The Importance of Travel Authorization Requests in Per Diem Expense Reporting

When creating an expense report using per diems there are three possible scenarios.  These scenarios reflect the correct way to create an expense report compliant with current rules and regulations:

1. The lodging facility matches per diem rates. In this case the lodging facility, such as the hotel you stay in, can match the rate (Federal – GSA Rate).
2. The lodging facility rate is lower than the government issued rate. For example, the hotel or facility gave you a quotation which is lower than the government issued rate because of a special promotion or some other incentive.
3. The lodging facility rate is higher than the government issued rate. This is generally the case when there is a special event going on in the city.

A travel expense management program should be able to handle all three of these scenarios flawlessly. In scenarios two and three, travelling employee should let the management know about rates before the travel. Travel Authorization Requests (TARs) with proper approval workflows can provide that document and audit trail.

In web2expense TE users who are assigned to FEDERAL expense policy can use actual lodging expenses when a TAR document is created and approved before the trip. The travel authorization audit trail provides an easy mechanism to comply with IRS rules and regulations and handle complex business scenarios which may occur during your travel.

Contact web2expense sales to schedule a webinar and learn more.

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