Hi,

I recently converted from being a contractor to a full time employee. My new employer is giving me a relocation reimbursement/bonus of $5,000. This will not be grossed up ---- meaning that I will have to pay taxes on it.
The salary that they have given me is $70K/year for this position in Florida. My wife and I will spend approximately $700 to visit FL to get an apartment before we move.

I have household goods in storage which I can move to Florida. I say 'can' because I won't be adversely affected if I throw them away (the items I have include a queen size bed, bed frame, 75 gallon fish tank, 25" TV and a ton of baseball cards --- these items cost ~ $1,200). The moving companies are asking for $1,800 for the 1,400 mile move.

Now that I've painted you the picture, allow me to pose my question:

What would be more financially beneficial for me (i.e. year end taxes, etc)?:

1) Move my HHGs and deduct the $1,800 moving cost.
2) Throw my HHGs away and just buy new stuff once I get to Florida.


Any help would greatly appreciated.