Government Rate Hotels: Who Qualifies and How to Book One

A government rate hotel offers a discounted room rate to eligible government employees and military personnel on official travel. Some hotels extend the rate to contractors. The rate usually matches the federal per diem lodging cap for that county and month, but it can be higher. The U.S. General Services Administration (GSA) sets the cap. Each hotel sets its own rate and decides who qualifies. Most chains ask for a government ID at check-in.

The published cap gives travelers and travel managers a public benchmark for room prices in a market, whether or not they work for the government.

• The cap is public. GSA publishes a lodging rate for every county in the 48 contiguous states and D.C. The standard rate is $113 a night from October 1, 2026 through September 30, 2027, and 295 destinations have their own higher rate. The Department of Defense sets the rates for Alaska, Hawaii, and U.S. territories.
• Hotels decide whether to offer the rate. GSA does not require hotels to honor per diem. Each hotel also decides whether contractors qualify.
• A "GOV" rate can exceed per diem. GSA warns that a hotel's government rate can sit above the cap. If it does, the traveler needs approval before the trip to get fully reimbursed.
• Taxes do not count toward the cap. Federal travelers claim lodging taxes separately. Some states exempt government travelers from paying them.

What is a government rate at a hotel?

Hotels, agencies, and travelers use "government rate" for three different things.

The per diem cap determines federal reimbursement. A hotel's government rate is the price the hotel offers, and it usually matches the cap. Every FedRooms rate is guaranteed at or below the cap. In the U.S., FedRooms rates have no resort or booking fees and allow cancellation until 4 p.m. on the day of arrival.

Engine's per diem rates page lists the FY2027 cap for any ZIP code in the 48 contiguous states and D.C., and the rate changes page lists every destination that changed on October 1.

Who qualifies for government hotel rates?

Each hotel sets the eligibility rules for its rate. GSA does not decide who can book it. These groups qualify at almost every chain:

• Federal civilian employees on official travel.
• Active-duty military and Department of Defense (DoD) civilian employees on orders.
• State and local government employees on official business. Many chains run this as a separate "state government" rate with its own ID rules.

Two groups qualify only at some hotels:

• Government contractors. GSA lets each hotel decide whether contractors qualify. IHG names defense and cost-reimbursable contractors as eligible. Marriott accepts ID cards from federally funded research and development centers (FFRDCs). Other chains may require a company ID plus a contract reference, and some deny the rate at the front desk.
• Military on leave, veterans, and family. Hilton's Military Family Rate and similar leisure rates follow separate terms. They are not standard government rates.

The standard government rate usually excludes personal travel. Marriott sets the rules per hotel in the rate details, and many require travel orders. Wyndham limits the rate to "U.S. government travelers on business." Most hotels can reprice the room if you cannot show eligibility at check-in.

What ID do you need at check-in?

Hotels verify at the desk, not online. A .gov or .mil email address is often enough to see the rate while booking, but you still need physical ID when you arrive.

Marriott publishes the longest ID list of the chains in this table, including a federal government credit card, a Common Access Card (CAC), an FFRDC badge, tribal government ID, and travel orders on agency letterhead. Hilton and Wyndham ask for a valid government ID. Bring orders too if the rate says official business only.

How to book a government rate hotel

1. Look up the cap first. Find the lodging rate for the county and the month of your stay. Caps change on October 1, and 149 destinations have seasonal rates that change again mid-year.
2. Pick the government rate on the hotel's site. Marriott lists "Government & Military" in the rate drop-down. IHG puts its "Government/Military Business Rate" under rate preference. Wyndham applies the code automatically on its government page. Hilton offers a per diem rate search. If you book by phone, ask for the government or per diem rate.
3. Compare the rate to the cap. If the hotel's rate is higher, choose another property or ask your agency to approve the higher cost before the trip. Federal rules call this actual expense reimbursement.
4. Check FedRooms if you are a federal traveler. Your agency's booking tool or travel management company can book a FedRooms rate, which is always at or below the cap.
5. Bring ID and orders. The hotel can change the rate at check-in if you cannot prove eligibility.
6. Ask about tax exemption. Some states waive lodging tax for government travelers who pay with a government card and show a form. GSA's SmartPay site lists the rules and forms by state.
7. Keep the receipt. Federal travelers need a lodging receipt for every stay, and companies that reimburse actual hotel costs ask for one too.

Where does the government rate get you a room?

A per diem cap does not guarantee that a room will be available at that price. Engine compared the nightly rates shown in its hotel searches for check-ins from October 2025 through September 2026 with the FY2027 caps for 89 large U.S. cities.

