Posts Tagged per diem

Photo by kainet

I was on a business trip recently with other members of my “team”.  When the subject of dinner came up, one of the members, who will remain nameless, suggested the Golden Arches.  That’s right, McDonalds.  He wanted to try to make money on the trip, and wanted to stretch his per diem to the max.  I should have seen this coming, because shortly after we checked in at the hotel, he ducked into a conference room, looking for free food and drink.

Per Diem - the 50 Cent tour

Per diem is latin for “per day”.  Different per diem rates are established for various cities of travel by the General Services Administration.  Obviously, New York City will have a higher per diem rate than Albany.  The per diem is supposed to cover your meal expenses, as your airline, rental car, and hotel are covered separately.  Some companies may require you to use a corporate credit card to pay for the per diem-covered meals;  my company is not that Draconian.  Not yet, anyway.

Gaming Your Per Diem

So, for each night that you’re away on business travel, you’re entitled to per diem.  Some people will try to stretch their return home so that they arrive just after midnight, in order to squeeze an extra day of per diem out of the company.  I would be careful when pulling this trick.  If your plane lands at the airport at 8:00 pm, and the ride home from the airport is a half an hour, you might raise some eyebrows when you submit your expense report.  Is it worth risking your reputation, and maybe your job, for an extra 50 bucks?

OK, break it up!

Some companies break the per diem up into breakfast, lunch, and dinner.  So, if you arrive in the evening at your destination, you’re entitled to the dinner allowance only.  If the company that you’re visiting provides you with lunch, you don’t get paid your lunch allowance.  Again, many people try to slip this past the expense report people.  Again, I wouldn’t risk my job for a lunch allowance.  And if you’re required to charge your meals to your corporate card, you don’t have a snowball’s chance in hell in getting away with this trick.

I’m not on the guest list?  There must be some mistake…

So, how do you maximize your per diem, legally?  Many hotels offer coffee and/or continental breakfasts to their guests.  These are undocumented on your hotel bill, and should not raise the eyebrows of the expense weenies.  You could follow my colleague’s lead, and wander into cocktail receptions hosted by other companies in your hotel.  He claims that he’s done this numerous times, and claims it’s a “networking” exercise.  Yeah, right.  He’s really after refreshments rather than new contacts.

“Meal money in Triple-A is $7.50 a day.  In the big leagues it’s $15.  I don’t know if they mean to have you eat half as much or half as well.” -Jim Bouton in Ball Four

So, to legally maximize your per diem, I would stick to lower-cost restaurants that provide quality food.  Or, bring along a few protein bars, and avoid eating breakfast out.  You’ll be eating healthier, passing up the starchy corn muffins and pancakes.  Your waistline will thank you for it.

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