GD Accounting Glossary
Glossary › Reimbursement

Reimbursement

Repaying someone — usually an employee — for business costs they paid personally, against receipts.

A reimbursement repays a person for a business expense they covered out of pocket: travel, supplies, client meals. Paid against receipts, it\'s the business\'s expense, not the person\'s income.

Clean reimbursement process — claim, receipt, approval, payment — keeps personal and business money separated and the deduction defensible under audit.

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