HR Glossary
Stipend
A fixed, often modest payment made to interns, trainees, or apprentices instead of a full salary.
Definition
A stipend is a set periodic payment given to someone in a training or learning capacity — such as interns or apprentices — typically lower than a full employee salary and structured differently for tax purposes.
Why It Matters
Stipends need to be tracked and taxed differently from regular salary in payroll systems.