To provide guidance to faculty and staff traveling on behalf of the University and its affiliated corporations that will:
This policy applies to all units, regardless of source of funds; however, additional sponsor-imposed regulations may apply to travel on sponsored projects.
Individual colleges, divisions, and departments may establish policies that are more restrictive than this policy and opt to reimburse travelers less than the rates and amounts allowed in this policy. However, travelers must be notified in writing of the restrictions and the restricted rates and allowances must be applied to all travel, regardless of the funding source.
An employee cannot solely approve his or her own University business travel expenses (i.e. a traveler cannot approve his or her travel expenses and then also approve them as a budget officer). Travel expenses are reimbursable only when all required approvals, including any necessary prior approval from government agencies or other project sponsors, are obtained before incurring the expense. Employees cannot request reimbursement from the University for expenses reimbursed by any other entity such as a government, corporation, or organization. Any reimbursement from or expense paid for directly by a third party must be reported on the Concur travel expense report.
Necessary and Reasonable Travel Expenses
Travel expenses incurred must be necessary and reasonable to accomplish the traveler’s University business travel needs.
Travelers must use the most direct routes, incur the lowest reasonable travel expenses, and exercise care to avoid impropriety and/or the appearance of impropriety. Expenses related to personal travel or personal entertainment, including any additional baggage costs or other costs incurred related to items not needed to fulfill the business purpose of the travel, shall not be considered a reasonable business-related expense. Only items needed to accomplish the business purpose of the trip shall be paid or reimbursed by the University.
Travel dates are based upon when University business starts and ends, the actual business location (distance from work address), and transportation schedules.
Travel reimbursement must be reduced by any amounts credited to the individual by airlines, hotels or other travel vendors. Airline tickets or other travel expenses acquired with airline frequent flyer or credit card points/awards are not reimbursable. Only out-of-pocket expenses are reimbursed.
All Sponsored Projects
Costs incurred by travelers whose expenses, in part or in whole, are funded from a sponsored award must document that the expenses are reasonable, allowable, allocable, necessary and consistent with University policies. Sponsors may further limit the amounts reimbursed based upon per diem rates established by reference in agreements or contracts (e.g., state agreements or sub-agreements). If the trip includes international travel, lodging should be less than or equal to the U.S. federal government OCONUS allowable per diem and the airfare must be in compliance with the Fly America Act in addition to the requirements of section IV. G. International Travel.
When travel costs will be charged in whole or in part to a sponsored project, award terms and conditions take precedence unless University policy is more restrictive. Expenses are considered reasonable if they are consistently reimbursed on all other funding sources during the budget period incurred. If expenses are split among multiple sources of funds, document the allocation method used (usually a percentage) to distribute expenses to the sponsored project. Lack of available funds, as when a sponsored project budget has not been approved, is not an acceptable reason for non-compliance with the over 60-day taxation rule (see section V. B. Submission of Travel Expense Report and Reimbursement below). If the budget and allowable posting period are closed, reimbursement must be made from another fund source.
Commercial Air Travel
Employees traveling on University business must select travel at the lowest available airfare that is necessary and reasonable to meet the business needs of the traveler. When evaluating the lowest cost option, transportation to/from the departing airport must be considered in the cost.
The University reimburses coach class airfare for domestic and international flights. However, with supervisor approval, business class airfare will be reimbursed for eight hours or more of uninterrupted flight service. Reasonable ancillary fees including, but not limited to, expenses for convenient or early boarding, extended legroom, seat location, baggage, in-flight meals, and Wi-Fi service are approved at the supervisor’s discretion.
Vehicles
An employee driving for University business must have a Motor Vehicle Record (MVR) Release and Information Form on file with Risk Management. For all types of vehicles driven, necessary and reasonable vehicle-related expenses are allowed for parking, tolls, ferries, bridges and tunnels. Payment of traffic and parking tickets are the responsibility of the traveler. Automobile expenses such as repairs, towing, rental/mileage for sightseeing or other personal travel will not be paid with any University funds. Remote/hybrid employees will not be reimbursed mileage, car rental expenses, parking or other vehicle-related expenses for driving to a University office/location for meetings, special projects, trainings, equipment repair, etc. However, remote/hybrid employees may be reimbursed for travel expenses to other designated areas for which employees working at the central worksite are reimbursed.
