Per diem rates in Spain: a brief guide

Understanding the per diem rates Spain offers can help you manage travel expenses effectively. However, you probably have questions about how and when they can be applied, how they affect employees’ personal income tax, and how they vary by destination. Whether your employees are headed to France, Portugal, or Austria for their next business trip, we’re here to break down Spain’s per diem guidelines step-by-step.

What are per diem rates for business travel?

Per diem rates for business travel are predetermined allowances given to employees for business travel to cover accommodation, meals, and other incidental expenses. This approach reduces paperwork and simplifies expense management by removing the need for individual receipts.

Typically, government agencies establish these rates, taking into account factors such as local accommodation prices and cost of living. Rates can differ depending on the destination and sometimes the company's location, including key cities and business hubs.

Easily manage employee expenses and per diem allowances by creating your own travel and expense policy.

Are per diem rates mandatory?

No, employers don’t have to follow per diem rate guidelines. Companies can choose to follow per diem guidelines, have employees submit expense reports, or set their own budgets for specific expenses.

For instance, a company might adopt per diem rates for meals and incidental costs while following its own corporate travel policy rules for accommodation and flight expenses.

What expenses are covered by per diem rates for Belgium?

Per diem rates in Belgium can be used to cover:

Meals

Accommodation

Local transportation costs, drinks, snacks, tips, and costs for telecommunication

For both domestic and international trips, an overnight allowance can be added to the daily per diem if the employer does not cover the cost of the stay or there are no accommodation expenses (e.g., staying with a friend, family, or in a company apartment).

What expenses are covered by per diem rates in Spain?

Per diem rates in Spain can be used to cover:

Meals

Lodging expenses in restaurants, hotels, and other hospitality establishments

Public transport for travel to work outside the usual workplace

Mileage, parking, and toll expenses when employees use private vehicles

What expenses are not covered by per diem rates in Spain?

Aside from private vehicle use and public transport expenses, per diem rates in Spain do not cover other types of transportation such as flights or rental cars.

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How are per diem rates in Spain calculated for domestic and international trips?

Businesses often rely on the per diem Spain guidelines both for business travel within Spain and trips outside of Spanish territory. There are no variations for different cities i.e. per diem in Madrid, Spain is the same as per diem expenses in Malaga, Spain. Plus, rates remain consistent regardless of the international destination.

However, Spanish per diem allowances do vary depending on whether or not the employee stays overnight during the business trip. Let’s take a look at the per diem rates in both cases.

Per diem rates in Spain for trips without an overnight stay

When employees do not stay overnight in private accommodation, the following allowances for maintenance expenses apply:

For travel within Spanish territory: Maximum of €26.67 per day

For travel outside of Spain: Maximum of €48.08

Per diem rates in Spain for trips with an overnight stay

Standard maintenance and accommodation expenses for hotels, restaurants, and other hospitality establishments are covered with per diem rates in Spain.

However, when an overnight stay occurs in a different municipality (from the usual place of work or the employee's residence), subsistence expenses must be justified with receipts and/or documentation.

Employees receive an allowance for living expenses, which are not defined by the Agencia Tributaria. The amounts are different depending on whether the stay is within Spain or in foreign territory:

For travel within Spanish territory: Maximum €53.34 per day

For travel outside of Spain: Maximum €91.35 per day

There is one exception to this rule. Drivers of vehicles that transport goods by road don’t have to justify accommodation expenses up to €15 per day for travel within Spain and up to €25 per day for travel outside of Spain.

How are per diem mileage allowances calculated?

Employees can use public transportation for business travel, as long as the amount of the expense is justified with an invoice or other supporting documentation.

If the trip can be justified, reimbursements for private vehicle use is set at 0.19 euros per kilometre plus the cost of any toll or parking fees.

Do per diem rates vary from city to city and country to country?

Per diem rates vary in all countries. The guidelines in Spain are different from those in Ukraine, Bulgaria, and Estonia. However, all countries tend to provide guidelines on the same types of expenses.

Major Italian cities, such as Barcelona, Valencia, and Malaga are known to be popular destinations for business travel. However, the per diem rate remains the same, regardless of the city. This is also true for less popular business destinations such as Cadiz and Seville.

These rates are designed to cover typical expenses like meals and lodging, ensuring consistency in reimbursement processes.

Improve expense management with a better understanding of per diem rates in Spain

Unlike countries with complex per diem rates (Germany, Switzerland, and Australia to name a few!), Spain's guidelines are quite easy to follow. Regardless, companies should familiarise themselves with the official per diem rates Spain provides to ensure they maintain compliant and accurate expense reporting processes.

Per diem rates in Spain: a brief guide (2024)

What are per diem rates for business travel?

Are per diem rates mandatory?

What expenses are covered by per diem rates for Belgium?

What expenses are covered by per diem rates in Spain?

What expenses are not covered by per diem rates in Spain?

How are per diem rates in Spain calculated for domestic and international trips?

Per diem rates in Spain for trips without an overnight stay

Per diem rates in Spain for trips with an overnight stay

How are per diem mileage allowances calculated?

Do per diem rates vary from city to city and country to country?

Improve expense management with a better understanding of per diem rates in Spain

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Per diem rates in Italy: a brief guide (2024)

Per diem rates in Spain: a brief guide (2024)

Per diem rates in Belgium: a brief guide (2024)

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