you must work full time for at least 39 weeks during the first 12 months and for a total of at least 78 weeks during the first 24 months immediately following your arrival in the general area of your new work location. There are exceptions to the time test in case of death, disability and involuntary separation, among other things.

If you are a member of the armed forces and your move was due to a military order and permanent change of station, you do not have to satisfy the "distance or time tests".

Moving expenses are figured on Form 3903 (PDF) and deducted as an adjustment to income on Form 1040 (PDF). You cannot deduct any moving expenses covered by reimbursements from your employer that are excluded from income.

For more information on deductible and nondeductible moving expenses, please refer to Publication 521, Moving Expenses

Moving Terminology

Moving is without a doubt one of the most stressful events that can take place in your lifetime.  That is why it is important to familiarize yourself with terminology used by our industry.  The following terms will appear on your move paperwork:

Bill of Lading - the receipt for your goods and the contract for their transportation. It is your responsibility tounderstand the bill of lading before you sign it. If you do not agree with something on the bill of lading, do not sign it until you are satisfied that it is correct. The bill of lading is an important document. Don't lose or misplace your copy.

Binding/Non-Binding Estimate - a binding estimate is an agreement made in advance with the mover that guarantees the total cost of the move based on the quantities and services shown on the estimate. A non-binding estimate is the carrier's approximation of the cost based on the estimated weight of the shipment and the accessorial services requested. A non-binding estimate is not binding on the carrier and the final charges will be based on the actual weight and tariff provisions in effect.

High Value Article - items included in a shipment that are valued at more than $100 per pound. These items should be disclosed to the mover to ensure that they are protected accordingly.

Inventory - the detailed descriptive list of your household goods showing the number and condition of each item.

Order for Service - the document authorizing the mover to transport your household goods.

Shuttle Service - use of a smaller vehicle to provide service to residences that are not accessible to the mover's normal linehaul equipment (large moving vans).

Storage-In-Transit (SIT) - temporary warehouse storage of your shipment pending further transportation; for example, if your new home isn't quite ready to occupy. Added charges for SIT service and final delivery charges from the warehouse will apply.

Valuation - the degree of "worth" of the shipment. The valuation charge that you are assessed compensates the mover for assuming a greater degree of liability than that provided for in the base transportation charges.

Senior Moving Services

Mooney’s Moving & Storage has extensive experience helping senior citizens transition to a new home.  We understand that a lifetime of possessions can accumulate in a house and we are uniquely qualified to help make the moving process as stress free as possible.

We can assist with any of the following services:

• Moving
• Organizing, sorting, and downsizing
• Floor plans
• Disposal of items through auction, donation, etc.
• Packing & unpacking
• Storage
• Home staging

We have worked at many area retirement communities, and are familiar with the moving policies of each.

As a member of the National Association of Senior Move Managers we have access to a vast network of training and resources to assist any of your moving related needs.

Mooney's Moving & Storage now offers a "do it yourself" option for customers.  Through our affiliation with 1-800 Pack Rat we can deliver portable storage containers directly to your house.  Take your time and load the container at your own pace.  Or one of our properly trained crews can load the container for you.

1-800 Pack Rat containers are the best choice for a variety of common storage needs:

• Home Staging: 
• Renovations
• Archiving
• Local & long distance moving

For further information please contact us at (800) 854-1030 or visit us online: http://www.1800packrat.com/partners/mooneysmoving#/Home