Personal Vehicle
Based on the IRS Standard Business Mileage Rates, the University will reimburse 70 cents per mile (as of January 2025) for University business travel by personal vehicle based on the actual driving distance by the most direct route (not more than 105% of the mileage listed on Google Maps). Mileage is reimbursed from the traveler’s work address to the destination, unless driving from the traveler’s residence is closer.
If a traveler chooses to drive more than 500 miles one way to the business destination, mileage reimbursement shall not exceed the equivalent commercial airfare expenses for the same trip (see section V. C. Cost Comparisons section). Gasoline and automobile expenses such as repairs and towing shall not be paid with the University procard or reimbursed when driving a personal vehicle.
University-Owned/Leased Vehicles
Mileage for University-owned vehicles will not be reimbursed. The actual cost of fuel will be paid by the University with a key fob issued by the College of Agriculture, Food and Environment’s fueling facility or a U.S. Bank Voyager Fleet card.
Rental Cars
The University prefers that rental car reservations be made through UK Travel Services’ designated travel vendors to receive negotiated rental car discounts. The most economical car feasible for University business travel must be rented. Mileage for rental cars is not reimbursable.
If a traveler chooses to drive more than 500 miles one way to the business destination, mileage reimbursement shall not exceed the equivalent commercial airfare expenses for the same trip (see section V. C. Cost Comparisons below).
If a traveler is driving more than 200 miles, the University’s preferred method of transportation is by rental car. The University’s Actual Cash Value Comprehensive and Collision coverage plan provides insurance on rental cars. Rental cars for trips more than 200 miles are generally more cost-effective than reimbursing for personal vehicle mileage. The University’s mileage reimbursement calculator can be used to determine the more cost-effective option.
For domestic car rentals, insurance is not a reimbursable travel expense and should not be purchased. For international car rentals, insurance is a reimbursable travel expense and it is recommended by UK Risk Management that it should be purchased. Railroads, Non-local Buses, Commercial Vessels
Railroads, non-local buses, or commercial vessels may be utilized when they provide for the lowest cost transportation option available for the trip to meet the business needs of the traveler.
Charter Aircraft
Charter aircraft may be used, in rare and unusual circumstances, if it is determined to be advantageous to the University, measured by travel costs and travel time. Written justification prior to travel must be submitted and approved by the department head or whomever they have delegated authority to approve and Risk Management.
Ground Transportation
Personal vehicle mileage will be reimbursed to the traveler’s departing airport. Other forms of ground transportation to/from the departing airport (e.g., taxis or ride-sharing services) can be approved by the supervisor in lieu of personal vehicle mileage.
For ground transportation at the destination, expenses for buses, subways, taxis, and ride-sharing services (e.g., Uber or Lyft) are reimbursable with supervisor approval.
Meals and Incidentals
Meals and incidental expenses for domestic and foreign travel are paid using per diem rates established by the U.S. federal government (CONUS or OCONUS), based upon the traveler’s destination for that date. These expenses shall not be paid with the University procard. The University will reimburse meals and incidental expenses incurred on the first and last days of travel at 75% of the standard per diem rate regardless of what time of day the travel begins or ends.
Meal per diem cannot be claimed for meals included in registration fees or otherwise provided at no cost to the traveler as part of the event. A traveler attending a function such as a luncheon or dinner meeting/event may be reimbursed for the actual meal cost instead of the per diem when the traveler’s attendance is required.
Laundry expense, baggage tips, housekeeping tips, and other lodging-related tips are considered incidental and are covered by the per diem rate and, therefore, are not reimbursable.
