The State Board of Examiners has established State Moving Policy and Procedures. This policy allows reimbursement of moving expenses for a current or newly hired employee.

The agency director or designated representative shall have the authority to decide whether to pay moving expenses on a case-by-case basis up to the limits set forth in that policy.

The State Moving Policy and Procedures document is on the Board of Examiner's Web site.

Use the earnings codes described in this document in the State Controller's Office (SCO) Payroll System, IPOPS. For more information on paying moving expenses through IPOPS, please refer to the DSP Personnel and Payroll User Manual. If you have questions, please contact the Division of Statewide Payroll at servicedesk@sco.idah​o.gov.

Beginning January 1, 2018, all moving reimbursements are taxable to the employee and must be paid to the employee through IPOPS/payroll.  All moving reimbursements must be processed with an IPOPS Special Payment or Other Earnings form using the following earnings codes:

• TMP (Moving Expense - PERSI) – Used to compensate an employee for moving expenses.  (Includes payments for relocation fees, storage costs, etc.)

Reimbursements for these expenses are included in PERSI.

• TMV (Moving Expense) – Used to compensate an employee for moving expenses for lodging, meals, and mileage. Reimbursements for these expenses are excluded from PERSI per IC 59-1302(31)(C)(d). 

Non-Taxable Moving Codes are no longer available for use:

• MOV Earnings Code in IPOPS
• 5358 Subobject in STARS

SCO is waiting for guidance from the Internal Revenue Service as to whether moving expenses that were previously non-taxable and incurred in 2017 but reimbursed in 2018 should be taxable.

Employee Reimbursement

TMP Earnings Code

Used to compensate an employee for moving expenses.  (Includes payments for relocation fees, storage costs, etc.) Reimbursements for these expenses are included in PERSI.

TMV Earnings Code

Used to compensate an employee for moving expenses for lodging, meals, and mileage.  Reimbursements for these expenses are excluded from PERSI per IC 59-1302(31)(C)(d).

Third-Party Vendor Payment Not Allowed

The State Travel Policy states:

          Because all reimbursements are taxable, state agencies cannot pay directly, be invoiced, or contract directly with a commercial mover or thrid party providing moving services.

Solving Common Problems

If you processed a “nonqualified" (taxable) amount through STARS instead of payroll, you can enter an 'MTF' earnings code through IPOPS/payroll to show the amount as taxable fringe.  A warrant will not generate nor postings made to STARS.

If you have moving expenses to reimburse this year that were paid by the employee last year and would have qualified as non-taxable last year, you can:

• wait until SCO receives further guidance from the IRS, or
• reimburse the moving expense with an Other Earnings form in IPOPS as a taxable using earnings codes TMP or TMV.  (Shipping/Storage reimbursements are not excluded from PERSI so you would use the TMP earnings code.)

If you have entered a STARS batch that is a reimbursement for expenses paid by the employee last year, you can do one of the following:

• Delete it and then submit an Other Earnings form in IPOPS using earnings code TMP or TMV.
• Delete it and wait until SCO receives further guidance from the IRS.
• Adjust the batch to change the subobject code to 5359. (Enter a TC 27A and 27B adjustment in STARS to change the subobject.) Then submit an Other Earnings form in IPOPS using earnings code MTF or MTP. These earnings codes will tax the employee for the amount already paid through STARS.

Use TMV and MTF for moving expense reimbursements for lodging, meals, and mileage.

Use TMP and MTP for moving expense reimbursements that are subject to PERSI.

Moving Expense Reimbursement Report

The Board of Examiner's Moving Policy states that agencies shall submit a moving expense reimbursements report to the Secretary of the State Board of Examiners by October 1st of each year. Payroll data is available on IBIS.

In addition, the DAFR6970 report is available in Online Reporting. Once your agency is paying all moving expenses through IPOPS, the STARS report should not have any transactions data and not be useful.