What is a Personal Salary Impact Statement and how is it used in Global Mobility?
This is information that an employer can offer an employee when relocating them from one location to another. This statement provides a sense of how the employee’s purchase power will be affected by the move.
Why is a Personal Salary Impact Statement important when relocating?
Personal Salary Impact Statements provide a transferee – international or domestic – with a clear explanation of how differences in income taxes and costs will financially affect the employee at his or her income and family size. By reviewing such a statement before initiating a move, both the employer and the employee will benefit from a better understanding of the true value of their new location’s compensation. With expectations aligned, the business can plan for higher success rates with international or domestic moves.