Lodging
University business travelers must use lodging accommodations that are necessary and reasonable. The University is sales tax exempt for Kentucky hotels, and some out-of-state hotels as well. See Purchasing’s tax-exempt information for Kentucky and other applicable states.
Hotel late checkout charges or “no show” charges for guaranteed reservations that are not cancelled will not be paid or reimbursed by the University unless justified.
Rental services (e.g., Airbnb and VRBO) are allowable for University business travel. The rental service must be necessary and reasonable to meet the business needs of the employee traveling. The agreement or contract for the rental service will be between the employee and the rental host, not the University and the rental host, and the employee accepts responsibility for any incidents that may occur during their stay. Prior to booking a rental service, an employee should carefully review terms of the agreement, with particular attention paid to cancellation and refund policies. Consideration should also be given to personal safety (e.g., location, surroundings, and facilities). If the traveler chooses a rental larger than what is required for their business needs, the department must have documentation showing the cost of the rental is comparable to the cost of hotels in the area. Any fees associated with the rental that are not usually charged by hotels, including but not limited to damage fees, insurance, additional guest fees, etc., are not allowable on the procard and would be considered a personal expense for which the traveler would be responsible.
Local Travel
Local travel is defined as less than 50 miles one way from the employee’s work address or the traveler's residence, whichever is greater. Barring exceptional business reasons, local travel does not qualify for an overnight stay or payment of personal meals. Based on the IRS guidance, if a trip exceeds the local travel distance and the traveler is in travel status for more than 12 hours, but the traveler chooses not to stay overnight, personal meals will be eligible for reimbursement at 75% of the standard per diem rate for the locality visited during the day.
International Travel
All international airline tickets, including tickets to Canada and U.S. territories, for UK-endorsed travel must be purchased through UK Travel Services. International travel and travel to U.S. territories must be registered in the University’s International Travel Registry before departure. Activities overseas that must be registered include, but are not limited to, official University business, conference attendance/presentations, research, community service, and sabbaticals. To ensure coverage under UK’s international insurance plan, all University travel outside of the United States and to the U.S. territories as defined in IRS Publication 570 must be registered. While Canada is considered domestic travel with regard to reimbursement, the trip classification is still international for this registry.
All UK-endorsed international travel and travel to U.S. territories must be registered in the University’s international travel registry.
International travelers should be aware that countries might have border restrictions, quarantine periods and testing requirements. It is essential for travelers to understand the landscape in their destination country so that they are prepared for any logistical challenges they may encounter.
Any UK employee traveling internationally or to a U.S. territory with an undergraduate or graduate student (regardless of the student’s concurrent employment status with the University), a postdoctoral fellow, or a GME Resident must register with UK’s Office of International Health, Safety & Security or UK Education Abroad & Exchanges before departure and comply with all other requirements established by University Administrative Regulation 4:9.
Fly America Act - Generally, if a University traveler is traveling on funds provided by the federal government, a U.S. flag air carrier (an airline owned by an American company) must be flown, regardless of cost or convenience. However, there are times when a foreign carrier can be used through airline code sharing, open skies agreements, or time restrictive exceptions. See Fly America Act details on the Travel Services website.
Certain expenses required for and unique to international travel are reimbursable. Such expenses include visas and immunizations for a traveler’s destination recommended by the Centers for Disease Control and Prevention (CDC). Students may be reimbursed charges for UK’s required travel medical insurance charged to their student accounts from the International Center if they are traveling in their capacity as a University employee.
Reimbursable expenses incurred abroad must be submitted in US Dollars (USD) using the exchange rate(s) in effect at the time of travel:
Travel Reimbursed from Multiple Entities
If a traveler is taking a trip reimbursable jointly by the University and another entity or entities, the University will reimburse for its share of the actual fare necessary for University business and the traveler is responsible for seeking reimbursement for expenses payable by others. Fares greater than coach fare (e.g., first class or business class) cannot be used as the basis for prorating air travel costs. When an outside organization reimburses or provides meals, the traveler may not claim per diem from the University for those meals. In no case may the amount reimbursed for the trip from all sources exceed the total expenses incurred.
