GSA: Per diem rates for federal employees to increase this fall

The General Services Administration announced last week that rates for housing, meals and other incidental expenses will increase in fiscal year 2025.

Each year, GSA updates the reimbursement rates it offers federal employees traveling on business, based on the average daily rate at hotels in each region of the continental United States. Effective Oct. 1, the agency said it will increase the base rate for lodging from $107 to $110 per night.

That $3 increase is significantly smaller than the $9 jump GSA announced for fiscal year 2024 as the government acquisition agency tried to address inflation. But unlike last year, when meal and other incidental expense reimbursements stayed the same, GSA will increase meal and incidental expense reimbursements from $59 to $68 this fall. And starting Oct. 1, nonstandard levels will increase from the current range of $59 to $79 to $68 to $92.

The increase in spending on meals and incidentals is the first since fiscal year 2022.

GSA also announced that on Oct. 1, it will remove a total of six nonstandard areas from its list of regions with higher housing costs and additional charges than the standard rate: Ft. Wayne, Ind.; Canton, Ohio; Mentor, Ohio; East Greenwich and Warwick, R.I.; Waco, Texas; and Wisconsin Dells, Wis. There will be 296 nonstandard areas in fiscal year 2025, the agency said.

GSA has made available a tool on its website that will allow federal employees to check per diem rates in the continental United States starting in October.