The US government's standard lodging per diem rises to $113 per night on 1 October 2026, up from $110. If your GOV rate is still built on $110, you are leaving money on the table.
Chelsey Leffet reported the FY2027 figures in Hotel News Resource on 10 September 2026: the standard CONUS lodging allowance moves from $110 to $113, the M&IE allowance stays at $68 per day, and non-standard areas drop from 296 to 295. Since FY2020 the standard rate has climbed from $96 to $113, nearly 18%, and the average across all markets rose 23%, from about $128 to $157. New York City alone went from roughly $145 to $292.
What to do before 1 October
Rafael Osborne (Profit Guest Services): the per diem is a ceiling, not a price.
- Check whether your market is one of the 295 non-standard areas or falls under the standard rate.
- Load the new rate in the PMS and every channel on 1 October.
- Review the restrictions attached to GOV: minimum stays, blackout dates, last room availability.
Should GOV always sit at the ceiling? Only when demand is soft. On compressed dates, restrict it.
This content was created with the help of artificial intelligence and reviewed by Rafael Osborne (Profit Guest Services) before publishing.