Managing Your Finances During Extended TDY Assignments
Extended TDY assignments lasting weeks or months require careful financial planning. Without proper management, you can find yourself struggling with cash flow despite having reimbursement coming.
Understanding the Reimbursement Lag
One of the biggest challenges during extended TDY is the gap between spending money and receiving reimbursement. While your Government Travel Charge Card covers major expenses, you still need cash for meals, tips, laundry, and other daily needs. The M&IE portion of per diem reimburses these costs, but only after you file your voucher.
For a 30-day TDY, you might spend $2,000 or more on meals and incidentals before seeing any reimbursement. Plan your personal finances accordingly, ensuring you have sufficient savings or credit available to cover this period.
Travel Advance Options
For extended assignments, consider requesting a travel advance through DTS. This provides upfront payment for a portion of your expected per diem, reducing the cash flow burden. Advances must be repaid from your final voucher settlement, but they bridge the gap during your trip.
Stretching Your Per Diem
The M&IE rate is yours regardless of actual spending. Wise travelers make choices that maximize value. Staying at hotels with complimentary breakfast saves money. Lodging with kitchenettes allows grocery shopping instead of restaurant dining every meal. These strategies can leave you with extra funds after reimbursement.
Tracking Expenses in Real Time
Use a simple spreadsheet or expense tracking app to record daily spending during your TDY. This practice helps you stay within budget, ensures you capture all expenses for your voucher, and identifies any receipts you need to obtain before departing.
Bills Back Home
Do not forget about your ongoing expenses at your permanent duty station. Rent, utilities, car payments, and subscriptions continue while you are away. Set up automatic payments before leaving to avoid late fees and service interruptions during your absence.
Financial discipline during TDY keeps you focused on your mission rather than worrying about money. A little advance planning creates peace of mind throughout your assignment.
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