Schandra’s Weblog

June 24, 2008

What do you mean by Per diem?

Filed under: Staffing And Recruiting — schandra @ 7:16 pm

It’s paid daily, usually refers in our business as an expense, the expense is just like TA /DA in India, actually consultants want us to pay something as per diem to avoid taxes, usually there are limits in each city (Combined for Lodging, Travel, meals Etc). As I said u can pay based on government limits, but consultants will not agree because if u take a profit of 5 and 12% expenses(out of 65$) – you are left with $49.00 u can offer $35.00 to $40.00 on pay roll and the rest as expenses.

Hope you understood it!!!


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