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die Aufwandsentschädigung

expense allowance, compensation for expenses, reimbursement

Er erhält eine Aufwandsentschädigung für seine Reise.

He receives an expense allowance for his trip.

Die Aufwandsentschädigung ist oft steuerfrei.

The expense allowance is often tax-free.

an expense allowance ((for sth.)) an expense allowance for sth. She receives an expense allowance for her volunteer work.

Kostenerstattung (cost reimbursement), Spesen (expenses)

A compound of 'Aufwand' (effort, expense) and 'Entschädigung' (compensation). Literally 'compensation for effort/expense'.

Think of it as 'compensation' for an 'up-spend' (Aufwand). It's money you get back for expenses incurred.

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