The word is mentioned in relation to vyāvahārika satya and prātibhāsika satya, the so-called sattā traya.

Prātibhāsika satya is the personal bubble in which one lives, the subjective creation of the jīva (the jīva sṛṣṭi), with all its projections, dislikes, likes and fears.

One has to be able to get out of it to a certain extent, in order to see the glories (bhagāḥ) of īśvara by means of a certain objectivity to the visible, empirical reality vyāvahārika satya). Only when the person (for example with karma yoga) has been able to attune himself to this neutral field of dharma and karma, this manifestation of īśvara (īśvara sṛṣṭi), will the mind of this person be ready to hear, understand, realize and assimilate the truth of himself that vedānta tells.

Pāramārthika satya is that reality (sat) which is the truth of all (pāra) objects (ārthas) of empirical reality (vyāvahārika satya). Any object, whether it is a thought, a feeling, the body, the mind, or the world, can be reduced to this truth. The one who thus knows the world, his person, and īśvara as non-two is free from the objects.

This reality is thus the truth of jīva (the living being), the jagat (the world) and īśvara.