Do you need to keep receipts for per diem rates in Australia?

In general, employees do not need to keep or return receipts to collect per diem rates in Australia. A few exceptions exist: A travel business report can make it easier to manage larger, international trips under Australian per diem rules. Here’s how to make a business travel report.

Are per diems taxable in Australia?

Per diem rates are not taxable in Australia as long as they fall within the ATO’s reasonable amounts (listed above). An employer may choose to provide a higher per diem rate for employees, but the amount above the set per diem rate is considered taxable income.

How are per diem rates paid in Australia?

Per diem rates are typically paid in advance as a travel allowance. Alternatively, the employer can provide a per diem rate reimbursement once the employee has returned from their trip.

Do you need to keep receipts for per diem rates in Australia?

In general, employees do not need to keep or return receipts to collect per diem rates in Australia. A few exceptions exist: A travel business report can make it easier to manage larger, international trips under Australian per diem rules. Here’s how to make a business travel report.

Are per diems taxable in Australia?

Per diem rates are not taxable in Australia as long as they fall within the ATO’s reasonable amounts (listed above). An employer may choose to provide a higher per diem rate for employees, but the amount above the set per diem rate is considered taxable income.

How are per diem rates paid in Australia?

Per diem rates are typically paid in advance as a travel allowance. Alternatively, the employer can provide a per diem rate reimbursement once the employee has returned from their trip.

Per Diem Rates in Australia (2025-2026): A Guide for Business Travel

07 Aug 2024 · 4 MIN READ

Last updated: February 2026

Per diem rates are one of the simplest ways to compensate employees for business travel. Understanding how they work can make business travel easier for your company and make sure you stay tax-compliant.

Here’s what you need to know.

What are per diem rates?

With per diem rates, the employer pays the employee a fixed amount to cover expenses and incidentals for business travel. “Per diem” means “per day,” so most per diem rates are set as a daily allowance.

Per diem rates may be used alongside travel reimbursements, or they may be used independently. A major benefit of per diem rates is that it allows the employee to cover business travel costs without having to keep every receipt.

How are per diem rates calculated in Australia?

For Australian employees, per diem rates are managed by the ATO (Australian Taxation Office). Per diem allowance rates are calculated based on:

the employee’s salary
the length of time the employee is traveling
where the employee is traveling

Since travel and living costs can vary significantly across Australia, the ATO provides different per diem rates for high-cost country centres compared to regional areas.

What’s covered by per diem rates in Australia

Per diem rates in Australia can be used to cover:

accommodation in commercial establishments (domestic travel only)
meals and drinks that fall within the time of travel
incidental travel expenses (i.e. fees and tips and other small purchases that are necessary business expenses)

What’s not covered by per diem rates in Australia

Per diem rates generally do not cover transportation (i.e. flights, rental cars). If accommodation is provided by the employer, the employee cannot also claim accommodation amounts for per diem rates.

How much is per diem in Australia?

Per diem rates in Australia vary based on your income and the area you’re traveling to.

The salary bands are broken into three tiers:

Tier 1: for salaries of $148,250 or less.
Tier 2: for salaries between $148,251 and $263,850.
Tier 3: for salaries of $263,851 or more

Source: ato.gov.au .

Here’s how per diem rates shake out for Australia’s biggest cities, based on salary tiers.

Per diem rates in Sydney, NSW

Per Diem Rates Sydney (2025-2026)

Salary Band

Accommodations

Meal Allowance

Incidentals

Daily total (max)

Tier 1

$223

Breakfast: $34.75 Lunch: $39.10 Dinner: $66.65

$24.50

$388

Tier 2

$297

Breakfast: $37.85 Lunch: $53.45 Dinner: $75.00

$35.05

$498.35

Tier 3

$297

Breakfast: $42.15 Lunch: $59.60 Dinner: $83.40

$35.05

$517.20

Per diem rates in Canberra

Per Diem Rates Canberra (2025-2026)

Salary Band

Accommodations

Meal Allowance

Incidentals

Daily total (max)

Tier 1

$178

Breakfast: $34.75 Lunch: $39.10 Dinner: $66.65

$24.50

$343

Tier 2

$246

Breakfast: $37.85 Lunch: $53.45 Dinner: $75.00

$35.05

$447.35

Tier 3

$246

Breakfast: $42.15 Lunch: $59.60 Dinner: $83.40

$35.05

$466.20

Per diem rates in Melbourne, VIC

Per Diem Rates Melbourne (2025-2026)

Salary Band

Accommodations

Meal Allowance

Incidentals

Daily total (max)

