Overview
CONUS stands for the Continental United States, which encompasses the 48 contiguous states plus the District of Columbia. This term is frequently used in federal contexts to clarify which parts of the United States are being referenced, especially in logistical, travel, and budget discussions. CONUS is distinct from OCONUS, which comprises Alaska, Hawaii, and U.S. territories and possessions located outside the contiguous United States.
Federal Per Diem Rates
Federal per diem rates for lodging, meals, and incidental expenses (M&IE) within CONUS are established annually and vary by locality. These rates represent the combined maximum allowable amounts for lodging and M&IE based on the cost of living in each area.
Example
If the federal per diem rate for a city in California is $150 for lodging and $60 for M&IE, the combined maximum per diem rate would be $210.
High-Low Method
The High-Low Method is a simplified approach to calculate travel allowances within CONUS. It establishes two sets of rates:
- High-Cost Localities: Higher per diem rates for more expensive locations.
- Low-Cost Localities: Lower per diem rates for less expensive locations.
Frequently Asked Questions
What is included in the M&IE rate?
The M&IE rate covers meals, tips, and other incidental expenses, such as laundry or dry cleaning.
How are per diem rates determined for CONUS?
Per diem rates are determined annually by the General Services Administration (GSA) based on data about living costs in various localities.
What is the difference between CONUS and OCONUS?
CONUS refers to the 48 contiguous states and the District of Columbia, while OCONUS includes Alaska, Hawaii, and other U.S. territories and possessions outside the contiguous United States.
OCONUS: Outside Continental United States, referring to locations such as Alaska, Hawaii, and other U.S. territories.
High-Low Method: A simplified method to calculate travel allowances based on a set of higher and lower rates depending on the locality’s cost of living.
Online References
Suggested Books for Further Studies
- “Federal Travel Regulation Manual” by the United States General Services Administration
- “Guide to Federal Travel” by Robert B. Dubins
Fundamentals of CONUS: Business Law/Accounting Basics Quiz
### What does CONUS stand for?
- [x] Continental United States
- [ ] Commonwealth of the United States
- [ ] Centralized Operating Units in the States
- [ ] Coordinated National Units System
> **Explanation:** CONUS stands for the Continental United States, specifically referring to the 48 contiguous states and the District of Columbia.
### How is the federal per diem rate for a locality calculated?
- [ ] Based on state law
- [x] A combined maximum rate of lodging and M&IE set by GSA
- [ ] Set by local municipalities
- [ ] Fixed by the Department of Commerce
> **Explanation:** The federal per diem rate for a locality is the combined maximum rate for lodging and meals & incidental expenses (M&IE) set by the General Services Administration (GSA).
### What is covered under the M&IE rate?
- [x] Meals and incidental expenses
- [ ] Only meals
- [ ] Only lodging expenses
- [ ] Travel tickets
> **Explanation:** The Meals and Incidental Expenses (M&IE) rate covers meals, tips, and other incidental expenses.
### What is one of the purposes of the High-Low Method?
- [ ] To provide a uniform tax rate
- [ ] To calculate state budgets
- [x] To simplify travel allowance calculations
- [ ] To set federal minimum wage
> **Explanation:** The High-Low Method is used to simplify travel allowance calculations by setting higher and lower rates based on the cost of living in different localities.
### Which term includes Alaska, Hawaii, and other U.S. territories?
- [ ] CONUS
- [x] OCONUS
- [ ] INUS
- [ ] OVERUS
> **Explanation:** OCONUS (Outside Continental United States) includes Alaska, Hawaii, and other U.S. territories and possessions.
### Who determines the federal per diem rates for CONUS?
- [ ] Department of Transportation
- [ ] Department of State
- [x] General Services Administration (GSA)
- [ ] Internal Revenue Service (IRS)
> **Explanation:** The General Services Administration (GSA) determines the federal per diem rates for CONUS based on the living costs in various localities.
### When are the federal per diem rates for CONUS updated?
- [ ] Every six months
- [ ] Every two years
- [x] Annually
- [ ] Monthly
> **Explanation:** The federal per diem rates are updated annually by the General Services Administration (GSA).
### What can employees use the federal per diem for?
- [x] Lodging, meals, and incidental expenses
- [ ] Only lodging
- [ ] Personal expenses
- [ ] Utility bills
> **Explanation:** Employees can use the federal per diem rates for lodging, meals, and incidental expenses incurred during travel.
### Why do CONUS and OCONUS have different per diem rates?
- [ ] Because of different tax policies
- [ ] Due to distinct environmental factors
- [x] Because of varying costs of living
- [ ] Based on historic agreements
> **Explanation:** The per diem rates for CONUS and OCONUS differ due to the varying costs of living in these areas.
### What is the primary role of the GSA in travel policies?
- [ ] Provide transportation services
- [ ] Manage state budgets
- [x] Set per diem rates for federal travel
- [ ] Administer income tax
> **Explanation:** The General Services Administration (GSA) sets per diem rates for federal travel, ensuring travel allowances cover adequate living expenses based on locality.
Thank you for delving into the detailed aspects of CONUS and testing your understanding through our challenging quiz questions. Enhanced comprehension of these terms aids in effectively navigating federal travel and budget regulations!