Working Meals
Breakfast, lunch or dinner meetings when groups of employees in travel status to conduct University business may be reimbursed for actual expenses in accordance with E-7-10 Discretionary Expenditures. The reimbursement must list all employees participating in the working meal as well as the business purpose for the meal. The meeting agenda needs to be attached with the itemized receipt. Travelers may not claim per diem for working meals that have been reimbursed at actual cost.
Sabbatical Leave
Travel reimbursement while on extended leave (e.g., sabbatical leave) is not guaranteed. Reasonable University financial assistance, when approved in writing for necessary and reasonable University business expense, may be authorized as part of the Sabbatical Leave Application. If funding is available, it must be authorized in writing prior to the leave and in advance of incurring expenses.
Expenses incurred during sabbatical leave are payable when they are incurred for necessary and reasonable University business, are related to the faculty member’s work or the purpose of the sabbatical leave, comply with all University travel policies, and have advance written approval of the department Chair. When submitting the expense report, the Sabbatical Leave Application must be attached to the expense report.
An employee’s current work address must be reflected in the official records of the University’s Human Resources system at all times, including when an employee is on sabbatical leave.
President’s Spouse or Partner Travel
The President is often required to have extensive and unique contact with the public on behalf of the University. When he/she is performing official duties in such areas as philanthropy, alumni, and governmental relations, the University will pay the spouse’s or partner’s travel expenses with discretionary funds if the following conditions are met:
The payment of travel expenses for spouses or partners of other University employees is not permitted unless prior approval for the travel and estimated expenses is granted by the President. Such payments must be paid from discretionary funds.
Procurement Card
The University has a Procurement Card Program to facilitate payment of travel-related expenses (e.g., airfare, lodging, car rental, registration and other ground transportation related costs) for University business. Frequent travelers should obtain a University procurement card (procard).
The procard must be used to pay for University business travel expenses not covered by the meal per diem or the IRS Standard Business Mileage Rates, when possible.
Generally, the following expenses shall always be placed on the procard:
Receipts, along with any required supporting documentation, must be submitted for all procard expenses of $75 or more allocated on the Concur General Travel Policy Expense Report by the 15th day of the following month.
In the event an unallowable or non-reimbursable expense, such as an expense which is covered by mileage or per diem reimbursements, is paid with the procard, the expense shall be deducted from the traveler’s reimbursement. Should the amount charged on the procard exceed the amount to be reimbursed, then the amount will be deducted from the employee’s paycheck. The Concur Quick Reference Guide provides guidance related to reporting personal purchases.
Submission of Travel Expense Report and Reimbursement
The University complies with IRS rules on accountable plans. Travel expenses not paid with the procard such as mileage and per diem reimbursements for meals and incidentals should be submitted by the 15th of the month following the month the travel concluded, with any required cost comparisons (see section V. C. Cost Comparisons below for when a cost comparison is required). Absent exceptional circumstances, travel expense reports approved by travelers more than 60 days from the last date of travel will be reported as taxable wages. Receipts, along with any required supporting documentation, must be submitted for any reimbursable expense of $75 or more, excluding mileage and per diem reimbursements, not placed on the procard. Lodging receipts are required for all amounts.
Reimbursements will be paid by ACH deposit to the main bank shown on the employee’s payroll record after the final approval is received on the Concur Travel Expense Report.
Splitting Travel Costs between Sources of Funds
If travel expenses for a single trip are split, benefit multiple sponsored funds or benefit both sponsored and non-sponsored funds, all expenses must be allocated on a reasonable basis. Examples of a reasonable basis include determining that certain sessions of an event benefit a specific sponsored project and allocate the expenses by percentage of the whole expense to the multiple sources of funds. If an appropriate allocation method is not used, full time equivalent of the funds is an acceptable alternative.