Per Diem & Travel Allowances¶
Configure per diem rates for employee business travel reimbursement.
Accessing Per Diem Settings¶
- Click Admin in the sidebar
- Click Per Diem Settings
- Manage location-based rates
Admin Role Required
Only organization Admins can configure per diem rates.
What is Per Diem?¶
Per diem ("per day") rates are daily allowances for employees traveling on business:
- Lodging - Maximum reimbursable hotel rate per night
- M&IE - Meals & Incidental Expenses per day
GSA Rate Standards¶
Expensed follows GSA (General Services Administration) guidelines:
| Rule | Description |
|---|---|
| First/Last Day | 75% of M&IE rate |
| Meal Deductions | Reduce M&IE when meals are provided |
| Fiscal Year | Rates updated annually (October 1) |
Creating Per Diem Rates¶
Adding a New Rate¶
- Click Add Rate
- Enter rate details:
| Field | Description |
|---|---|
| Location | City and state (e.g., New York, NY) |
| Country | Country code (US, CA, GB, etc.) |
| Lodging Rate | Maximum per night |
| M&IE Rate | Daily meals allowance |
| Fiscal Year | Which year this rate applies |
| Effective From | When rate becomes active |
- Click Save Rate
Standard vs. Locality Rates¶
| Type | Description |
|---|---|
| Standard | Default rate for areas without special rates |
| Locality | Higher rate for high-cost cities |
Meal Deduction Guide¶
When employers provide meals, employees must deduct from their M&IE:
| Meal | Deduction |
|---|---|
| Breakfast | 20% of M&IE |
| Lunch | 30% of M&IE |
| Dinner | 50% of M&IE |
Example Calculation¶
For a city with $79 M&IE rate:
- Breakfast provided: Deduct $15.80 (20%)
- Lunch provided: Deduct $23.70 (30%)
- Dinner provided: Deduct $39.50 (50%)
Managing Existing Rates¶
Viewing Rates¶
All configured rates display in a grid showing:
- Location name and country
- Lodging rate per night
- M&IE rate per day
- Total daily rate
- Fiscal year
- Standard/Locality designation
Deleting Rates¶
- Find the rate in the grid
- Click the Delete button
- Confirm deletion
Country-Specific Rates¶
Expensed supports per diem for multiple countries:
| Country | Rate Type |
|---|---|
| United States | GSA rates |
| Canada | TBS rates |
| United Kingdom | HMRC rates |
| Germany | Federal travel rates |
| France | URSSAF rates |
| Japan | Government rates |
| Australia | ATO rates |
How Employees Use Per Diem¶
- Employee creates a travel expense
- Selects Per Diem category
- Enters travel dates and location
- System calculates reimbursement based on configured rates
- Applies first/last day rule automatically
Best Practices¶
- Update annually - Refresh rates after October 1st
- Add locality rates - High-cost cities need specific rates
- Set standard rate - Fallback for unlisted locations
- Train employees - Explain meal deduction requirements
- Document policies - Clear guidelines on per diem usage
Next: Tax & VAT Settings →