Travelling expenses 2026: Lump sums for additional subsistence expenses & overnight stays

Brief overview:

  • New foreign flat rates valid from 1 January 2026
  • Domestic per diems remain unchanged:
    €14 / €28 per diem for meals in Germany
  • Reduction for meals provided: 20% / 40%
  • Lump-sum accommodation allowances only with employer reimbursement

Lump sums published for 2026

In a letter dated 5 December 2025, the Federal Ministry of Finance (BMF ) published the new lump sums for additional subsistence expenses and accommodation costs.

These regulations will apply from 1 January 2026 for business and business-related trips abroad.

The lump sums published in the BMF letter are to be applied for

  • Foreign business trips by employees

  • business trips abroad by entrepreneurs

  • double household management abroad

👉 Important:
The per diems for meals remain unchanged for trips within Germany. This means that the previous regulation for domestic trips will remain unchanged in 2026.

🇩🇪 Meal allowances 2026 for Germany (unchanged)

Absence Flat rate
> 8 hours / arrival & departure 14 €
24 hours 28 €
These amounts apply to professional and business trips within Germany and can be claimed as income-related expenses or business expenses. Legal basis: Section 9 (4a) EStG.

🌍 New foreign flat rates from 1 January 2026

For trips abroad, country-specific lump sums will apply from 2026, which were redefined by the Federal Ministry of Finance in December 2025. Changes compared to 2025 are highlighted in the official overview.

Relevant principles:

  • For one-day trips abroad, the lump sum of the last place of work is decisive.

  • The following applies for trips lasting several days:

    • Arrival and departure day: lump sum of the place reached before midnight local time

    • Intermediate days: lump sum of the respective place of stay

The complete country overview can be found in the official annex to the BMF letter.

Reduction of the catering allowance for meals provided

Reductions in per cent

If meals are provided by the employer or at the employer's instigation, the per diem meal allowance must be reduced (Section 9 (4a) EStG):

  • Breakfast: 20 %

  • Lunch: 40 %

  • Dinner: 40 %

The reduction is made on a daily basis and irrespective of the country in which the meal was provided.

Accommodation costs 2026: Important tax information

  • Lump-sum accommodation allowances may only be used for employer reimbursements.

  • Only the actual accommodation costs are to be recognised for the deduction of income-related expenses or business expenses.

  • Hotel invoices and receipts must be kept.

This rule also applies to overnight stays abroad as part of a double household management.

For whom are the 2026 travel expense regulations relevant?

Travel expenses & business trips abroad:

  • Employees on business trips abroad
  • Self-employed and freelancers
  • Companies with international activities
  • Personnel and payroll departments
  • Finance and tax departments
  • Tax consultants and auditors

Commuting allowance (commuter regulation)

  • Commuters
  • Employees with a daily commute to work
  • Employer consultants and tax experts
  • Personnel and payroll accounting

Increase in the commuting allowance from 1 January 2026

rom 1 January 2026, the commuting allowance for journeys between home and the first place of work in Germany will be increased to 38 cents per kilometre from the first kilometre.
This means that the previous staggered scale, according to which the increased rate of 38 cents only applied from the 21st kilometre, will no longer apply.

The change is part of the tax adjustments for 2026 and is intended to benefit commuters in particular who travel long distances to work every day.

Affected groups:

  • Employees with commuting distances

  • Commuters who travel to their first place of work every day

  • People who claim their travelling expenses as income-related expenses in their tax return

The higher lump sum can lead to greater tax relief, as more income-related expenses can be recognised.

Conclusion: correct accounting of travel expenses in 2026

From 1 January 2026, new lump sums for additional subsistence expenses and accommodation costs for trips abroad will apply. While the domestic lump sums remain unchanged, companies and employees must observe the updated foreign lump sums.

Correct implementation ensures:

  • tax security

  • Legally compliant travel expense accounting

  • fewer queries during audits

Official source:

  1. Federal Ministry of Finance (BMF): "Tax treatment of travel expenses and travel expense reimbursements for work-related and business-related trips abroad from 1 January 2026" from 5 December 2025
  2. Income Tax Act (EStG): § Section 9 (4a) EStG - Additional subsistence expenses
  3. Wage tax guidelines (LStR): R 9.6 and R 9.7 LStR (travel expenses, accommodation costs)
  4. BMF letter dated 25 November 2020: Principles for the tax treatment of travel expenses (still valid)
  5. Press and Information Office of the Federal Government: "Higher commuter allowance, less VAT in catering" from 04.12.2025 (distance allowance)

Created by Pruska Olga the day before yesterday at 12:17 o'clock