Expense Agent: Per Diem Allowances (2026 release wave 1)
Expense Agent per diem allowances in Business Central (2026 release wave 1): the agent detects itineraries, classifies them as per diem, detects location and trip period, applies meal reductions, and calculates the allowance. Setup is done in a wizard and a per diem tab in the expense agent setup.
- Per Diem Overview and Setup Approach
- Per Diem Calculation Methods and Configuration
- Demo: Expense Agent Web App - Itinerary Detection
- Demo: Location Detection and Meal Reductions
- Demo: Calculating Per Diem with Meal Deductions
- Admin Setup in Business Central
- Summary and Conclusion
Overview
The video explains how the Expense Agent handles per diem allowances, which depend on country-specific rules. It describes three calculation methods: a 24-hour rolling period (for example 6:00 a.m. to the next 6 a.m.), full calendar days, and partial day rules configured by percentage or hours.
A demo in the expense agent web app shows a submitter uploading an itinerary. The agent classifies it as a per diem expense, extracts dates, detects the trip start and end and the location (mapped to a configured location, UK other in the demo), and lets the user mark meals received. In the demo the expense dropped from 232 pounds to 187.92 because of meal reductions. The video then shows the admin side in Business Central: a wizard and a per diem expenses tab in the expense agent setup.
Key points
- Per diem rules differ by country, so the setup must be configured to match local regulations.
- Three calculation methods are covered: 24-hour rolling period, full calendar days, and partial day rules based on percentages or hours.
- The agent treats an expense provided as an itinerary as a per diem trip and records trip start and end times, including outbound and return journeys.
- Location is detected from the itinerary and mapped to a configured Business Central location, based on where the employee spent most days (UK other in the demo).
- Users mark meals received during the trip; configured meal reduction percentages are then applied. In the demo, 232 pounds became 187.92.
- Admins set calculation method, flat rates and meal reduction percentages in the per diem tab of the expense agent wizard (15% meal reduction in the demo, deducted from the total per diem allowance per trip), and can adjust details in the expense agent setup for full country compliance.
- Meal reductions follow company policy, and the detected location matches the locations set up in Business Central.
Features
Every feature below: status not stated, demoed.
| Feature | At |
|---|---|
| Per Diem Allowance Calculation | 0:12 |
| Expense Agent Wizard Configuration | 0:27 |
| Itinerary Detection and Classification | 1:50 |
| Automatic Location Detection | 2:37 |
| Meal Reduction Configuration and Application | 1:16 |
| Per Diem Trip Period Detection | 2:01 |
| Per Diem Expense Web Application | 1:50 |
| Per Diem Admin Settings Tab | 4:22 |
Quotes
- 0:12 “perdm can be really complicated calculation because it depends from country to country different rules”
- 0:42 “we have three different perdm calculation. You have 24 hours rolling period. So this is from uh 6:00 a.m. until the next 6 a.m.”
- 2:01 “the agent detects a perdm trip when um an expense is provided as an itinerary”
- 2:58 “the agent seamlessly detected the location of this expense in this case it’s UK other because this is what I set up in business”
- 3:57 “the total amount of the expense which was initially 232 uh pounds was actually decreased to 187 and 0.92 because of the meals reduction”
- 4:35 “we have this tab now in the expense agent wizard called perdm expenses and you can actually set up this calculation”
- 5:06 “whatever you set here the percentage then it’s going to be deducted for the from the total perdm allowance per uh per trip”
- 5:29 “we completely simplify a really complicated area PDM. So you can really easy as submitter you can really easy just upload your itinary system”
Presenters (as heard): Claudio, Alexander Totovich.