Show Me The Money!

One of the most common concerns is, "Will the app save me money on my taxes?"  This is of course the most important question, because why spend the time, let alone money to track perdiem if it isn't going to save money.   Some people mention, you need to have more than 2% of AGI in job related expensis, which is true. If your job involves Union dues, then you may have already met the 2% rule just in Union dues deductions before even looking at perdiem.  Even so, remember there are many more job expense deductions you can legally take beyond union dues and perdiem.  Check with your CPA or IRS publications 463 and 529 for allowable deductions. (If you have a CPA, make sure they are well versed in DOT rules.  There are many CPA's who are not fully versed in this area of tax law and are unable to properly guide you through the maze of legal DOT tax deductions.   Now the question is how much are you deducting?  Wikipedia keeps a nice list of deductions for several tax years. If you have itemized deductions that exceed these minimum deductions, as we all know it is then beneficial to itemize your deductions on the 1040 tax form and in this case, tracking your perdiem will increase your deductions and therefore your tax burden.  There is your money!

But my employer pays me per diem so how can this help me?

Even though you are being paid perdiem, it may not be enough to fully compensate you for what the IRS allows during an overnight.  For example, your employer paid $40 in perdiem, and you spent $80 on an overnight.  In some cities you may be able to claim $71 without showing receipts.  $71-$40=$31 in additional overnight expenses not reimbursed by your employer that can be claimed as a deduction.  When you add up all your overnights in a year it can mean thousands of dollars in additional deductions.  

I'm not a techie, this stuff seems daunting

Because there are thousands of tax records, with updates mid year and monthly updates for international overnights, this app simplifies that process by only requiring you to enter the airport code for each overnight.  With that information all the various calculations and lookups are done for you.  Print out a nice detailed report for your CPA or own use in your favorite tax program.  Simple as that.  Don't take our word on it, try out the 2008 tax year for free and see for yourself.  All tax years work in the same exact way.  You can even take the results from the 2008 FREE year and amend your taxes.  For many people, doing the FREE year paid for all future use of this application. 2009+ amendments was all just $ in the bank!