Per diem

“Per diem” is a Latin term that means “per day.” In the context of finances, it is usually an allowance or a reimbursement provided to cover expenses incurred while traveling or working away from home. Employers commonly offer per diem payments to help employees cover costs such as meals, lodging, transportation, and other incidental expenses that come with business travel. The per diem rate may vary depending on the location and the organization’s policies. Its purpose is to ensure that employees are properly compensated for their expenses while traveling for work.