What are some common pitfalls when dealing with Umlauts in PHP development, especially when transferring data between local development and a server environment?

When dealing with Umlauts in PHP development, a common pitfall is encoding mismatches between local development and server environments. To ensure proper handling of Umlauts, it is important to consistently use UTF-8 encoding throughout your application. When transferring data between local development and a server environment, make sure to check and set the encoding appropriately to avoid character encoding issues.

// Set UTF-8 encoding for PHP scripts
header('Content-Type: text/html; charset=utf-8');

// Set UTF-8 encoding for database connection
mysqli_set_charset($connection, 'utf8');