A per diem is a daily allowance paid to employees for meals and lodging during business travel. Instead of submitting individual receipts, employees receive a fixed daily amount.
In Greece, per diem payments are treated as taxable income and are subject to income tax.
Alongside other travel expenses (like flights), the minimum allowance is based on:
- the minimum daily wage (€37.07 per day since April 2024), or
- 1/25 of the minimum monthly wage (€33.02 per day since April 2024).
Per diem rates are the same across destinations and trip durations.
Deductions
If the employer provides meals or accommodation during the trip, or if they’re offered free of charge, the allowance must be reduced as follows:
| Provided expenses | Allowance reduction |
|---|---|
| Food and accommodation | 3/4 |
| Food only | 1/2 |
| Accommodation only | 1/5 |