Number: SOP-TVL-07
Subject: Multiple Travel Days Per Diem
Summary: How to account for travel days when it takes multiple days to reach a destination.
Source: University Procurement Services
Date of Issue: 10/04/2022
Rationale
Some trips, especially overseas trips with layovers, require multiple travel days to reach a destination. When this occurs, the Chrome River expense report must be updated to properly reflect per diem owed to the traveler.
Procedure
When traveling multiple days to reach a destination, per diem can be tricky. Travel day per diem is based on the last location lodged, not the trip destination or where the traveler spends the day. The scenario below illustrates an example of a trip with multiple travel days and how it is handled on the expense report.
Scenario
John Doe’s flight departs from Beijing, China on 9/1/22 at 10pm. John’s flight lands in Los Angeles, CA on 9/2/22 at 6pm. John has a 5-hour layover, then boards a flight for Indianapolis, IN at 11pm on 9/2/22.
John arrives in Indianapolis, IN on 9/3/2022 at 7am. John checks into a hotel room from 9/3/22-9/6/22 in Bloomington, IN.
At 9pm on 9/6/22, John departs Indianapolis, IN and arrives in Los Angeles, CA at 3am on 9/7/22. John immediately departs Los Angeles for Beijing, China, and arrives at 4pm on 9/7/22.
9/1 | 9/2 | 9/3 | 9/4 | 9/5 | 9/6 | 9/7 |
Travel Day Per Diem | Travel Day Per Diem | Regular Per Diem | Regular Per Diem | Regular Per Diem | Travel Day Per Diem | Travel Day Per Diem |
Beijing | Beijing | Bloomington | Bloomington | Bloomington | Bloomington | Bloomington |
Per diem on 9/1 and 9/2 are calculated using the rate for Beijing, China, because this is the location John last lodged, even though he was physically traveling to Bloomington, IN.
Similarly, per diem on 9/6 and 9/7 are calculated using the rate for Bloomington, IN because John last lodged in Bloomington prior to returning to Beijing, China.
On the expense report in Chrome River, two Per Diem Wizard entries should be added: one for Beijing, China, and another for Bloomington, IN.
Both entries for Beijing will automatically be calculated at the reduced travel day rate, which is correct.
The entries for Bloomington, IN must be updated. The first day, 9/3, the Travel Day box should be unchecked. Additionally, the Travel Day box for 9/6 should be checked. This ensures John receives the full per diem pay for 9/3 and the reduced, travel day rate, for 9/6.
Definitions
- Travel Day:
- The day it takes to travel from starting point, to business destination, and the day it takes to travel from business destination, back to starting point.
- Multiple Travel Days:
- When it takes more than one day to travel from starting point, to business destination, and back (frequent in international trips with flight layovers.
- Per diem:
- Rate reimbursed for meals and incidental expenses while traveling on business for 12 hours or more.
- Per diem Travel Day:
- Paid at a rate of 75% of the daily per diem allowance.