Is It Cheaper to just rent a truck or Hire Movers?
Moving soon? Well, you might want to consider hiring a moving company. But first, you must know what to look for and what questions to ask. Hiring a moving company may save you a lot of time and some money if you do it right, but the fact of the matter is that you’re trusting people you don’t know with your most precious items, and moving on its own isn’t the most fun you’ll be having, so it’s best to minimize issues by preparing ahead of time.
It’s important to do your research so you’re sure to hire the best moving company for your needs.
Start your research early so you have plenty of time to compare companies and estimates. Still skeptical if hiring a company can actually save you money? Well here are a few things to consider:
You don’t have to rent equipment which in itself will cost you a few hundred dollars
Unless you’re moving right next door, you’re most likely going to have to rent equipment to make your relocation possible. Let’s say you go to U Haul and rent one of those $19.95 a day trucks. But let’s include taxes and fees, that’s around another $20-$30. But unless you’re moving to a dorm or efficiency, the size of one of those trucks will only get you one room at a time, if you’re a serious minimalist. Add some extra equipment you might need, gas, and the mileage to the bill and you’re already paying a hefty penny. Local moving companies already have all of the necessary equipment to properly move your belongings.
You won’t have to buy packaging products
There is an average of 300,000 things in an average U.S home. Imagine having to purchase boxes, tape, packing peanuts, and all of the other essential packaging products for that much stuff, that’s going to cost quite a bit of money. Experienced movers will be able to not only provide the proper packaging equipment but pack all of your belongings for you as well. You’re already saving money and headaches. Winning!
You don’t have to miss work
If you’re anything like me, I love to hooky from work and maybe fit in a game of golf or spend some time with the family. But if you’re making a big move, or even just have a lot of stuff to move, you may have to take off of work to get the time you need and it won’t just be one or two days. If you’re moving across the country, you also have to consider what it costs to stay in hotels, rent equipment for multiple days, and pay for gas and food. When you work with local moving companies, you won’t have to miss as much work and can simply arrive at your new house with your belongings already there and just focus on settling into your new home. Let’s be realistic, you’re going to be exhausted as it is, why make it worse when you can focus on your bread and butter. Remember, delegate, and focus on what’s important.
You won’t have to pay for medical treatment of injuries
Sometimes, moving heavy furniture can lead to injury. Unfortunately, this can not only put a damper on your moving day but can lead to expensive medical bills. Professional movers know the proper way to move heavy items without risking injury and often have special equipment to make it easier. And in worst-case scenarios, one of them does get hurt, that won’t affect you, any professional moving company will have the on-call staff they can contact in a pinch.
You won’t have to replace broken items
A long move can increase the risk of your belongings getting damaged if they’re not packaged correctly. And if something does get damaged, you’re liable for replacing or repairing it. However, local moving companies will know how to package and move your belongings properly so they don’t risk getting damaged. But the best part is, moving companies have insurance coverage so that if anything were to happen, you’re covered.
Here is one of the best reasons to hire a moving company. As a general rule of thumb, you can deduct most, if not all, of your moving expenses if you move at least 50 miles away for work, but like any other tax-related subject, there are plenty of caveats and special circumstances that change the rules.
Hiring a professional moving company is probably more affordable than you think thanks to a large array of tax deductions that you can claim on your IRS returns.
How to Qualify
To qualify for moving deductions, you will likely need to meet three requirements. Your move must be closely related in both time and physical proximity to your place of employment, and it must pass both the distance and time tests.
- Your move is closely related to the start of work – The first requirement simply limits your deduction to any moving expenses you incur within one year of starting work, and your new home must be closer to your new job than your old home. In other words, you can deduct any qualifying expenses up to one year before and after you start work. You don’t have to have a new job lined up when you move, but you must start work at a new location within one year of moving if you want to deduct those expenses. In addition, you can’t deduct moving expenses if you will continue working at the same address, but you can continue working for the same company if you’re transferred to a new job location. Your new home must be closer to your new job unless your employer requires you to live in your new home. You are also exempt from this rule if you can prove that your new home shortens your commute. For example, your new home actually adds an extra 10 miles to your commute, but because it’s in a less populated area of the state, your new home shaves 20 minutes off your daily commute.
