In the past I've expressed the belief that you don't have to worry about keeping your tracks out of the red, as long as you pull everything down prior to going into the master bus. That was based on the belief that there is no serious harm done to floating-point data that occasionally goes over 0dB, as long as you ultimately provide adequate headroom before hitting the master limiter. Everybody knows floating-point audio doesn't clip, right?
I was wrong about that. I feel bad about having made that assertion and misleading others, so this post is to make amends.
Turns out, there are a surprising number of plugins that distort in an unpleasant way with input > 0dB, or that generate > 0dB internally. Testing has revealed that the list includes some of my favorite plugins, from highly-respected vendors that have a reputation for great sound quality.
My epiphany occurred a few months ago, when I noticed some ugly popcorn-type distortion on a track and set about hunting it down. It turned out to be a SampleTank instrument, and the distortion was occurring within the plugin itself. Turning its internal volume down solved the problem. However, the instrument was now too quiet, so I had to turn every other track down, too, via their Trim/Gain sliders. (A pain, because it meant re-doing every track compressor.)
Had my old assumption been true, there would have been no change to the overall sound of the mix. To my surprise, the difference was huge. The whole mix had become clearer.
There had been an embarrassing number of little red flags scattered throughout that project. Several plugins had been introducing subtle distortion as a result. Aside from the SampleTank track, none of these distortions was individually noticeable, but they had a cumulative effect. Even then, it was not obvious there was a problem - until it went away.
Nowadays, I make a point of maintaining adequate headroom from the get-go. Sorry for having promulgated wrong information.