Salary vs. Stipend: What's the Difference?
Edited by Huma Saeed || By Sumera Saeed || Updated on October 17, 2023
Salary is regular payment for work, typically monthly; stipend is a fixed, often modest, payment for a specific purpose or period.
Key Differences
Salary is a fixed regular payment, typically paid monthly or biweekly, in return for an employee's professional services. Stipend, on the other hand, is a fixed, regular sum of money given for services or to cover specific costs, often not based on hours worked.
Sumera Saeed
Oct 17, 2023
Salary is typically associated with traditional employment where the amount often reflects the job's responsibilities and the employee's experience. Stipend is commonly provided to interns, clerics, or graduate students and is not necessarily compensation for work done.
Sumera Saeed
Oct 17, 2023
Salary often comes with additional benefits like health insurance, retirement benefits, or paid vacation. Stipend, being a modest amount, typically doesn't include such benefits and might be given tax-free.
Sumera Saeed
Oct 17, 2023
Salary serves as the primary source of income for most salaried employees and forms the basis of their financial security. Stipend serves a different purpose, primarily helping recipients offset specific expenses rather than acting as a primary income source.
Harlon Moss
Oct 17, 2023
Salaries are negotiated based on job roles, market rates, and individual qualifications, usually aiming to be competitive in the job market. Stipends are generally predetermined, often standardized for similar roles, and aren't always meant to be competitive or substantial.
Sara Rehman
Oct 17, 2023
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Comparison Chart
Benefits
Often includes health, retirement, etc.
Rarely includes additional benefits
Sumera Saeed
Oct 17, 2023
Primary Purpose
Primary source of income
To cover specific expenses or support during training/education
Janet White
Oct 17, 2023
Negotiability
Typically negotiable based on role and qualifications
Generally standardized and non-negotiable
Aimie Carlson
Oct 17, 2023
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Salary and Stipend Definitions
Salary
A predetermined sum of money for an employee's services.
The company offered a competitive salary and benefits.
Janet White
Oct 17, 2023
Stipend
A regular, fixed amount given for services or to meet costs.
The university provided a stipend for its research assistants.
Huma Saeed
Oct 17, 2023
Salary
Compensation given monthly or biweekly.
He received his salary on the last day of every month.
Harlon Moss
Oct 17, 2023
Stipend
Financial support often for education or training.
He received a stipend during his internship.
Sumera Saeed
Oct 17, 2023
Salary
A regular payment for professional services.
Her salary at the new job was substantially higher than her previous one.
Huma Saeed
Oct 17, 2023
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Stipend
Money given to offset specific expenses.
The stipend was meant to cover her housing and meals.
Sumera Saeed
Oct 17, 2023
Salary
Financial reward for work or services rendered.
The teachers demanded a raise in their salary.
Janet White
Oct 17, 2023
Stipend
Non-salary financial assistance.
Her fellowship came with a stipend to support her research.
Janet White
Oct 17, 2023
Salary
Remuneration based on job roles and responsibilities.
CEOs often have a higher salary reflecting their leadership role.
Harlon Moss
Oct 17, 2023
Stipend
Modest payment not based on hours worked.
The clergyman received a stipend for his community services.
Aimie Carlson
Oct 17, 2023
Stipend
A fixed and regular payment, such as a salary for services rendered or an allowance.
Sumera Saeed
Jul 10, 2019
Salary
A fixed amount of money paid to a worker, usually calculated on a monthly or annual basis, not hourly, as wages. Implies a degree of professionalism and/or autonomy.
Sumera Saeed
Jul 10, 2019
Stipend
(archaic) A regular fixed payment made to someone (especially a clergyman, judge, soldier, or teacher) for services provided by them; a salary. 15
Sumera Saeed
Jul 10, 2019
FAQs
What is a salary?
Salary is a fixed regular payment given to employees for their professional services.
Sumera Saeed
Oct 17, 2023
Are salaries given weekly?
Salaries are typically given monthly or biweekly, though some jobs might offer weekly payments.
Sumera Saeed
Oct 17, 2023
What purpose does a stipend serve?
A stipend provides financial support for specific purposes, often education or training.
Huma Saeed
Oct 17, 2023
Who commonly receives stipends?
Interns, graduate students, and clerics often receive stipends.
Janet White
Oct 17, 2023
Do salaries come with additional benefits?
Yes, salaries often come with benefits like health insurance and retirement plans.
Sumera Saeed
Oct 17, 2023
Is a stipend considered a salary?
No, a stipend isn't considered a salary; it's a fixed sum given for a specific purpose.
Sara Rehman
Oct 17, 2023
Can a salary be negotiated?
Yes, salaries can often be negotiated based on roles, market rates, and qualifications.
Sumera Saeed
Oct 17, 2023
Are stipends taxable?
It depends on the nature and purpose of the stipend. Some may be tax-free while others are taxable.
Sumera Saeed
Oct 17, 2023
Why do companies offer salaries?
Salaries compensate employees for their services, attract talent, and maintain job satisfaction.
Sumera Saeed
Oct 17, 2023
Is a stipend a form of wage?
No, a stipend is distinct from a wage; it's a fixed sum, not based on hours worked.
Janet White
Oct 17, 2023
Do internships always come with stipends?
Not always. Some internships are unpaid, while others provide stipends or even regular wages.
Janet White
Oct 17, 2023
How frequently are stipends paid?
The frequency can vary, but stipends are often paid monthly or quarterly.
Janet White
Oct 17, 2023
Is a stipend considered compensation for work?
Not always. Stipends might be for support or expenses, not necessarily as compensation for work done.
Harlon Moss
Oct 17, 2023
Can salaries decrease?
While uncommon, salaries can decrease due to economic downturns, company performance, or restructuring.
Janet White
Oct 17, 2023
Can someone live off a stipend?
It depends on the stipend's amount and the individual's expenses. Some stipends are modest and only intended to cover specific costs.
Sumera Saeed
Oct 17, 2023
Can a stipend act as a primary source of income?
Stipends are often modest and intended to offset specific costs, not to act as a primary income.
Janet White
Oct 17, 2023
Can a job offer both a salary and a stipend?
Yes, some roles, especially academic or research positions, might offer a salary plus a stipend for specific expenses.
Janet White
Oct 17, 2023
Do part-time employees receive a salary?
Part-time employees might receive a salary or hourly wages, depending on the employment terms.
Janet White
Oct 17, 2023
How are stipend amounts determined?
Stipend amounts are often standardized for similar roles or based on the costs they're intended to cover.
Sumera Saeed
Oct 17, 2023
Are all salaries the same within a company?
No, salaries can vary based on roles, experience, and qualifications.
Sumera Saeed
Oct 17, 2023
About Author
Written by
Sumera SaeedSumera is an experienced content writer and editor with a niche in comparative analysis. At Diffeence Wiki, she crafts clear and unbiased comparisons to guide readers in making informed decisions. With a dedication to thorough research and quality, Sumera's work stands out in the digital realm. Off the clock, she enjoys reading and exploring diverse cultures.
Edited by
Huma SaeedHuma is a renowned researcher acclaimed for her innovative work in Difference Wiki. Her dedication has led to key breakthroughs, establishing her prominence in academia. Her contributions continually inspire and guide her field.
