Per Diem Policy Example: A Sample Template

Here is a sample per diem policy framework that companies of any size can adapt. It mirrors the GSA structure to keep reimbursements inside the tax-free limit.

Policy scope and purpose

This policy covers all employees and contractors who travel on company business overnight or for a full day away from their primary work location. It replaces the need to submit meal receipts for trips that fall within the daily limits.

Daily allowances

• Lodging: reimbursed at the actual cost up to the current GSA lodging rate for the destination city and travel month.
• Meals & incidentals (M&IE): reimbursed at the GSA M&IE rate for the destination city.
• First and last day of travel: M&IE is paid at 75% of the full daily rate.
• Standard CONUS rate applies to any destination not separately listed by GSA.

What per diem does not cover

• Alcohol and entertainment — reimbursed separately with manager approval.
• Meals at your primary work location on a non-travel day.
• Commuting from home to the office.

Claim submission requirements

• Submit an expense report within 30 days of the trip end date.
• Include: destination, dates of travel, and business purpose.
• Attach the hotel receipt for lodging.
• Meal receipts are not required when claiming the GSA M&IE rate.

Approval workflow

Expense reports must be approved by the traveller's direct manager. Trips with lodging that exceeds the GSA rate require VP-level approval in advance. Unapproved expenses above the policy limit will not be reimbursed.

Rates and tools

Employees can look up the GSA per diem rate for their destination and automatically calculate the trip total — including the 75% first-and-last-day M&IE rule — using PerDiemWise. Print the result and attach it to the expense report.