Can someone straighten this out for me

Can use one or the other. Bad thing about per diem, is it shows a lower taxable rate and then your yearly pay shows lower than you really make.
That in turn can affect your income level reporting for like buying a car house etc.

 

If your company is paying you a per-deim, no you can not claim, as you have already collected.

 

Try calling the I.R.S. Tax question 800 number You' ll get the most accurate info from there.

 

my w2's haven't stated per diem. i've been able to collect no problem.

my bro in law and his buddy. work local jobs. the block gave them both per diem. (don't ask me how).

roadmedic might have some true light on the subject.

 

Oh yea, ask Roadmedic. He does tax work. Forgot about him.. Sorry Roadmedic

 

Per Diem if the company is paying it allows the company some tax benefits. If they claim it, you cannot. Never allow the company to pay you Per Diem as they then do not have to pay the full amount on Social Security. This will make a difference to you in the long run. Of course if you die young it won't matter.

Let's say you are living overseas and just want to work for 10 quarters to draw that Social Security. Anyone?

 

By most accurate are you taking into account they're right only about 70% of the time? Wasn't 70% an F back in the old days of real grades in high school?

 

Look at your W-2. I believe it's box 12 code L they are suppose to put per diem. Some companies like my last one didn't put it there like they were suppose to so that is suppose to account for your employer paid all expenses. That is the information the IRS relies on so it's on you how you do it. With a code L you have to do the math and figure what you would of got on your own and subtract what the company supposingly gave you. Use this chart but you only get 80% of $59 instead of 50%.

Real per diem is given to you on top of your pay check. Not taken out of your paycheck and then given back to you tax free. Drivers been getting the shaft ever since the gov't allowed trucking employers to do it. Many force it on employees because it saves the company thousands if not millions in not having to pay the match on social security, medicare and 401K on that money. Take someone like Swift with 16,000 employees and save $800 each employee and that's almost $13 million a year. Now you see why they do it?