- Distance test – Your new job location must add at least 50 miles to your commute from your former home. So if you have a new job or just transferred to a different branch you pass the distance test.
- Time test -The time test simply requires that you work full-time at least 39 weeks out of the first 12 months that you reside at your new address. Those 39 weeks don’t have to be continuous, and you don’t need to work for the same employer, but you do need to stay in the same general commuting area. Are you self-employed? If so, the 39-week time test doubles, so you’ll need to work full-time at least 78 weeks out of the first 24 months after your move.
For this tax deduction, qualified moving expenses typically include the following:
- The cost of shipping automobiles and boats
- The cost of transporting household pets (i.e. dogs, cats, tropical fish)
- The moving-related cost associated with connecting and disconnecting utilities
- The cost of moving personal belongings from a place other than your old residence (such as a summer home or relative’s home), but not exceeding what it would have cost to move them from your old residence
- The cost of lodging (for you and other members of your household) while traveling to the new residence (but not the cost of meals)
- Members of the U.S. armed forces don’t need to meet the three general requirements if they’re moving because of a military order or a permanent change of station. Retiring members also qualify for moving deductions if they’re moving from their last permanent station to a new home.
For more information on special pricing for members of the U.S armed forces click here
- Married couples filing jointly still need to meet the three basic requirements, but they can do so separately. For example, one spouse can fulfill the distance test, and the other can satisfy the time test. However, they cannot add their time together to meet the time requirement. One spouse must work full-time at least 39 weeks out of the first year.
- Is your employer footing part or all of the bill for your move? You cannot deduct any reimbursed expenses from your tax return, but that’s OK. You can still deduct any unreimbursed expenses, and reimbursed costs will end up saving you more money than tax deductions.
- Self-Employed Taxpayers – If you are self-employed and you’re looking to deduct your moving expenses, there are some special time requirements you need to meet. To qualify, you must work full-time for at least 39 weeks during the year following your move. Additionally, you must work full-time for a total of 78 weeks during the first 2 years (a.k.a. 24 months, or 104 weeks) immediately following your arrival to your new home. Note that the worked weeks do not have to be consecutive.
- The moving expenses tax deduction, allows you to deduct the non-reimbursed costs of moving household goods and personal belongings to your new residence. These expenses can include the cost of valuation, transportation, packing, unpacking, and storage-in-transit. Each qualified expense has a 30-day limit — for example, you can deduct the cost of renting a storage unit for up to 30 days (if you cannot move into your new home right away).
How much does it cost to hire movers for a local move you ask?
Local movers charge by the hour – this is the very first thing you need to remember when you’re moving locally.
But what does that mean for you and your budget? It means that the price estimate you receive from local moving companies should be based on an hourly cost and estimated hours to complete the move.
The average cost to hire movers for a local move is $50 per hour per mover but the precise hourly charge will depend on your exact location in the country, the season and day of the month you’re moving home, and the local moving company you’ve decided to use.
- An average cost you should expect to be charged from $90 per hour to $120 per hour. As mentioned above, the exact date of your move will have a considerable influence over the professional local mover’s rates. Also depends on how big of a move it is. Move-out dates at the beginning and end of the month, especially during the summer, are more expensive.
- Studio apartment – Moving out of a studio apartment should take 2 movers about 3-4 hours to complete the job, which means it’ll cost you approximately $300-$400 on average without extra services.
- 1-bedroom – When moving out of a 1-bedroom apartment, local movers should charge you about $400-$500 on average for the work of 2 professional movers for the duration of 4-5 hours.
- 2-bedroom – When moving out of a 2-bedroom home, you should be ready to shell out more money. Let’s assume that 3 movers work for 5-6 hours to pack up and load your household items. Then, you should be ready to pay roughly $750-$900 for the job, with no extra services included.
- 3-bedroom – When moving out of a 3-bedroom home and moving locally, you should expect to be charged around $1,400-$1,600 for the work of 4 professional movers for 7-8 hours.
Sometimes local movers charge additional fees and you should ask in advance about those charges to make sure the estimate you get is as close to the final mover’s cost as possible. An example of such an extra charge is the travel fee – the time the movers require to get to your location and back to their base of operation. That fee is often charged as 1 additional hour of labor.
Most local movers will ask for a deposit when scheduling the move so that they can reserve the date for you. Contact your local moving company to learn more about their deposit policy.
