What Is Per Diem and How Does It Work for Business Travel?

The article explains the concept, types, and operation of per diem. Per diem is a daily allowance or reimbursement limit provided to employees for business travel, covering lodging, meals, and incidentals. Companies can choose fixed allowances, reimbursable limits, or a mixed model. Tools like SAP Concur automate calculations and compliance checks, supporting country-specific configurations. The article also discusses pre-approvals, international travel considerations, and best practices.