Relocating for a medical position is a common, often necessary, step in a physician’s career. Whether you’re finishing residency, exploring new opportunities or seeking a change in lifestyle or cost of living, the process of physician relocation can be both exciting and daunting. The good news? Employers understand the complexity of a move and typically offer relocation packages to ease the financial burden.

When relocating for the first – or fifth – time, there are ways to equip yourself with the tools to make an informed, empowered transition.

How much is typical relocation pay?

Physician relocation pay varies widely, depending on specialty, location and employer size. However, it’s standard practice for healthcare employers, especially hospitals and large medical groups, to cover relocation expenses paid by employer as part of their recruitment incentive package.

Typical relocation pay for physicians ranges from $10,000 to $20,000, with some exceeding $30,000 for highly competitive roles or hard-to-fill regions. Academic institutions might offer less than private systems, while rural or underserved areas often provide more generous relocation support to attract candidates.

The specific types of costs covered usually include:

• Transportation for the physician and family
• Professional packing and moving services
• Storage costs
• Temporary housing
• Travel for house hunting

In some cases, relocation assistance is paid upfront, while in others, reimbursement is provided upon submission of receipts. Regardless of the structure, understanding what’s included—and not included—can help you plan and budget effectively.

What is a normal relocation allowance?

So, how much relocation assistance should I ask for as a physician? While the answer depends on personal circumstances and employer policies, a normal relocation allowance often falls in the range of $10,000 to $15,000.

This amount should ideally cover moving company fees, travel, short-term lodging and other transition expenses. However, it’s important to understand whether this is a fixed lump sum, a reimbursement model or an itemized allowance where certain expenses are preapproved.

When evaluating an offer:

• Ask for a detailed breakdown of what the allowance includes.
• Clarify whether the amount is taxed (lump sums often are).
• Request flexibility if your situation includes special needs (e.g., cross-country move, larger family, dual-career household).

Don’t be afraid to negotiate for more, especially if the move is extensive or the local housing market is expensive. Employers often expect negotiation and build in room for such discussions.

What is the average physician relocation bonus?

A physician relocation bonus is a cash incentive offered to offset the out-of-pocket costs of a move. These bonuses are typically one-time payments and can be combined with other benefits, such as sign-on bonuses or housing stipends.

For physicians, the average physician relocation bonus falls between $7,500 and $12,000, but this number can vary significantly depending on:

• Geographic distance
• Cost of living differences
• Urgency or competitiveness of the position
• Specialty (some subspecialties command higher incentives)

The relocation bonus is generally paid after signing an employment contract or upon your first day on the job. Be aware: some employers include clawback clauses; if you leave the role within a certain period (often 1–2 years), you may be required to repay part or all of the bonus.

Always review terms carefully and factor the relocation bonus into your total compensation package.

What is an appropriate relocation bonus?

Determining what qualifies as an appropriate relocation bonus can be difficult without benchmarks. Fortunately, many physicians use a relocation package calculator to assess how much support is justified based on factors like:

• Distance of the move
• Number of dependents
• Estimated household size
• Cost of living in destination vs. origin
• Temporary housing needs

An appropriate relocation bonus should at minimum cover basic move-related costs and ideally leave room for incidentals or unforeseen expenses. Here’s a simple baseline estimate for moving 1,000 miles for a full-service relocation:

Expense	Estimated Cost
Packing & movers	$6,000 – $9,000
Transportation (flights/driving)	$1,000 – $2,500
Temporary housing	$2,000 – $4,000
Miscellaneous (storage, meals, utilities)	$1,000 – $2,000

When in doubt, request documentation or previous physician examples from your recruiter.

What is a typical relocation package amount?

The average relocation package for employees in the U.S. ranges from $8,000 to $15,000, depending on job title and relocation complexity. Physicians generally receive higher-than-average packages due to the value they bring and the investment employers make in recruitment.

In addition to monetary support, many physician relocation packages include:

• Assistance with real estate agents
• Home sale/purchase support
• Spousal job placement help
• Licensing and credentialing support
• Onboarding concierge services

These non-monetary benefits can be just as valuable as cash, especially if you’re relocating across state lines and need to meet physician relocation requirements like board certification transfers or hospital credentialing.

What is reasonable to ask for for a relocation package?

