HomeHR glossaryTravel Allowance
Travel Allowance

Travel allowance is a financial benefit provided to employees by their employer to cover expenses incurred during business-related travel. It is designed to reimburse employees for costs such as transportation, accommodation, meals, and other necessary expenses while they are away from their usual work location for work-related purposes.

An employee is required to attend a week-long conference in another city on behalf of their company. The company provides the employee with a travel allowance to cover expenses associated with the trip, including airfare, hotel accommodation, meals, and local transportation. This allowance ensures that the employee is not financially burdened by the business travel and can focus on their work-related responsibilities without incurring personal expenses.

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