How do you calculate overnight accommodation costs for staff?

You calculate overnight accommodation costs for staff by adding up the hotel costs, the meals and the small extra expenses that you, as the employer, reimburse or pay yourself. You work with local rates, the season and the statutory maximum amounts set by the Belastingdienst. Keep your receipts and expense claims tidy, and you can deduct and account for everything.

What exactly are overnight accommodation costs for staff?

Overnight accommodation costs for staff are all the costs your staff incur when they have to stay somewhere overnight for work. Think of the the hotel bill, breakfast, evening meal and small expenses such as parking costs or a tram fare to the venue. As the employer, you cover those costs when your staff have to travel for work.

The difference between reimbursing and paying directly matters for your admin. If you pay directly, you book and pay for the room yourself, and your staff member only claims the rest, such as meals. If you reimburse, you give your staff member a fixed amount, they arrange the accommodation themselves, and they may keep any money left over.

For catering businesses, this mainly comes up with on-site events, where your chefs or your service staff have to stay overnight. It also keeps coming up with food trucks at multi-day festivals. Agree in advance who arranges what and who pays for what.

What legal rules apply to overnight accommodation costs?

The Belastingdienst works with maximum rates for overnight accommodation allowances which are adjusted every year. In 2024 the maximum in the Netherlands was €95 per night, and the amount abroad varies by country. Always check the current year's figure. Up to that maximum, the allowance is tax-free for your staff member and deductible for your business.

If you go above those maximum amounts, the difference counts as a benefit in kind. You pay payroll tax and contributions on that part. Separate maximums apply for meals: €15 for lunch and €28 for dinner per day.

What matters is that the overnight stay needs to be necessary for business. You can't claim overnight accommodation costs if someone could just as easily have driven there and back. So always note down in writing why the stay was necessary: the distance, the working hours, or safety after a late get-out.

How do you calculate realistic overnight accommodation costs per region?

Start by looking up average hotel rates for the area in question, via booking sites such as Booking.com or Hotels.com. Watch the season: prices shoot up during holiday periods or when there's a big event in town. In Amsterdam you'll pay €120 to €150 a night on average, in smaller towns it's often €80 to €100.

Choose a type of accommodation that fits your budget and how you treat your people. For one night, a budget hotel is usually enough. If your team is staying longer, something more comfortable is worth it. Also look at location: a hotel just outside the centre is often cheaper, and that's no problem if you've already got the van.

Estimate the extra costs based on the location. Meals cost more in big cities than in smaller towns. Budget €20 to €35 per head for a normal evening meal and €8 to €15 for breakfast. Parking in a city centre can run up to €25 a day.

What do you do about extra costs such as meals and travel?

Set meal costs aside in your budget and tell your people in advance what's reasonable. A €40-per-head dinner is fine, an €80-per-head restaurant is usually more than you want to pay. Set that limit before they leave, not afterwards when the expense claim lands.

For local transport, a taxi or public transport, agree on a daily maximum. €15 to €25 a day is usually realistic. If your team needs to cover bigger distances, a hired minibus is often cheaper than separate fares.

Agree in advance which costs you will and won't reimburse. Minibar, pay-TV and spa facilities usually don't count as business expenses. Internet and business calls can be reimbursed if they're needed for work.

How do you keep track of overnight accommodation costs?

Keep all receipts and invoices for accommodation, meals and travel. Digital receipts are just as valid as paper ones, as long as they stay legible. Get your people to photograph and save receipts straight away, with a date and description, because a receipt left in chef's trousers doesn't survive the wash.

Have your staff submit their expense claims within a week of getting back. The longer you wait, the more details go missing. Check that everything's there: date, amount, the hotel's VAT number and why the trip was for business.

For your books, it helps to track overnight accommodation costs separately per staff member and per job. That way you see what a multi-day festival really costs you, and you can factor that into your next quotes where travel costs play a role. Tidy admin also saves you a lot of searching if there's ever a tax audit.

Do you charge overnight accommodation costs on to the client?

For events that run two days or that are a long way off, your staff's overnight accommodation costs become a real expense. Leave them out of your price and you're paying out of your own margin for a choice the client made.

So put them as a separate line on your quote, for example "accommodation and meals, 4 staff, 1 night". A client who sees the amount up front understands where it comes from. A client who only meets it on the final invoice picks up the phone.

If you don't know the exact amount yet, work with a guide figure per night per staff member, and note that you'll settle up based on the actual hotel bill. That's fairer than a generous estimate you can't back up later.

Clear agreements and tidy admin save you arguments afterwards, with your people and with your client. If you run into a situation you can't work out, you can always get in touch with us.

Frequently asked questions

What happens if my staff member exceeds the statutory maximum?

The amount above the statutory maximum counts as a benefit in kind, and you pay payroll tax and contributions on it. With a hotel bill of €120 when the maximum is €95, you pay payroll tax on €25. So agree a budget limit in advance, and check expense claims before you approve them.

How do I arrange accommodation for several staff at once for big events?

Ask the hotel for a group rate, or book group accommodation. That often saves 10 to 20% compared with separate bookings. Book well ahead, especially in high season. For teams of four or more, a holiday home or flat is often cheaper than separate hotel rooms.

Can I pass overnight accommodation costs on to my clients?

Yes, you can pass on overnight accommodation costs as part of the job, as long as you've agreed it in advance. Put it clearly on your quote under 'travel costs' or 'accommodation costs'. Watch the VAT: you pay VAT on the hotel bill, and you can pass that on to VAT-registered clients.

What if there are no receipts because of an emergency?

Record the situation as fully as you can: date, amount, location and why there's no receipt. Ask the hotel for a copy of the bill, they almost always have one. The Belastingdienst accepts this as an exception, but your story needs to add up and be backed up.

How do I handle cancellation costs for last-minute changes?

Cancellation costs are deductible as business expenses when they arise from business circumstances. So book with flexible terms wherever possible, or take out travel insurance. Note the reason for the cancellation, a sick staff member or a cancelled event, for example, for your records.

Which software or apps are useful for tracking overnight accommodation costs?

For photographing receipts, expense apps such as Declaree or Rydoo work well, and many banks have their own. For the books, Moneybird, Exact Online or Twinfield let you track costs per staff member and per job. Connect your expense app to your accounting software and you won't need to retype anything.

Catermonkey puts your staff's accommodation, meals and travel costs on the quote as their own lines, and includes them in the margin you see before you send it, so a night in a hotel doesn't quietly eat into your profit.

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