Tier 1

$173

Breakfast: $34.75 Lunch: $39.10 Dinner: $66.65

$24.50

$338

Tier 2

$231

Breakfast: $37.85 Lunch: $53.45 Dinner: $75.00

$35.05

$432.35

Tier 3

$265

Breakfast: $42.15 Lunch: $59.60 Dinner: $83.40

$35.05

$485.20

Per diem rates in Adelaide, SA

Per Diem Rates Adelaide (2025-2026)

Salary Band

Accommodations

Meal Allowance

Incidentals

Daily total (max)

Tier 1

$158

Breakfast: $34.75 Lunch: $39.10 Dinner: $66.65

$24.50

$323

Tier 2

$211

Breakfast: $37.85 Lunch: $53.45 Dinner: $75.00

$35.05

$412.35

Tier 3

$211

Breakfast: $42.15 Lunch: $59.60 Dinner: $83.40

$35.05

$431.20

Per diem rates in Brisbane, QLD

Per Diem Rates Brisbane (2025-2026)

Salary Band

Accommodations

Meal Allowance

Incidentals

Daily total (max)

Tier 1

$181

Breakfast: $34.75 Lunch: $39.10 Dinner: $66.65

$24.50

$346

Tier 2

$257

Breakfast: $37.85 Lunch: $53.45 Dinner: $75.00

$35.05

$458.35

Tier 3

$257

Breakfast: $42.15 Lunch: $59.60 Dinner: $83.40

$35.05

$477.20

Per diem rates in Perth, WAS

Per Diem Rates Brisbane (2024)

Salary Band

Accommodations

Meal Allowance

Incidentals

Daily total (max)

Tier 1

$180

Breakfast: $33.90 Lunch: $38.10 Dinner: $64.95

$23.95

$340.90

Tier 2

$245

Breakfast: $36.90 Lunch: $52.10 Dinner: $73.10

$34.25

$441.35

Tier 3

$265

Breakfast: $41.10 Lunch: $58.10 Dinner: $81.30

$34.25

$479.75

Per diem accommodation rates in Australia

For other cities in Australia, per diem rates for meals and incidentals remain the same across salary bands, while accommodation rates vary.

Here are per diem accommodation rates for some common country centres. See the ATO for full list of country centres and per diem accommodation rates .

Per diem rates for international business travel

For international business travel , per diem rates are set by income tiers and destination. With overseas travel, accommodation expenses are always accounted for separately.

Alternatively, employers can use a business travel booking platform like Perk to easily book, manage, and expense employee’s overseas accommodations and other travel expenses.

For meals and incidental expenses, countries are split into six cost groups. Here’s how the per diem rates break down.

Per diem rates for international business travel, Tier 1 Salary:

Cost group

Meals

Incidentals

Total

$75

$25

$100

$110

$30

$140

$150

$35

$185

$195

$35

$230

$235

$40

$275

$280

$45

$325

Per diem rates for international business travel, Tier 2 Salary:

Cost group

Meals

Incidentals

Total

$95

$25

$120

$130

$35

$165

$175

$40

$215

$45

$260

$290

$50

$340

$360

$50

$410

Per diem rates for international business travel, Tier 3 Salary:

Cost group

Meals

Incidentals

Total

$120

$30

$150

$180

$40

$220

$230

$45

$275

$290

$50

$340

$365

$60

$425

$415

$60

$475

Cost groups by country

Austria

Belgium

Canada

Chile

China

Denmark

Egypt

Fiji

France

French Polynesia

Germany

Greece

Hong Kong

India

Indonesia

Ireland

Japan

Korea Republic

Malaysia

Morocco

Netherlands

New Zealand

Philippines

Qatar

Singapore

South Africa

Switzerland

Taiwan

United Kingdom

United States of America

Making business travel easier

Per diem rates are an excellent way to reimburse employees for the costs of business travel while reducing administrative burden for employees, management, and finance teams.

Since per diem rates won’t cover every expense, you can further reduce administrative burden by managing employee travel through a travel management platform. With a travel booking platform on your side, your employees can book, expense, and manage travel faster than ever.

FAQs on Australian Per Diem Rates

: In general, employees do not need to keep or return receipts to collect per diem rates in Australia. A few exceptions exist:

For international business trips, all accommodation must be fully substantiated with receipts or other documentation. Your company can then provide reimbursement for the actual expenses.
For international trips lasting longer than six nights in a row, records or receipts must be kept to verify expenses, even if you’re being reimbursed based on per diem rates.
If an employee spends more than the “reasonable daily rates” set by the ATO and would like to claim the higher amount, they need to keep and present receipts.

