What Does Reimbursement Mean?

Reimbursement is the act of compensating someone for an out-of-pocket expense by giving them an amount of money equal to what was spent.

What do you mean by reimbursed?

1 : to pay back to someone : repay reimburse travel expenses. 2 : to make restoration or payment of an equivalent to reimburse him for his traveling expenses.

How does reimbursement work?

Reimbursement is the compensation paid out by an organisation for the expenses made by an employee from his or her own pocket. ... Reimbursement of business expenses, overpaid taxes, and insurance costs are the most common examples. One should note that reimbursement is not subject to taxation.