As an industry, business travel has risen year after year and was expected to grow to be worth $1.7 trillion in 2022, though the Coronavirus pandemic will have a massive impact in 2020. Companies spend around 10% of their revenue on business travel-related expenses.
How much does the average company spend on travel?
The average amount spent is $1425 for every employee sent on a trip, with $325 being the average cost of business travel per day. The annual spend is expected to increase from $1.3 trillion in 2017 to $1.6 trillion by 2020. Most of the spending is on meals (21%), compared to 17% that accounts for flights.
How much should you spend on business travel?
Business Trip Costs
For a three-day domestic trip (the average length of a business trip), a realistic target might be $990, $1,293, or more, depending on your destination city and whether you need a plane to get there. International trips cost an average of $2,600 per traveler.
How much is spent on business travel each year?
Direct spending on business travel by domestic and international travelers, including expenditures on meetings, events and incentive programs (ME&I), totaled $334.2 billion in 2019. ME&I travel accounted for $139.3 billion of all business travel spending.
Do companies pay for business trips?
They generally require receipts and some level of justification for each expense. … A company purchase order or company credit card will pay for large expenses upfront. But employees are often required to pay cash out-of-pocket for day-to-day travel expenses that are later reimbursed.
What should a travel budget include?
list of expenses to include in a travel budget
- Administrative – passports, visas, maps.
- Tickets – boat, train, or plane.
- Auto – car rental, gas, tolls.
- Lodging – camp sites, hotels.
- Food – pack your own, restaurants.
- Entertainment – attractions, museums, concerts.
- Shopping – gifts, souvenirs.
- Pet/Child Care.