ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -What is a stipend? Stipends are fixed amounts paid to certain individuals to cover expenses such as food, commute and housing. In some situations, people who perform duties for companies without receiving a regular salary may receive stipends. A student, intern, or trainee can receive a stipend.

Detailed explanation-2: -What is allowance? Any monetary benefit offered by the employer to its employees for meeting expenditures, over and above the basic salary are known as Salary Allowances. Allowances are the financial benefit given to the employee over and above the monthly salary.

Detailed explanation-3: -The main difference between salary and remuneration is that the former is a subset of the latter. Recompense includes salary, wages, bonuses, commissions, overtime pay, and other social and economic benefits, while salary is a fixed and regular payment that remains excluded from any additional perks.

Detailed explanation-4: -This means the company is paying you to work for them as an Intern. The payment given to an intern is called stipend. Whereas, the payment given to an employee is called salary.