A travel business report can make it easier to manage larger, international trips under Australian per diem rules. Here’s how to make a business travel report .
: Per diem rates are not taxable in Australia as long as they fall within the ATO’s reasonable amounts (listed above). An employer may choose to provide a higher per diem rate for employees, but the amount above the set per diem rate is considered taxable income.
: Per diem rates are typically paid in advance as a travel allowance. Alternatively, the employer can provide a per diem rate reimbursement once the employee has returned from their trip.

Written by

Nick Roberts

Growth Marketing Director

Nick Roberts is Growth Marketing Director at Perk, where he brings deep experience from high-growth tech to the world of business travel. With a sharp commercial lens, he’s focused on helping modern companies travel better.

Last updated: February 2026

Here’s what you need to know.

What are per diem rates?

How are per diem rates calculated in Australia?

For Australian employees, per diem rates are managed by the ATO (Australian Taxation Office). Per diem allowance rates are calculated based on:

the employee’s salary
the length of time the employee is traveling
where the employee is traveling

Since travel and living costs can vary significantly across Australia, the ATO provides different per diem rates for high-cost country centres compared to regional areas.

What’s covered by per diem rates in Australia

Per diem rates in Australia can be used to cover:

accommodation in commercial establishments (domestic travel only)
meals and drinks that fall within the time of travel
incidental travel expenses (i.e. fees and tips and other small purchases that are necessary business expenses)

What’s not covered by per diem rates in Australia

How much is per diem in Australia?

Per diem rates in Australia vary based on your income and the area you’re traveling to.

The salary bands are broken into three tiers:

Tier 1: for salaries of $148,250 or less.
Tier 2: for salaries between $148,251 and $263,850.
Tier 3: for salaries of $263,851 or more

Source: ato.gov.au .

Here’s how per diem rates shake out for Australia’s biggest cities, based on salary tiers.

Per diem rates in Sydney, NSW

Per Diem Rates Sydney (2025-2026)

Salary Band

Accommodations

Meal Allowance

Incidentals

Daily total (max)

Tier 1

$223

Breakfast: $34.75 Lunch: $39.10 Dinner: $66.65

$24.50

$388

Tier 2

$297

Breakfast: $37.85 Lunch: $53.45 Dinner: $75.00

$35.05

$498.35

Tier 3

$297

Breakfast: $42.15 Lunch: $59.60 Dinner: $83.40

$35.05

$517.20

Per diem rates in Canberra

Per Diem Rates Canberra (2025-2026)

Salary Band

Accommodations

Meal Allowance

Incidentals

Daily total (max)

Tier 1

$178

Breakfast: $34.75 Lunch: $39.10 Dinner: $66.65

$24.50

$343

Tier 2

$246

Breakfast: $37.85 Lunch: $53.45 Dinner: $75.00

$35.05

$447.35

Tier 3

$246

Breakfast: $42.15 Lunch: $59.60 Dinner: $83.40

$35.05

$466.20

Per diem rates in Melbourne, VIC

Per Diem Rates Melbourne (2025-2026)

Salary Band

Accommodations

Meal Allowance

Incidentals

Daily total (max)

Tier 1

$173

Breakfast: $34.75 Lunch: $39.10 Dinner: $66.65

$24.50

$338

Tier 2

$231

Breakfast: $37.85 Lunch: $53.45 Dinner: $75.00

$35.05

$432.35

Tier 3

$265

Breakfast: $42.15 Lunch: $59.60 Dinner: $83.40

$35.05

$485.20

Per diem rates in Adelaide, SA

Per Diem Rates Adelaide (2025-2026)

Salary Band

Accommodations

Meal Allowance

Incidentals

Daily total (max)

Tier 1

$158

Breakfast: $34.75 Lunch: $39.10 Dinner: $66.65

$24.50

$323

Tier 2

$211

Breakfast: $37.85 Lunch: $53.45 Dinner: $75.00

$35.05

$412.35

Tier 3

$211

Breakfast: $42.15 Lunch: $59.60 Dinner: $83.40

$35.05

$431.20

Per diem rates in Brisbane, QLD

Per Diem Rates Brisbane (2025-2026)

Salary Band

Accommodations

Meal Allowance

Incidentals

Daily total (max)

Tier 1

$181

Breakfast: $34.75 Lunch: $39.10 Dinner: $66.65

$24.50

$346

Tier 2

$257

Breakfast: $37.85 Lunch: $53.45 Dinner: $75.00

$35.05

$458.35

Tier 3

$257

Breakfast: $42.15 Lunch: $59.60 Dinner: $83.40

$35.05

$477.20

Per diem rates in Perth, WAS

Per Diem Rates Brisbane (2024)

Salary Band

Accommodations

Meal Allowance

Incidentals

Daily total (max)

Tier 1

$180

Breakfast: $33.90 Lunch: $38.10 Dinner: $64.95

$23.95

$340.90

Tier 2

$245

Breakfast: $36.90 Lunch: $52.10 Dinner: $73.10

$34.25

$441.35

Tier 3

$265

Breakfast: $41.10 Lunch: $58.10 Dinner: $81.30

$34.25

$479.75

Per diem accommodation rates in Australia

For other cities in Australia, per diem rates for meals and incidentals remain the same across salary bands, while accommodation rates vary.

