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Employee Relocation to Lithuania Budget (Part I): 4 Inevitable Cost Lines


International relocation is a complex and expensive process involving many parties. Companies sometimes underestimate the cost and services it requires. We are here to advise you on the services you can not ignore when it comes to relocating your employees to Lithuania.


  1. MOVING & TRANSPORTATION COSTS This is one of the most expensive parts of international relocation. A moving company you hire will ask several questions before making a proposal. What is moved: Wether or not it includes furniture, special equipment or expensive items that have to be specially packaged and insured. Distance: The distance of the move is very important in estimating the costs. The greater the distance, the more expensive it is. Some countries are less well connected with Lithuania, so organising the move may incur higher cost Packing & Unpacking: Packing and unpacking personal belongings requires time and if you leave the task to the movers, they will charge you for the service. You may save some costs by preparing your packages yourself. Method of shipping and timing: It depends on the pick up point, but normally there are three ways to ship one’s belongings: by ship, by truck or by plane. The cheapest option is shipping by sea, whereas the most expensive one is by air. Trucks will almost always perform the pick-up and the delivery, regardless of the modes of transport used in between. Storage Costs & Time: Depending on the the traveling date and shipment date there may be additional service of storage needed. Customs Duty Charges & Taxes: depending on the move within the EU or outside the EU there may result in duty and taxes. There is not possible to know in advance the cost because it depends on goods being shipped. Typical budget: depending on the complexity of the move may be up to EUR 15,000 — 20,000

  2. LEGAL EXPENSES FOR VISA, WORK & RESIDENCE PERMIT Visas, residence and work permits and other customs documents can be filled on your own with an internet research using government website resources from home country and the destination country. However, many companies tend to hire a lawyer or the relocation company to fill in all the complex paperwork, instead of doing things themselves. It takes additional costs, but certainly ensures peace of mind and less mistakes. Typical budget: Depending on whether one is relocating from within or without the EU and the deadline, handling paperwork may cost between EUR 100 and EUR 300 per person Paperwork handling services may cost between EUR 1,000 and EUR 3,000.

  3. HOUSING COSTS One of the most important relocation service is finding housing in the new country. Depending on the country, the housing budget may include: Rent for an 85 m2 furnished apartment may vary from EUR 500 to EUR 900 per month. An income tax may apply in some cases. Security deposit is normally equivalent to 1-3 months of rent. One-off agency fee may apply, even if you find the property yourself: between EUR 100 and EUR 200. Utility bills for 1 month (heating, electricity, gas, etc.) may vary seasonally. The heating season starts in October and ends in April. Utility cost for an 85 m2 apartment may vary from EUR 90to EUR 300. Tip: for your own security, you may want to review the contract with a lawyer or a relocation expert to avoid misunderstandings when vacating the property. The service may cost up to EUR 150. Typical Budget: Depends entirely on the property size, location, neighbourhood and building type and mayadd up to EUR 12,000 a year

  4. FAMILY COSTS If your employee moves with her or his family, there will inevitably be the need to take care of the children. Due to a limited number of international schools in Lithuania, as well as their varying curricula, the variation of schooling costs may be significant. It is important to know the child’s previous schooling experience so she or he can continue in the same programme as in the home country. To be able to secure a spot in the right school, enrollment has to be arranged as early as possible. Typical Budget: Tuition may vary from EUR 6,000 to EUR 18,000 a year, depending on the level, school reputation, curricula and additional services.

#Lithuania #HumanResources #RelocationBudget #FinanceManager

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