• About 62% of hotel rates shown in those searches came in at or under the cap. Fees paid at the hotel count against the cap, taxes do not.
• Higher star ratings fit less often. Nationally, 92% of 2-star rates fit under the cap, 78% of 2.5-star, 60% of 3-star, 51% of 3.5-star, and 36% of 4-star.
• The cap reliably covers a 4-star hotel in only 2 of 89 cities, meaning at least 70% of 4-star rates fit under it there. In 8 cities, the cap does not reliably cover any class.

"Covers" means at least 70% of that class's rates came in under the cap, and every class below it did too. Engine's per diem rates page has the full list, month-by-month detail, and the method.

What if the hotel refuses the rate or is sold out?

Hotels do not have to offer a per diem rate. GSA leaves each property to decide whether to offer one and whether contractors qualify.

• If no room is available at the cap, a federal traveler can ask the agency to approve actual expenses, up to 300% of the per diem rate, under Federal Travel Regulation (FTR) 301-11.17. GSA says to check FedRooms first.
• If the front desk reprices your room, the rate usually required orders or an ID you did not bring. Ask staff to show you the rule in the booking's rate details.
• If you booked a public rate under the cap, that is fine for reimbursement. You do not have to book a government rate code, as long as the receipt is at or below the cap and you booked within your agency's or company's policy.

Can you use the government rate for personal travel?

Usually no. The standard government rate at Marriott, Wyndham, and most other chains is for official travel. The hotel can charge the regular rate if you cannot show orders or a work reason at check-in.

Leisure rates for military members and veterans are separate programs. Hilton's Military Family Rate covers active and retired military and their families on personal stays. Check the rate details before booking because the two rates have different ID rules.

FedRooms vs a chain's government rate

FedRooms is GSA's lodging program for U.S. government and military travelers. In 2026 it lists more than 12,000 properties in over 3,000 markets.

• Rate: always at or below per diem.
• Fees: none. No resort, booking, or early-departure fees.
• Cancellation: 4 p.m. on the day of arrival in the U.S., 24 hours before arrival internationally.
• Loyalty: you still earn points with the hotel brand.
• Booking: through your agency's online booking tool (E2 Solutions, ConcurGov, GO.gov, DTS) or your travel management company. You cannot book it on a public hotel website.
• Extended stay: new in 2026, for stays over 30 consecutive nights, with no multiple bids or extra approvals.

Eligible travelers can book a chain's government rate directly on the brand's site. State and local employees can use these rates too, even though they have no access to federal booking tools. The hotel's rate can exceed the cap, and each property sets its own fees and cancellation rules.

Government rate hotels FAQ

Is the government rate the same as the per diem rate?

Not always. The per diem rate is GSA's reimbursement cap. A hotel's government rate is its own price, and GSA says it can be higher than the cap. IHG, for example, sets its government rate as a percentage off the Best Flex Rate rather than at per diem. Compare the two before you book.

What is the government hotel rate for 2027?

There is no single rate. The standard lodging cap is $113 a night from October 1, 2026 through September 30, 2027, and 295 destinations have their own higher rate. New York runs from $189 to $358 a night depending on the month. GSA raised the average cap in 282 of those destinations this year and lowered it in none.

Do government contractors get government hotel rates?

Sometimes. GSA leaves it to the hotel. Expect to show a company ID plus a contract reference or letter, and ask your travel manager whether your company has its own corporate code instead.

Do state and local employees qualify?

Yes at most chains, usually under a separate state government rate that requires an agency ID. State and local employees generally cannot use FedRooms, which is booked through federal travel systems.

Are hotel taxes included in the per diem cap?

No. Lodging taxes are reimbursed separately for federal travelers inside the continental U.S. Some states exempt government travelers from lodging tax when they pay with a government card and present a form.

Do you earn hotel points on a government rate?

On FedRooms, yes. On a chain's own government rate, check the rate details, since some discounted rates do not earn full points or elite credit.

Can a hotel refuse to give me the government rate?

Yes. GSA says hotels are not required to honor per diem rates. If nothing is available at the cap, federal travelers can ask their agency to approve actual expenses up to 300% of per diem.

Is a corporate rate or a public rate ever better?

Often. Any receipt at or below the cap works for reimbursement, as long as you booked within your agency's or company's policy. If a prepaid or corporate rate is cheaper than the government rate and your policy allows that rate type, book it.

Do I need a receipt?

Federal travelers do. FTR 301-11.23 requires a lodging receipt for every official stay. Private employers that pay a per diem at or below the federal rate do not need a receipt for the amount, but you still have to document the dates, place, and business purpose to keep the payment off your W-2. See when per diem is taxable.

Where can you see the per diem rate for a city?

Look up any ZIP code in the 48 contiguous states and D.C. on Engine's per diem rates page, or use the state-by-state guide. The IRS and GSA rate changes post covers what moved for FY2027.