Note
This text does not replace legal advice from a tax advisor. It is intended solely as supporting information. For binding information, please contact your tax advisor or the responsible tax office.
At a glance
Per diems are fixed amounts that employers may grant to employees if they are absent from their primary workplace or home for more than 8 hours for business reasons.
In this article you will find useful information about per diems.
Overview
Per diems are fixed amounts that employers may grant to employees if they are absent from their primary workplace or home for more than 8 hours for business reasons.
This article explains the calculation logic for meal allowances and overnight allowances according to the current requirements of the German Federal Ministry of Finance (BMF).
Circula automatically calculates these allowances based on the travel data entered by users in the app. For more information, see the article “Submitting trips”.
Per diems for domestic trips within Germany
Note
This section will be updated as soon as official changes or new information are published by the German Federal Ministry of Finance.
You can find more information about travel expenses here.
When traveling for business within Germany, companies can reimburse meal allowances tax-free in the following amounts (as of June 2025: currently valid BMF guidelines):
Meal allowances
€14 allowance on the day of arrival:
For the first travel day, you receive a meal allowance of €14, regardless of the departure time, provided that you are traveling for business on that day.€14 allowance for absences of more than 8 hours:
For one-day trips without an overnight stay, an allowance of €14 applies if the total travel duration is more than 8 hours. Exactly 8 hours are not reimbursed.€28 allowance for full-day absences:
For full calendar days during the trip, excluding days of arrival or departure, as well as for travel days with 24 hours of absence, you receive €28.
Overnight allowance
€20 per overnight stay:
If accommodation was not provided or paid for by the company, an overnight allowance of €20 is granted.
Meal reductions
The meal allowance is reduced if meals were provided free of charge or billed separately during the trip:
Provided meal | Reduction rate | Calculation basis |
Breakfast | 20% (€5.60) | Full-day allowance (€28) |
Lunch | 40% (€11.20) | Full-day allowance (€28) |
Dinner | 40% (€11.20) | Full-day allowance (€28) |
Important!
Please note that the reduction amount is always calculated based on the total amount of a full-day allowance, even if it is the day of arrival or departure. If the combined reductions exceed the per diem entitlement in this case, the allowance for that day is set to €0.
Note
A business trip begins when the employee leaves their place of residence or primary workplace, such as the office, and ends when they return there.
A maximum of three months can be reimbursed for a single trip.
Example: Three-day business trip within Germany
An employee takes a three-day business trip. The trip is as follows:
Day 1 – Day of arrival
Departure: 6:30 p.m. from the place of residence
Entitlement: Half-day allowance, as more than 8 hours of absence are reached, including an overnight stay
Reimbursement: €14.00
Day 2 – Full-day stay with breakfast provided
Daily activity: Participation in a full-day customer workshop
Breakfast: Paid for by the employer
Entitlement: Full-day allowance (€28.00)
Reduction: 20% for breakfast provided → €5.60
Reimbursement: €28.00 – €5.60 = €22.40
Day 3 – Day of departure with breakfast and lunch provided
Meals: Breakfast and lunch were provided by the employer
Departure: After 6:00 p.m.
Entitlement: Half-day allowance (€14.00)
Reduction: 20% for breakfast + 40% for lunch = 60% of €28.00 = €16.80
Since the reduction is higher than the per diem entitlement (€14.00), the allowance for this day is set to €0.00.
Reimbursement: €0.00
Travel day | Allowance | Reductions | Reimbursement |
Day 1 | €14.00 half day | none | €14.00 |
Day 2 | €28.00 full day | €5.60 breakfast | €22.40 |
Day 3 | €14.00 half day | €16.80 breakfast & lunch | €0.00 |
Total | – | – | €36.40 |
Per diems for international trips
For international trips, the same basic requirements apply as for domestic trips with regard to meal allowances and reduction rules. However, the per diem amounts differ depending on the country and, where applicable, the city, based on the official requirements of the German Federal Ministry of Finance (BMF).
Special rules for cross-border travel days
Trip starts in Germany with a destination abroad:
If the destination country is reached before 12:00 a.m. local time, the meal allowance of the destination country already applies for that day.Travel day with multiple countries:
If you travel through multiple countries within one day, the allowance for the country in which you last stayed at the end of the day is applied.Travel between two international destinations:
The same allocation rules also apply to trips from one country abroad to another country abroad. The decisive factor is the country in which you last stayed during the day or where you stayed overnight.
Example: Two-day business trip to France, Paris
An employee takes a two-day business trip from Germany to Paris. The trip is as follows:
Day 1 – Arrival and conference attendance
Departure from Germany: 9:00 a.m.
Arrival in Paris: 11:30 a.m.
Daily activity: Participation in a conference
Accommodation: Not provided by the employer → entitlement to overnight allowance
Reimbursement:
Meal allowance, Paris, day of arrival: €39.00
Overnight allowance, Paris: €159.00
Day 1 total: €198.00
Day 2 – Return trip to Germany
Departure from Paris: In the morning
Arrival in Germany: 1:00 p.m.
Daily activity: Return trip
Entitlement: Half-day allowance, as the absence is more than 8 hours and Paris is the last place of stay
Reimbursement:
Meal allowance, Paris, day of departure: €39.00
Day 2 total: €39.00
Travel day | Allowance | Amount |
Day 1 | Meal allowance Paris | €39.00 |
- | Overnight allowance Paris | €159.00 |
Day 2 | Meal allowance Paris | €39.00 |
Total | - | €237.00 |
Note
The per diem amounts listed correspond to the valid rates of the German Federal Ministry of Finance (BMF) for the city of Paris. The actual amounts may vary depending on the year and the official BMF table.
Rules for trips with multiple destinations
Employees often visit several cities or countries during a business trip. The general rules for meal allowances apply here, but with one important special rule:
The per diem is always based on the location where the traveler stayed before 12:00 a.m. local time on the respective calendar day.
This rule is especially relevant when the per diem rates differ between destinations, for example for international trips or trips between major cities with separate BMF rates.
Example: Trip with multiple destinations
An employee travels from Paris to London and visits two cities with different allowance rates. The trip is as follows:
Start:
Paris on January 3, 11:00 a.m.Onward travel:
Departure from Paris and arrival in London on January 5, 6:00 p.m.Return to Germany:
January 7, 6:00 p.m.
Per diems, example values according to BMF rates:
Date | Place of stay | Travel day type | Per diem |
January 3 | Paris | Half travel day | €39 |
January 4 | Paris | Full stay day | €58 |
January 5 | London | Full stay day | €66 |
January 6 | London | Full stay day | €66 |
January 7 | London | Half travel day | €44 |
Total |
|
| €273 |
Note
The per diems used in this example are indicative values. The actual applicable rates are published regularly by the German Federal Ministry of Finance (BMF) and are always kept up to date in the Circula app. The calculation is performed automatically based on the specified travel destinations and times.
Do you still have questions?
Circula Compass - Your learning platform
💬 Chat Support
✉️️ More contact options