What’s reasonable to ask for for a relocation package depends on your specific needs and the employer’s flexibility. However, it’s helpful to look at relocation package examples that reflect typical physician experiences:

Example 1: Internal Medicine Physician (Local move, 200 miles)

• $7,500 lump sum
• 1-week temporary housing
• Reimbursement for gas and truck rental

Example 2: Emergency Medicine Physician (Cross-country)

• $12,000 relocation bonus
• Full-service pack and move
• 2-week hotel stay
• $1,000 for incidentals
• Licensing and credentialing assistance

Example 3: Subspecialist (Rural area)

• $20,000 package
• Realtor and closing cost support
• Temporary housing (1 month)
• Spouse job placement assistance

These examples show “reasonable” is relative. If you’re moving far, own a home or have dependents, your request should reflect those costs.

What is a reasonable amount for moving expenses?

A relocation expenses list can help you understand what is considered reasonable when building or negotiating a relocation package.

Here are commonly included moving expenses:

• Professional packing and moving services
• Transportation or mileage reimbursement
• Hotel or short-term housing
• House hunting trips
• Meals during travel
• Utility setup/disconnection fees
• Storage fees (if there’s a gap between moving out and moving in)
• Licensing and credentialing costs (especially across states)

It’s reasonable to expect $10,000 to $15,000 in moving expenses for a long-distance move. That said, costs can climb quickly, especially if moving a large household or navigating competitive housing markets.

Make sure to save receipts if your employer offers reimbursement-based packages rather than upfront bonuses.

How much is a relocation incentive?

In some cases, employers offer a relocation incentive in addition to or instead of direct expense reimbursement. This can be a cash bonus or a salary adjustment designed to attract top-tier talent.

Although not always explicitly labeled, these incentives are part of the broader physician relocation salary negotiation. For example, if you’re being asked to move to a remote area or join a high-demand specialty, the employer may increase your base salary or sign-on bonus to account for the transition costs.

Here’s how that might break down:

• Base salary: $270,000
• Sign-on bonus: $25,000
• Relocation incentive: $10,000 lump sum
• Total first-year compensation: $305,000

If relocation incentives aren’t offered, they can often be built into other areas of the compensation package. It’s all negotiable—just ask.

What is a typical lump sum for a relocation package?

Many employers offer a lump sum relocation package, especially for physicians who prefer to manage their own move. This provides flexibility and streamlines the employer’s paperwork process.

The typical lump sum is between $8,000 and $12,000, although some can exceed $20,000. The key benefit is freedom of use—you can apply the funds to areas most relevant to your move, such as:

• Flights or fuel
• Movers or truck rentals
• Down payments or lease deposits
• Temporary childcare

Keep in mind lump sum relocation packages are often treated as taxable income. It’s worth discussing tax implications with HR or your accountant and requesting gross-up pay if available (i.e., an additional amount to cover taxes on the lump sum).

How do you negotiate relocation allowance?

Negotiating a relocation allowance is not only acceptable—it’s expected. As a physician, you bring significant value to any employer, and your relocation package should reflect that. Here’s how to approach the negotiation process:

1. Understand your needs

Make a list of physician relocation requirements, such as:

• State licensing fees
• Hospital credentialing
• Moving large medical equipment or professional files
• Temporary housing while awaiting state licensure

2. Do your research

Use tools like a relocation package calculator or industry forums to benchmark your expectations.

3. Ask for flexibility

If your employer provides a standard relocation amount, ask if parts of it can be redirected. For example, using lodging funds toward closing costs or replacing a hotel stay with a lease deposit.

4. Put it in writing

Get all terms in writing before signing. This protects both parties and sets expectations clearly.

5. Plan for clawbacks

Ask if there’s a repayment clause if you leave the position early. Negotiate those terms to be fair and proportional.

Your relocation is an investment—both in your career and in your future. Make sure your employer is equally invested.

Relocating as a physician is a multi-layered process, involving not only logistics but also financial planning, professional transitions and personal considerations. The good news is that physician relocation packages are designed to ease the burden and support your move in meaningful ways—from lump sums and salary incentives to tailored relocation services.

Understanding what’s typical—and what’s negotiable—can help you feel confident as you evaluate offers and plan your next chapter.

Ready to explore new opportunities with relocation support?
Visit PracticeLink to search thousands of physician job listings, connect with top employers and access expert resources that support every step of your job search and move.