What are the four types of international assignments?
In global mobility practice, international assignments are usually grouped into four basic types: short-term assignment, long-term assignment, commuter assignment and local plus. The first three are primarily distinguished by duration and travel structure, while local plus is first and foremost a compensation model. According to the KPMG Global Assignment Policies and Practices (GAPP) Survey 2020, companies typically run "a leading long-term assignment policy (typically defined as between 1-3 years)... short-term (typically defined between 91-364 days) and international commuter assignments (typically, weekly/bi-weekly)". Local plus only shows up in the GAPP framework as part of the catch-all "Other" category - an early signal that it is not a duration category at all, but a compensation variant.
For HR and global mobility teams, this distinction is not an academic exercise: it determines which contract type fits, how compensation is structured, and which follow-on tax and social security questions arise.
Short-term assignment in detail
A short-term assignment, per the KPMG GAPP Survey 2020, is "typically defined between 91-364 days", also summarised in the study policy overview as "less than 12 months". All Points Relocation draws a similar line: "We consider short-term assignments those that take place within less than a year".
Typical for this type is a clearly bounded project or a time-limited task in the host country, often without a full family relocation. Because the duration stays under a year, the person often remains on home-country payroll, while questions such as the 183-day rule still need to be checked separately - the mere label "short-term" does not replace that check.
Long-term assignment in detail
For a long-term or standard assignment, the KPMG GAPP Survey 2020 describes duration as "typically between 1-3 years" in its narrative text, and as "1 to 5 years" in the study policy table. All Points Relocation describes the long-term case as the counterpart to short-term: "a long-term assignment when the predetermined time is greater" than a year.
Long-term assignments are the classic full relocation case: often with family relocation, a dedicated assignment contract, and a structured compensation model such as the balance sheet approach, which keeps the person economically at home-country level. The long duration makes tax equalisation questions (hypotax, tax equalization or tax protection) and the 183-day rule practically unavoidable.
Commuter assignment in detail
The commuter assignment differs fundamentally from the two previous types: it is not primarily defined by a total duration, but by a recurring travel pattern. Per the KPMG GAPP Survey 2020, international commuter assignments are "typically, weekly/bi-weekly". All Points Relocation adds: "a commuter assignment happens when an employee lives a few days of the week in the country they work in and frequently returns to their home country... International commuters are not defined by a specific type or length of the assignment".
The person usually has no fixed residence in the host country, but commutes - unlike a classic cross-border commuter, typically over longer distances and by air travel rather than a daily commute. All Points Relocation also uses the term "Extended Business Travel" (EBT) for setups that are not meant to turn into a classic assignment but still involve regular stays abroad - here too, the 183-day rule remains the decisive test for tax liability.
Local plus in detail
Local plus falls outside the duration logic of the first three types: it is not a time period but a compensation model, under which the person is paid a salary based on the host-country structure, topped up with selected additional benefits. Mercer Mobility Exchange frames the contrast like this: "We traditionally contrast the home-based/balance sheet approach (maintaining a link with the home country salary) against the local or host approach (aligning an assignee is salary with the local host pay structure)... host approaches have gained popularity - especially in the form of local plus packages combining a locally based salary with additional expatriation-related benefits".
A second Mercer analysis specifies typical use cases: "Local Plus packages are typically offered to international assignees and comprise locally delivered pay and/or benefits in addition to some items that are not usually available to local staff... The option is used most often when localising expats, for permanent transfers and locally hired foreign nationals". Because local plus is primarily a compensation question rather than a duration category, it can in principle apply to long-term assignments as well as permanent transfers. The detailed comparison of local plus against the classic balance sheet approach - including a comparison table covering salary, contracting party, tax and social security - is covered in the separate article Balance sheet approach vs. local plus.
The four assignment types compared
| Feature | Short-term | Long-term | Commuter | Local plus |
|---|---|---|---|---|
| Classification basis | Duration | Duration | Travel pattern | Compensation model |
| Typical duration | 91-364 days / under 12 months | 1-3 years (up to 5 years in some policies) | No fixed period, weekly/bi-weekly | Variable, often open-ended or permanent |
| Host-country residence | Usually no full relocation | Often full relocation incl. family | No fixed residence, regular commuting | Usually full relocation, local contract |
| Contracting party | Home-country employer | Home-country employer, assignment contract | Home-country employer | Host-country entity, local contract |
| Compensation logic | Home-country salary, usually without full expat allowances | Home-country salary plus equalisation allowances (balance sheet) | Home-country salary plus travel costs | Host-country salary plus selected additional benefits |
What this means for companies
For HR and global mobility teams, classifying an assignment into one of these four types is the foundation for every follow-on decision: contract type, compensation model, tax equalisation, and checking social security and the 183-day rule. Crucially, the types are not mutually exclusive or clearly separated in practice - a long-term assignment can well be combined with a local plus compensation model, and an assignment originally planned as "short-term" can effectively become a long-term assignment if it gets extended. The label alone never replaces a case-by-case review, especially for tax and social security matters.
For documentation, this means: for each person, it should be traceable which assignment type applies, which compensation model is in place, and how long the assignment is actually planned or has already run - precisely because the classification can shift over time. Tools such as premote help capture assignment type, contract type and compensation model per international assignment in a structured way in the system - as a basis for clean reporting and compliance processes, not as a substitute for case-specific advice from tax counsel or an in-house mobility specialist.
FAQ
What is the difference between a short-term and a long-term assignment?
The duration: a short-term assignment is typically defined as 91 to 364 days or under 12 months, while a long-term assignment usually runs between 1 and 3 (sometimes up to 5) years.
What is a commuter assignment?
In a commuter assignment, the person travels back and forth between home and host country regularly, typically weekly or bi-weekly, without a fixed residence in the host country. It is defined by this travel pattern rather than by a fixed total duration.
Is local plus its own duration category?
No. Local plus is primarily a compensation model under which a host-country salary is paid along with selected additional benefits. It can in principle be combined with different assignment durations, most commonly with permanent transfers.
Can a short-term assignment turn into a long-term assignment?
Yes. If an assignment originally planned as short gets extended, its classification effectively shifts to long-term - with corresponding consequences for compensation, tax equalisation and the 183-day rule check.
Where can I find the comparison between the balance sheet approach and local plus?
The detailed comparison of the two compensation models - including a comparison table covering salary, contracting party, tax and social security - is covered in the separate article Balance sheet approach vs. local plus.
The information provided on this website does not constitute legal advice and is not intended to address legal questions or issues that may arise in an individual case. The information on this website is general in nature and is for informational purposes only. If you need legal advice for your individual situation, you should seek the advice of a qualified attorney.