Keep in mind that it’s important to know in advance how much Silkway movers charge. Click here to get a free moving cost estimate.
How much does it cost to hire movers for a cross-country move?
As already mentioned above, the cost to hire movers in town and the cost to hire movers out of state will be rather different. And because of the numerous price factors that influence a house move across the country, it’s virtually impossible to calculate on your own the cost to hire movers for an interstate move. Therefore, you will have to request cost estimates from various cross-country movers and get the company representatives to visit your home so that they can provide you with accurate moving quotes that will reflect the amount you will pay after your household items are delivered to the new home.
Nevertheless, for referential purposes, it can be useful to get familiar with the average moving costs of moving long distances. Do yourself a favor and ask reputable cross-country moving companies for in-house surveys, followed by the issuance of precise quotes.
Studio apartment – When moving out of a studio apartment, you should expect to pay an average of $1,100 with no extra services. In this case, the interstate moving cost is calculated for a move distance of 1,000 miles and an approximate weight of household goods of 1,800 lbs.
- 1-bedroom – When moving out of a 1-bedroom apartment, you should expect to be charged around $1,400-$2,100 with no extra services. In this instance, the interstate moving cost is calculated for a move distance of 1,000 miles and an approximate weight of household goods of 2,200-3,200 lbs.
- 2-bedroom – When moving out of a 2-bedroom home, expect to be charged around $3,400-$4,100 without any extra services. In this house moving case, the interstate moving cost is calculated for a move distance of 1,000 miles and an approximate weight of household goods of 5,000-6,000 lbs.
- 3-bedroom – When moving out of a 3-bedroom home, you should be ready to pay approximately $6,200 without any extra moving services. In this case, the interstate moving cost is calculated for a move distance of 1,000 miles and an approximate weight of household goods of 9,000 lbs.
What are the price factors when moving across the country?
If you’re moving to another state, be it a neighboring one, then you’re about to complete an interstate household move. And, because of that, the first thing you should know is that the price of your cross-country move will be calculated rather differently than moving locally – it’s all about the price factors and how they will influence that final moving bill.
And more importantly – why should you care? Well, the good news is that once you’re familiar with how your interstate moving cost is formed through the interconnection of the various long-distance price factors, then you will be able to find and use good cost-saving techniques to your advantage.
This is why you are strongly advised to get estimates from multiple moving companies as every company has its own set of parameters when estimating the move cost. Also, negotiating a discount in advance is another option worth exploring.
What Are The Hallmarks Of A Reputable Moving Company?
For starters, they should have a presence on various consumer review websites, such as the Federal Motor Carrier Safety Administration, Angie’s List, Yelp, or on their very own Google listing. A solid company will understand how important it is to build credibility and will make an effort to ensure they are getting positive reviews.
Online reviews are the new word-of-mouth and they are the best place to start when choosing a moving company. Read reviews on trusted sites like Yelp, Google, and the Better Business Bureau. Reviews provide a reliable, unbiased look at a company’s level of service in action.
Find Experts In Whatever You Need To Move
You don’t want just anyone transporting your precious baby grand. If you have specialty items — like pianos, gym equipment, or pool tables — find a moving company with experts who know how to handle them properly. Usually, companies will list this information on their website, but reviews are also a great place to look
Find Out What’s Included
Do you have to pack everything up yourself or will your movers take care of it for you? Will they provide boxes, blankets, and other moving supplies? Is fuel included in the price or will it be an extra charge smacked on at the end? Ask the right questions to avoid unexpected costs on moving day.
Find The Perfect Balance Between Quality And Price
Determine the value of each moving company by comparing quality versus price. Remember: cheap movers aren’t good and good movers aren’t cheap! But a high-priced estimate doesn’t automatically equal a quality moving company. There are a number of factors to consider — from price, to reputation, to what’s included in the service.
Put On Your Detective Cap
It’s time to do some deep investigation into your shortlist. Reviews and estimates are a solid indicator of value, but there’s more to a company’s credibility than meets the eye. If you’re moving between states, the moving company must be licensed with the Department of Transportation, so double-check their license number in the DOT database. Many companies operate without insurance — again, look into it. There may also be other requirements, depending on your location and where you’re moving.