- GSA raises per diem rate to $113.
- New rates take effect Oct. 1.
- Meals, incidental rate remains $68 a day.
THE U.S. GENERAL Services Administration will raise the standard lodging per diem rate for most of the continental U.S. by $3 to $113 a day for fiscal year 2027. The new rate will apply to official travel from Oct. 1 to Sept. 30, 2027.
The standard meals and incidental expenses rate will remain $68 a day, with fiscal year 2027 M&IE rates ranging from $68 to $92, the GSA said in a statement. GSA sets per diem rates to reimburse federal employees for lodging, meals and incidental expenses during official travel in the continental U.S. A standard rate applies to most CONUS locations, while 295 locations have nonstandard rates.
Hotel groups, including the American Hotel & Lodging Association, applauded the increase.
"Fair, market-based federal per diem rates that reflect current operating costs are essential to sustaining hotels, supporting local jobs, and generating community investment," said Rosanna Maietta, AHLA president and CEO. "Government travel is a critical economic driver, making it imperative that per diem rates keep pace with increased costs."
Maietta said the increase follows two years without an increase in the standard lodging and M&IE rates.
GSA typically calculates per diem rates using lodging and meals data from a trailing 12-month period, minus 5 percent, according to the agency's statement. Hotel operators use federal per diem rates to attract government travelers. Some private-sector businesses also use the rates as benchmarks for employee travel reimbursement.
GSA maintained fiscal year 2026 per diem rates at fiscal year 2025 levels, a decision AHLA said would affect government travel, a key driver of hotel industry activity.
