The high cost areas for relos were redefined as of April 2010. Many of the areas that previously qualified for housing assistance no longer qualify. The formula was changed and is now based upon the the percent above median home value of the home being sold.
Do salary bands follow the same trend? If so, what should we expect?
I'm pretty sure that the formula always went on % above the median home price. "Farm Aid" always had that calculation as far as I know.
I don't know what areas realigned for high cost areas as far as relos go. I also don't remember if when they realign high cost relo areas, they also change the salary areas.
There are really very few salary areas. Ga is in a low salary band. NJ and CA are in a high salary band. About 3 years ago, they realigned areas and some buildings moved from higher bands to a lower one, etc. When that happens, there is no associated change in salary (unless someone if below the min).
I'm looking at the 2010 salary bands. The high end of the range is about 17% above the mid point. There was talk about reducing the number of grades and widening the bands. Not sure how that would work, but I have seen evidence of their restructuring.
In general, salary bands have moved up about 2.85% each year. There is also a lot of overlap between the areas.
I don't think that changing the relo areas can affect this. About February, they start sending out all the info. I will see then.
