How to Save Money When Moving With Family?

Moving can be an exciting adventure, but it can also be a financial challenge. From hiring full service movers to buying packing supplies, the costs can quickly add up. However, careful planning and smart strategies can save money on moving. This comprehensive guide will provide practical and cheap moving tips to make your move affordable and stress-free.

Moving is more than just a physical transition—it's a financial one too. The costs associated with moving can strain your budget and add unnecessary stress to an already challenging process. By learning how to move on a budget, you can ease this financial burden and focus on the exciting aspects of your move.

Comprehensive Guide to Saving Money When Moving

Decluttering Your Home and Selling the Excess

One of the most cost-effective moving strategies is decluttering your home before you move. Not only will this reduce the amount of stuff you need to pack and transport, but it can also put extra cash in your pocket.

“Decluttering is key when selling your home,” expresses Christina M. Keller, REALTOR® with Realty Network Group. “Before the home goes on the market, a homeowner needs to begin cleaning and eliminating waste. Buyers need a clear vision of how their possessions will fill the space. Removing excess furnishings enables them to image the home as their own, without distractions. After an agreement is made between the parties, the seller can use the moving process as another time to organize and prioritize what makes the move and what gets purged.”

Start by sorting through your belongings and identifying items you no longer need or want. Consider selling these items online through eBay, Craigslist, or Facebook Marketplace. You could also host a garage sale to remove these items quickly.

Donating Bulky Items You Can't Sell

If you have bulky items that aren't worth selling, consider donating them. Many thrift stores and charities gladly accept used furniture, appliances, and other large items. Plus, these donations may be tax-deductible, which can help offset some of your moving costs.

Reusing Cheap or Free Packing Materials

Packing materials can be a significant expense when moving. To save money, consider reusing materials you already have. Old newspapers, towels, and clothing can wrap and protect fragile items. You can also ask friends or local businesses for any boxes they no longer need.

Measuring Access Points Before Moving

Avoid the hassle and potential expense of moving furniture that won't fit in your new home by measuring all large items and access points (like doorways and stairwells) beforehand. This can help you decide what to keep, what to sell, and what to donate, saving you time and money on moving days.

Not Overbuying for Your New Home

It's easy to get carried away with buying new items for your new home, but this can quickly inflate your moving budget. You can avoid the urge to make large purchases until you've moved and assessed your needs.

Asking Your Company for Reimbursement

If you're moving for work, could you check with your employer about a possible relocation package? Many companies will reimburse employees for moving expenses, significantly reducing out-of-pocket costs.

Deciding If You Should Spend Money on Movers

Hiring professional movers can be a significant expense, but it's worth the cost for some. Consider factors like the amount of stuff you have, the distance of your move, and the complexity of moving large items when deciding whether to hire movers.

Avoiding Moving During the Busy Season

Moving companies often charge more during peak moving season (typically May through September). Plan your move for the off-peak season to take advantage of lower rates.

Shopping Around for Better Prices

Don't settle for the first moving company quote you receive. Shop around and get estimates from several companies to get the best deal. The same goes for other moving-related services, like truck rentals and packing container rentals.

Using Self-Storage When in a Pinch

Self-storage can be a cost-effective solution if there's a gap between your move-out and move-in dates. Just be sure to factor in the cost of the storage unit into your moving budget.

DIY Moving vs. Hiring Professionals: A Cost Comparison

One of the biggest decisions you'll make when planning your move is whether to do it yourself or hire professionals. DIY moving can save money but requires more time and effort. On the other hand, hiring professional movers can make the process smoother and less stressful, but it's typically more expensive. Consider your budget, timeline, and personal preferences when making this decision.

Moving Insurance: Is It Worth the Cost?

Moving insurance can provide peace of mind by protecting your belongings during the move. However, it's an additional cost that only some need. Evaluate the value of your items and the risk of damage or loss to determine if moving insurance is worth the cost.

Moving insurance can be worth the cost, depending on your specific circumstances and the value of your belongings. Here are some factors to consider when deciding whether to purchase moving insurance:

1. Value of your belongings: If you're moving valuable or high-priced items, such as antiques, artwork, or expensive electronics, having insurance can provide peace of mind. If any of these items are damaged, lost, or stolen during the move, the cost to replace them could be significant.

2. Distance of the move: If you're moving locally or within a short distance, the risk of damage or loss may be lower than long-distance moves or international relocations. Longer distances involve more handling, transfers, and potential risks, increasing the likelihood of accidents or mishaps.

