Who sets foreign per diem
The GSA covers the continental U.S. (CONUS). Outside the lower 48 — including Alaska, Hawaii, U.S. territories, and all foreign countries — rates are OCONUS. Foreign rates come from the U.S. Department of State; non-foreign OCONUS (Alaska, Hawaii, Guam, etc.) come from the Department of Defense.
How foreign per diem works
Like CONUS rates, foreign per diem splits into a lodging ceiling and an M&IE allowance, but it's published per city and updated monthly to track exchange rates and local costs. The first/last-day and provided-meal rules still apply.
Tax treatment
The IRS accountable-plan rules are the same abroad: reimbursement at or below the applicable federal (State Dept) rate is tax-free. See our IRS per diem rules guide.
Frequently asked questions
Who sets international per diem rates?＋
The U.S. Department of State sets foreign per diem rates; the Department of Defense sets non-foreign OCONUS rates (Alaska, Hawaii, U.S. territories).
How often do foreign per diem rates change?＋
Foreign rates are reviewed and published monthly to reflect exchange rates and local cost changes.
Does the GSA cover international travel?＋
No. The GSA covers only the continental U.S. Foreign and OCONUS locations are handled by the State Department and DoD.