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Bleed

Bleedi refers to printing that goes beyond the edge of the sheet after trimming. A bleed lets the design of your final piece
stretch from edge to edge without margins.

Pengad requires an 1/8 inch bleed, meaning the design extends 1/8 of an inch from where the cut is to be made. (This means your document will be 1/4 inch wider and taller, this extra paper is trimmed off to the match the trim size.