Per Diem — Payroll Definition

Per Diem paystub meaning: A daily allowance for travel expenses (lodging, meals) — usually NOT taxable if within GSA rates. Codes: PER DIEM / PERDM.

A daily allowance for travel expenses (lodging, meals) — usually NOT taxable if within GSA rates.

Per diem ("per day" in Latin) is a daily allowance given to employees traveling for work. If the per diem rate is at or below the GSA (General Services Administration) rate for that location, it's generally not taxable and won't appear as income on your paystub. If it exceeds the GSA rate, the excess is taxable. For fiscal year 2026, the standard meals rate is $68/day for most cities (higher in major metros). Truck drivers have special per diem rules under DOT regulations.

Earnings lines should identify the applicable rate, hours or units, current amount, and year-to-date total. Reconcile them with time records, the pay period, the employment agreement, and the employer-issued statement.

When this term appears on a statement, read its label, current amount, year-to-date amount, pay-period context, and any adjacent rate or hours together. Resolve a mismatch with the original issuer or the cited authority rather than changing a record to force a preferred result.