Are stipends taxable?

A stipend, by definition, is a fixed regular sum paid as a salary or an allowance to an individual. A stipend doesn't require you to be paid the minimum wage for every hour worked. Since it isn't seen as an actual wage, you can not pay Social Security and Medicare taxes on your stipends earned. They are required to be filed under your income taxes as taxable income, as it is still a source of income for your services. So the amount you make off of a stipend is completely taxable on your tax return. Even though it is still taxable, your employer cannot withhold any taxes from the stipend you are given, so all in all, stipends are only taxable under income tax.

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