What is daily allowance? #
The daily allowance is the cost that would reimburse the employee if he/she has gone to stay outside on official duty. IT companies pay daily allowance to their on-site employees to meet their local expenses such as food and local conveyance.
Allowances paid during transfer or tour, to meet the ordinary daily expenses incurred by an employee in the absence from his/her regular place of duty. Often employees are requested to support clients or projects at the site which is usually a different place than their traditional working place and to compensate for the workplace change employees are provided with a daily allowance in their salary package to meet their local expenses
