How to Calculate Moving Costs: What to Consider for Your Relocation Budget

Whether you’re leaving your hometown for the big city or relocating for an exciting job opportunity in a different state, budgeting for an upcoming move can be complicated. But don’t worry—we’ve got you covered.

Once you’ve determined your moving day and new location, it’s time to calculate your moving expenses. Let’s break down what you need to know before starting the moving process.

Moving Cost Factors

To help you plan for moving day, here are some common expenses you’ll need to budget for when you relocate. 

Moving Costs by Home Size

Understanding your out-of-pocket moving costs will help you establish a budget. Here is how home size impacts what you can expect to pay.

Professional Movers

Moving is no small feat, which is why it’s helpful to hire local movers to help manage your move. Your moving company expenses will vary based on the size of your move, distance traveled, number of movers, and any additional services requested. Most movers charge $25 to $50 per mover per hour for their services.

Moving Costs by Distance

The number of miles between your new and old home will directly impact what you pay. Here are some general guidelines.

Moving Truck Rental 

Do you plan to rent a moving truck to transport your belongings? If so, you can expect rental truck costs to run about $120 to $200 for a local move or $1,200 to $2,300 for a long-distance move. For a more accurate estimate, determine which moving truck size is best for you.

Packing Materials

You’ll need to budget for the cost of packing supplies, including tape, furniture pads, and moving boxes. You can attempt to find free moving boxes by scoping out big-box stores or your local grocer. If you purchase new ones, moving boxes cost between $1 and $10 per box. 

Storage Units 

If you need to put your items in a temporary self-storage unit, it will cost between $20 to $450 per month, depending on its size and location. 

Travel Costs

Don’t overlook the cost of getting you and your family from point A to point B. Calculate your travel expenses by tallying up the cost of gas per mile, overnight hotel stays, food stops, and toll charges.

Utility Deposits and Fees

Utility companies typically require an upfront deposit or request the first month’s payment in full when you set up service. You should include these figures in your budget so you don’t end up (literally) in the dark once you arrive. Don’t forget to account for any outstanding utility bills at your old location, too.

Cleaning Fees

You may need to hire a professional cleaning service to deep-clean your old space after the last box has been carried out or get your new home in tip-top shape before you move in. Professional cleaners charge between $25 and $80 per hour.

Shipping Furniture

In some cases, it’s easier to ship large furniture pieces rather than transporting them via moving truck. However, shipping items will increase your total moving cost. You can expect to pay about $300 to $800 per item to ship furniture cross-country. 

Moving Insurance

Moving insurance is a worthwhile expense. It protects your belongings if anything is damaged or lost on its way to its destination. The cost of moving insurance depends on whether you have full-value protection, released-value protection, or separate liability coverage. Full-value protection usually costs 1% of the total estimated value of your items, and released-value protection costs about $0.60 per pound per item.

Time of Year 

Seasonality plays a significant role in determining moving costs. Peak season drives higher demand and boosts rates up to 30%. Depending on your location, peak moving season is spring and summer (June to September). You can save money with an off-season move, but inclement weather could result in additional fees.

Additional Moving Costs to Consider

As with most things in life, homeowners can expect additional fees for various services.

• White glove services: This applies to expensive items when packing and moving, including artwork, pianos, grandfather clocks, and other things requiring extra care.

• Stairs and carry fees: Professional movers charge extra for carrying items up and down stairs or for long walks to the moving truck.

• Unpacking services: Many higher-end movers will offer unpacking services, which are particularly helpful for rooms like kitchens brimming with items.

• Storage fees: Sometimes, homeowners need to store all their belongings until the new residence is move-in ready, and a moving company may offer convenient storage services. 

• Extra stops: Many movers charge extra for additional stops, such as picking up items from storage or dropping off old items for disposal.

• Expedited services: These fees usually apply to long-distance moves on short notice.

• Tipping: Movers often expect tips for their hard work; plan to have enough cash to tip 15% to 20%.

How to Save Money on Moving Costs

You can reduce your moving costs with careful planning and some elbow grease.

• Shop around: Get quotes from multiple movers before making your final decision.

• Book early: Reserve movers or trucks in advance to lock in lower rates.

• Avoid peak times: Move mid-week or mid-month to save money.

• Declutter: Sell, donate, or discard items to reduce what you move.

• Use free supplies: Get free boxes at your local grocery store and use towels or linens instead of bubble wrap for packing.

• Check for discounts: Look into student, military, or AAA discounts.

• Tax benefits: Check if your move qualifies for deductions, especially a work relocation.

• DIY move: Renting a truck and enlisting your friends to help can significantly reduce out-of-pocket expenses.