Here are per diem accommodation rates for some common country centres. See the ATO for full list of country centres and per diem accommodation rates .

Per diem rates for international business travel

For international business travel , per diem rates are set by income tiers and destination. With overseas travel, accommodation expenses are always accounted for separately.

Alternatively, employers can use a business travel booking platform like Perk to easily book, manage, and expense employee’s overseas accommodations and other travel expenses.

For meals and incidental expenses, countries are split into six cost groups. Here’s how the per diem rates break down.

Per diem rates for international business travel, Tier 1 Salary:

Cost group

Meals

Incidentals

Total

$75

$25

$100

$110

$30

$140

$150

$35

$185

$195

$35

$230

$235

$40

$275

$280

$45

$325

Per diem rates for international business travel, Tier 2 Salary:

Cost group

Meals

Incidentals

Total

$95

$25

$120

$130

$35

$165

$175

$40

$215

$45

$260

$290

$50

$340

$360

$50

$410

Per diem rates for international business travel, Tier 3 Salary:

Cost group

Meals

Incidentals

Total

$120

$30

$150

$180

$40

$220

$230

$45

$275

$290

$50

$340

$365

$60

$425

$415

$60

$475

Cost groups by country

Austria

Belgium

Canada

Chile

China

Denmark

Egypt

Fiji

France

French Polynesia

Germany

Greece

Hong Kong

India

Indonesia

Ireland

Japan

Korea Republic

Malaysia

Morocco

Netherlands

New Zealand

Philippines

Qatar

Singapore

South Africa

Switzerland

Taiwan

United Kingdom

United States of America

Making business travel easier

Per diem rates are an excellent way to reimburse employees for the costs of business travel while reducing administrative burden for employees, management, and finance teams.

FAQs on Australian Per Diem Rates

: In general, employees do not need to keep or return receipts to collect per diem rates in Australia. A few exceptions exist:

For international business trips, all accommodation must be fully substantiated with receipts or other documentation. Your company can then provide reimbursement for the actual expenses.
For international trips lasting longer than six nights in a row, records or receipts must be kept to verify expenses, even if you’re being reimbursed based on per diem rates.
If an employee spends more than the “reasonable daily rates” set by the ATO and would like to claim the higher amount, they need to keep and present receipts.

A travel business report can make it easier to manage larger, international trips under Australian per diem rules. Here’s how to make a business travel report .
: Per diem rates are not taxable in Australia as long as they fall within the ATO’s reasonable amounts (listed above). An employer may choose to provide a higher per diem rate for employees, but the amount above the set per diem rate is considered taxable income.
: Per diem rates are typically paid in advance as a travel allowance. Alternatively, the employer can provide a per diem rate reimbursement once the employee has returned from their trip.

Written by

Nick Roberts

Growth Marketing Director

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Per Diem Rates in Australia (2025-2026): A Guide for Business Travel

What are per diem rates?

How are per diem rates calculated in Australia?

What’s covered by per diem rates in Australia

What’s not covered by per diem rates in Australia

How much is per diem in Australia?

Per diem rates in Sydney, NSW

Per diem rates in Canberra

Per diem rates in Melbourne, VIC

Per diem rates in Adelaide, SA

Per diem rates in Brisbane, QLD

Per diem rates in Perth, WAS

Per diem accommodation rates in Australia

Per diem rates for international business travel

Cost groups by country

Making business travel easier

FAQs on Australian Per Diem Rates

What are per diem rates?

How are per diem rates calculated in Australia?

What’s covered by per diem rates in Australia

What’s not covered by per diem rates in Australia

How much is per diem in Australia?

Per diem rates in Sydney, NSW

Per diem rates in Canberra

Per diem rates in Melbourne, VIC

Per diem rates in Adelaide, SA

Per diem rates in Brisbane, QLD

Per diem rates in Perth, WAS

Per diem accommodation rates in Australia

Per diem rates for international business travel

Cost groups by country

Making business travel easier

FAQs on Australian Per Diem Rates

Make business travel simpler. Forever.

Suggested articles

How flexible booking can lower your business travel costs

Consolidator fares vs. published fares: The key differences for business travel

Reducing indirect costs through better UX