defrays

Defrays means pays or covers costs, typically on behalf of someone else or from a shared fund.

When an organization defrays expenses, it takes on the financial burden so others don't have to: The grant defrays the cost of tuition for qualifying students.

The word implies partial or full payment of obligations rather than gifts or bonuses, and appears most often in formal or administrative contexts involving reimbursement, subsidies, or institutional funding.