In Germany, employees are entitled to per diems to cover for the costs of meals and overnight expenses incurred during business trips.

Per diem allowances are not considered part of an employee's salary and can be received tax-free up to a certain limit.

The specific per diem allowance to be received by an employee is calculated based on the duration of the trip, regardless of the location of departure - whether it be their home, primary place of work, or another location - and taking as a reference the rates defined by Germany’s Federal Ministry of Finance.

For domestic trips, the rates established to cover for the costs of meals are the following:

For business trips lasting more than 24 hours, the standard per diem rate applies for all days, except for the first and last days of the trip. On those days, a reduced meal allowance rate is applied.

In addition, for multi-day trips, an allowance to cover for overnight accommodation may apply. However, in practice, the overnight allowance is often arranged and fully covered by the employer.

For international trips, the same rules as for domestic trips apply. However, the rates of reimbursement may differ significantly across countries or cities. The full list of rates established by Germany’s Federal Ministry of Finance can be found here.

If the employer pays for meals on the trip, the meal daily allowance will be reduced according to the percentages established by German regulation. The specific percentage deducted depends on the meal provided:

⚠️ Important note: As established by German regulation (section 9, paragraph 4), meal deductions are always applied as a percentage of the full meal allowance for the day, even for those days in which the partial rate applies.