What is a meal per diem?

The meal per diem is a rate set by the federal government that includes meals and incidentals and is referred to as the daily "meals and incidental expenses (M&IE) rate." Travelers are reimbursed using the M&IE rate that is in effect on the dates of travel, based on the location of the night's lodging. Included in the per diem are meals, beverages, taxes, and tips (meal, hotel personnel, parking valet). Tips associated with transportation (taxi, limo) are NOT part of the per diem and will be reimbursed to the traveler in addition to the per diem.

Can I use the per diem method for a one-day trip?

No. You must use the receipt method and submit receipts for all meals for a one-day trip. Use of the per diem method requires an overnight stay as it is based on the location of the night's lodging.

Where can I find the per diem rates for domestic and foreign travel?

The IRS sets the per diem rates and they are updated at various times. The rate you use is based on the dates of travel, not the date you are preparing the reimbursement.

 Find Per Diem Rates

Can I still claim per diem if I host a business meal or if I have meals provided at a conference?

The per diem method may be used, but you must reduce the per diem amount for that day as explained above. For example, if you host a business lunch, that day's per diem must be reduced by 20%, and the full amount of the hosted business meal will be reimbursed. This meal must be supported by an itemized receipt. Make sure to note the business purpose of the hosted meal and include the names of the individuals in attendance. Any alcohol purchased during the business meal must be coded as federal unallowable.

The online Travel Reimbursement System will make the appropriate calculations for hosted meals for you.  If you are using the paper Travel Reimbursement form along with a payment request, you must remember to reduce the per diem for any hosted meals.

Are there any instances in which using the per diem would not be allowed?

The per diem method may not be used if the reimbursement does not meet the overall standards of an ordinary, necessary, and reasonable expense. For example, four employees are at a temporary foreign work site for several weeks. They share a rented apartment while at the work site. The M&IE rate for the location is $70/day. Absent other compelling evidence, the per diem method would not appear necessary and reasonable.

What is required if I elect to use the receipt method?

Using the receipt method, meals will be reimbursed based on actual cost to the traveler. Receipts must be provided for all meals, including those under $25. Any alcohol purchased must be coded with a federal unallowable object code.

Can a traveler elect to request reimbursement that is less than the per diem?

It is permissible to submit meal per diem requests that are less than the calculated amount based on the published maximum rate for meals and incidentals. However, remember that you may use only one method (per diem or actual receipt) per trip. To avoid confusion on reimbursements submitted on paper travel forms, please note on the reimbursement that the traveler has elected to submit a per diem claim for less than the published rate.

 TRANSPORTATION AND LODGING

May I claim personal vehicle mileage as well as gas for my personal vehicle for the same trip?

No. You may not claim both gas receipts and mileage for the same transportation on a trip. Reimbursement for business usage of personal vehicles is based on the IRS allowable reimbursement rate for business miles. This rate includes gasoline, oil, repairs, and insurance costs of operating a vehicle. Mileage will be reimbursed based on the most direct route to your destination. The IRS rate is updated each year.

 Find IRS Mileage Rates 

When is a limousine an acceptable mode of business travel?

When it is the most efficient and cost-effective method for the trip. A written justification must be included with the receipt.

How do I receive the parking discount at Tompkins County Airport when traveling on Cornell University business?

Present the signed ticket to the parking attendant with your ID and state that the travel was for Cornell business.

When staying at a private residence in lieu of a hotel will I be reimbursed for giving my host a gift?

Cornell will reimburse reasonable expenses for a token gift of appreciation for staying with someone in lieu of staying at a hotel.

Will frequent flyer miles be reimbursed?

No. University Policy 3.2, University Travel does not permit reimbursement for use of frequent flyer miles.

 FOREIGN TRAVEL

Are there any special restrictions on foreign travel?

If foreign travel exceeds one week, the IRS requires evidence that business activities constituted at least 75% of the total time away from home. You should document the daily business activities.

How do I account for mixed personal and business foreign travel?

If the foreign trip is primarily personal in nature, travel expenses are not deductible even though the taxpayer engages in some business activities while at the destination.

How do I calculate the exchange rate when submitting expenses for foreign travel?

The online Travel Reimbursement System assists in converting foreign currency to US dollars. If you are using the paper Travel Reimbursement form along with a payment request, you will perform the conversion there. The easiest way to do this is to use the Excel travel form and complete the "foreign worksheet" tab. Or, you can use the Foreign Expenses Report: Supplemental form. Either of these will allow you to list expenses and convert from local currency to U.S. dollars on a day-by-day basis.

 Get Paper Travel Reimbursement Forms

You may use an average exchange rate for an entire trip or the actual rate per day. Alternately, the university will accept a copy of the traveler's credit card statement if this shows that the traveler was charged more than the Oanda Conversion web site would indicate. Once you have all amounts translated into U.S. dollars, simply carry forward the category totals to the reimbursement.

 TRAVEL ADVANCES

When are travel advances provided?

Travel advances are generally provided:

• To a traveler ineligible to obtain a corporate card or one who has not yet obtained that card.
• To a traveler whose travel expense bill (airfare or conference registration, for example) is due before a trip has taken place. Note: Attach a copy of the credit card bill to the advance request form.
• To a traveler when the trip requires the use of traveler's checks.

How do I obtain a travel advance?

