Tip of the Week: New Rules on Per Diems (6/14/99)

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	New Trend in Per Diems Financial Tip of the Week by Deloitte & Touche OnLine June 14, 1999

Federal employees get new rules. What's you're employer doing?

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Federal employees traveling on business and corporate employees whose firms use the General Services Administration’s per diem rates may find filling out their expense reports a bit more complex this year.

The GSA announced separate 1999 per diem rates for about 600 high- and low-cost cities and their suburbs and distinct in-season and off-season rates for tourist destinations.

The move – an attempt to establish reasonable travel rates for federal employees who will spend about 21 million travel nights on the road this year – allows the GSA to fine-tune per diem levels. For example, federal workers traveling to Arlington, Va., can expect a different per diem than those traveling to neighboring Washington, D.C. Similarly, travelers to Palm Springs, Calif., will receive different rates depending on the season in which they travel.

What’s more, for the first time 1999 rates do not include an allowance for taxes, which will be paid separately from the room rate based on the actual tax expense incurred.

Despite all the tweaking, standard per diem rates for the continental United States did not change. The standard lodging per diem is still $50 and the per diem for meals and incidental expenses is $30. For more details on 1999 per diem rates see the travel section at www.govexec.com.