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Understanding the difference between per diem and actual expense reimbursements is super important. A per diem is a fixed daily allowance for meals and incidental expenses (like tips and laundry). The advantage is simplicity. You don't have to save every receipt for meals, as long as you stay within the per diem limit. Actual expense reimbursement requires you to submit receipts for every meal and incidental expense, which can be a bit more work. However, this method allows for a more personalized reflection of your true spending. Your company's policy will outline which method it uses, so check carefully to see what method you are using.