There are two ways to obtain a travel advance:

1. Use your corporate Diners Club card to take cash from an automated teller machine (ATM). You will need a personal identification number (PIN) for use in an ATM. To obtain a PIN, call Diners Club at 800-234-6377.
   
2. Complete and sign a Travel Advance Request Form , and if appropriate, attach a copy of any travel bill due. Give this to your Business Service Center.  A payment request must then be prepared and forwarded with backup to the Division for Financial Affairs (DFA). Allow at least 10 days from the date the backup is received at DFA for processing advances.
   

Will I be reimbursed for ATM fees?

Yes, Cornell will reimburse you for reasonable ATM fees related to cash advances taken out for Cornell business travel. Generally, these are about $6 per transaction (the exact amount will be noted on your credit card statement). Because only ATM fees that are related to Cornell travel are reimbursable, the dates of the fees must correspond to the dates of travel. You don't need to wait for your credit card statement to arrive in the mail to request reimbursement for these fees. You can go on line to your credit card account and print out a statement showing the fees so that you will be reimbursed at the same time as your other travel expenses.

How can I obtain Traveler's Checks?

• Traveler's checks can be obtained directly from a bank. If necessary, submit a Travel Advance Request Form  to your Business Service Center to obtain cash to purchase the traveler's checks.
  
• Tompkins Trust Company at the Cornell Store will issue traveler's checks to non-bank customers (we have been advised that they will only accept cash, Visa, or MasterCard).
  
• Cornell will reimburse you for fees for traveler's checks related to Cornell business travel.

If there is a balance due on my travel advance after all valid expenses have been claimed, may I just keep the difference?

No, any unused travel advances must be repaid to Cornell. Staff may repay advances by writing a check to Cornell and giving it to his or her unit to deposit.

Advance amounts must be cleared for the trip identified on the Advance Request form. You are not permitted to keep advances for future travel. Travelers who do not clear their advances in a timely manner may forfeit their privilege to receive advances. Uncleared advances may also be reported as taxable income for the traveler.

 General Reimbursement Request Questions 

When should my travel expenses be submitted?

Reimbursement requests should be submitted within 30 days of the completion of each trip.

Expenses for business travel occurring more than 6 months prior require

• an explanation of why the expense could not be submitted earlier, and
• signature/approval by your dean, director, department chair, or a direct designee.

How long does it take to process a travel reimbursement?

This will vary, as different units and service centers have different processes. The Division of Financial Affairs (DFA) guideline for processing checks or direct deposits is an allowance of ten (10) business days from the date the backup materials are received by DFA. If the reimbursement requires additional review (SFA, tax, etc.), or if the traveler is not in the vendor database, more time for processing may become necessary.

 Is my travel reimbursement taxable?

Generally, travel reimbursements to employees are not taxable. If, for some reason your reimbursement is taxable, you will be notified.

If I am billed for sales tax by a merchant/hotel, will I be reimbursed for the tax?

Whenever possible in New York State, show your Cornell ID and sales exempt certificate to vendors so that you are not charged sales tax. If you are not able to get an exemption, you may claim the full amount paid, including sales tax, for reimbursement.

What signatures are required for travel reimbursement?

All reimbursements require appropriate signature approval based on the total amount of the expenses. An authorized account signer can approve travel reimbursements with expenses up to $2,499. Travel reimbursements with expenses totaling $2,500 or more require a Level I or Level II signer.

The authorized signer of a travel reimbursement must not be a direct report to the traveler. Supervisors must review all travel, but their signatures are NOT required.

Additional approval is required in all of the following situations (this list is not exhaustive):

• The expenses are charged to an account requiring sponsor approval (budget or other restrictions and notification requirements)
• Spousal/companion travel
• Business expenses older than 6 months
• First or business class air travel not specifically permitted by the University Travel Policy.

Can faculty members submit a reimbursement request for expenses incurred while on sabbatical?

• Cornell does not reimburse for long-term lodging, meals, or daily transportation expenses incurred while a faculty member is traveling on sabbatical. 
• Expenses incurred during short-term business trips for research, conferences, and meetings during sabbatical or other extended leave can be reimbursed.
• Housing allowances and other living allowances should be processed through payroll as job-related expenses.

How should I handle tips when requesting travel expense reimbursement?

• If you elect to use the receipt method, all tips you pay may be claimed for reimbursement. These tips should be included in the category for the service with which they are associated (meal tips included in meals, hotel-related tips included in lodging, and transportation-related tips included in transportation). Tips do not need to be entered separately if they are included on the receipt for the service (e.g., meal tip).
• If you elect to use the per diem M&IE rate for meals and incidentals, you will NOT be reimbursed for tips for meals, hotel staff, parking valet, etc., because tips are included in the per diem rate.

 TRAVEL INSURANCE

What is the SOS Program?

Security Overseas Services (SOS) is a new medical and security assistance program that Cornell has secured for employees and students traveling abroad on university business. Services include both medical and security evacuation, e-mail alerts, and prompts about vaccinations and boosters. The university bears all costs of both programs with no charge to the employee or student who uses them. 

Who is covered under the SOS Program?

As long as you are on official university business, you are covered. No advance registration is required.

How do I access services provided by the SOS Program?

You need to carry your membership card with you at all times. Membership cards can be printed directly from the website for the Mario Einaudi Center for International Studies .

 More information on the SOS program is available on the following websites:

•  Risk Management  
•  Mario Einaudi Center for International Studies

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