3. Moving company liability: Moving companies generally offer some liability coverage, often called "released value protection" or "basic carrier liability." However, this coverage is typically limited and may only partially compensate you for the value of your belongings. Review the terms and conditions provided by your moving company to understand the extent of their liability.

4. Personal risk tolerance: Consider your attitude toward risk and ability to absorb potential losses. If you prefer financial protection and don't want to bear the full burden of damages or losses, purchasing moving insurance can offer peace of mind.

5. Existing homeowners or renters insurance: Check if your current homeowners or renters insurance policy covers your belongings during a move. Some policies might offer coverage for moves, but reviewing the terms and any limitations is essential. You may not need additional moving insurance if your existing insurance provides adequate coverage.

6. Type of coverage: There are typically two types of moving insurance: full value protection and released value protection. Full value protection covers the replacement value of damaged or lost items, while released value protection covers a lower amount based on the weight of the items. Consider the cost difference between the two options and evaluate which aligns better with your needs.

Moving Checklist: A Tool for Budgeting and Planning

A moving checklist can be a valuable tool for planning and budgeting your move. It can help you keep track of tasks, deadlines, and expenses, ensuring everything is noticed. You can find free moving checklists online or create your own to suit your needs.

Free Packing Supplies: Where to Find Them

You can often find free packing supplies if you know where to look. Local businesses, community groups, and online marketplaces are potential free boxes, packing paper, and bubble wrap sources. Just be sure to start collecting these materials well before your move.

Moving Expenses Tax Deduction: What You Need to Know

Regarding moving expenses, you should be aware of some recent changes in tax regulations. As of my knowledge cutoff in September 2021 here's what you need to know about moving expenses and tax deductions in the United States. However, tax laws can change, so it's always a good idea to consult with a tax professional or refer to the latest IRS guidelines for the most up-to-date information.

1. Previous tax deduction eliminated: Starting in 2018, the Tax Cuts and Jobs Act (TCJA) eliminated the deduction for most personal moving expenses. This means that, in general, you can only deduct your moving expenses on your federal income tax return if you are a member of the U.S. Armed Forces.

2. Exception for military personnel: If you are a member of the U.S. Armed Forces on active duty and you move due to a military order, you may still be eligible to claim a deduction for your unreimbursed moving expenses. However, certain criteria and requirements must be met. Refer to IRS Publication 521, "Moving Expenses," for detailed information on eligibility and documentation.

3. Business-related moving expenses: If you are moving for work and your employer is not reimbursing you for the costs, it's important to note that the deduction for unreimbursed employee business expenses, including moving expenses, was also eliminated by the TCJA. Therefore, as of my knowledge cut off, you cannot deduct these expenses on your federal tax return.

4. State tax considerations: While the federal deduction for moving expenses has been eliminated for most individuals, it's worth checking if your state offers any deductions or credits for moving costs. State tax laws vary, and some states may still allow deductions or credits for moving expenses. Consult your state's tax authority or a tax professional to understand the specific rules in your state.

It's crucial to stay updated on any changes to tax laws and consult with a qualified tax professional who can provide personalized advice based on your circumstances. They will have the latest information and can guide you on how the tax rules apply to your situation.

Frequently Asked Questions About Saving Money When Moving

What month is the cheapest to move?

The cheapest months to move are typically during the off-peak season, which runs from September to April. During these months, demand for moving services is lower, so you can get better rates.

How much money should I have before moving?

The amount of money you should have before moving depends on many factors, including the distance of your move, the size of your household, and whether you're hiring professionals or doing it yourself. Saving at least three to six months of living expenses before moving is a good idea.

Is $5,000 enough to move out?

Again, this depends on various factors. However, for many people, $5,000 should be sufficient to cover the basic moving costs, including hiring movers or renting a truck, buying packing supplies, and paying for travel expenses.

How can I reduce my moving costs?

There are many ways to reduce moving costs, including decluttering before moving, reusing packing materials, moving during the off-peak season, and shopping around for the best prices on moving services.

What to do 5 weeks before moving?

Five weeks before moving, you should start packing non-essential items, arrange for utilities to be turned off at your old home and turned on at your new one, and confirm arrangements with your moving company or truck rental service.

Moving on a budget may require extra planning and effort, but the potential savings are well worth it. These tips can make your next move more affordable without sacrificing convenience or peace of mind.

Do you have any money-saving moving tips to share? We'd love to hear them! And if you need more personalized advice for planning your move, don't hesitate to contact a moving professional in your area. Happy moving!