Article provides guidance on paying stipends to volunteers. In the eyes of the federal government, nonprofit volunteers should be just that—volunteers of their time without payment or expectation of compensation.
According to the U.S. Department of Labor, a volunteer is “an individual who performs hours of service…for civic, charitable, or humanitarian reasons, without promise, expectation, or receipt of compensation for services rendered.”
Bottome line – if a nonprofit wants to pay a stipend, the amount must be nominal.