An internship is a crucial stepping stone from the academic world to a professional career, offering invaluable hands-on experience. But beyond the learning opportunities, internships are increasingly a source of significant income, especially in high-demand fields. While the idea of a "starving student intern" still exists in some sectors, many modern internships offer competitive pay that can rival full-time salaries.
So, what can you expect to earn? The average internship salary in the United States typically falls between $20 and $25 per hour. However, this figure is just a starting point. Depending on your industry, location, and qualifications, this rate can range from minimum wage to well over $50 per hour. This guide will break down the numbers and explore the key factors that determine your earning potential as an intern.
What Does an Intern Do?
At its core, an internship is a temporary, supervised work experience designed to give students and recent graduates a firsthand look into a particular industry or role. It's a symbiotic relationship: the company gets access to emerging talent and support for projects, while the intern gains practical skills, professional connections, and a stronger resume.
An intern's responsibilities can vary widely but generally include:
- Supporting Teams: Assisting full-time staff with daily tasks, research, and data analysis.
- Project-Based Work: Owning a small-scale project from start to finish under the guidance of a mentor.
- Learning and Development: Participating in company training, workshops, and team meetings.
- Networking: Building relationships with colleagues, mentors, and leaders within the organization.
A quality internship is not about fetching coffee; it's about making a tangible contribution while building a foundation for your future career.
Average Internship Salary
The compensation for an internship can be structured as an hourly wage, a weekly stipend, or in some cases, it may be unpaid (though strict legal guidelines apply to unpaid roles).
According to the National Association of Colleges and Employers (NACE) Summer 2023 Salary Survey, the average hourly wage for an intern across all degree levels was $22.56.
However, salary aggregators show a wider spectrum based on real-time, user-submitted data:
- Salary.com reports that the average intern salary in the U.S. is approximately $24 per hour, with a typical range between $21 and $27 per hour.
- Glassdoor places the average total pay for an intern at around $22 per hour, factoring in base pay and additional compensation.
- Payscale notes a similar average of around $19.55 per hour, highlighting the broad range from about $14 to $27 per hour.
The key takeaway is that a single "average" doesn't tell the whole story. Your personal earning potential is heavily influenced by a specific set of factors.
Key Factors That Influence Salary
This is where we move beyond the national average. Several key variables can dramatically increase or decrease your internship pay. Understanding them is essential for negotiating and evaluating offers.
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Area of Specialization
This is arguably the most significant factor. Internships in STEM (Science, Technology, Engineering, and Math) and finance consistently offer the highest pay.
- Top Tier (>$40/hour): Fields like Software Engineering, Data Science, Quantitative Finance, and Electrical Engineering lead the pack. Top tech companies and investment banks are known to pay interns rates equivalent to six-figure annual salaries ($50 - $90+/hour is not uncommon).
- Mid-Tier ($20 - $35/hour): Roles in Marketing, Accounting, Human Resources, Supply Chain, and Mechanical Engineering typically fall into this range, offering competitive but less astronomical wages.
- Lower Tier (<$20/hour): Internships in non-profits, social services, education, and some creative fields like journalism or fine arts often pay closer to minimum wage or provide a small stipend due to budget constraints.
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Level of Education
Your progress in your academic journey directly correlates with your internship pay. Employers are willing to pay more for interns with more advanced knowledge.
- Undergraduate (Bachelor's): Interns pursuing a bachelor's degree see their pay increase as they advance. According to NACE, the average hourly rate for bachelor's-level interns was $22.04 in 2023. A rising senior will almost always earn more than a rising sophomore.
- Graduate (Master's & PhD): Interns enrolled in a master's program command higher wages due to their specialized knowledge. The NACE survey found that master's-level interns earned an average of $28.29 per hour. PhD candidates, especially those in highly technical R&D roles, can earn even more.
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Geographic Location
Where you work matters. Companies in major metropolitan areas with a high cost of living (HCOL) must offer higher wages to attract talent.
- High-Cost Areas: Cities like the San Francisco Bay Area, New York City, and Boston offer the highest internship salaries to offset living expenses. Tech interns in Silicon Valley, for example, often receive housing stipends on top of high hourly rates.
- Medium-Cost Areas: Hubs like Chicago, Austin, and Atlanta offer strong but more moderate pay, balancing opportunity with a more manageable cost of living.
- Low-Cost Areas: Internships in smaller cities and rural areas will generally pay less, reflecting the lower local cost of living and market rates.
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Company Type
The size, prestige, and industry of a company play a massive role in its compensation strategy.
- Large Corporations (Fortune 500): These companies, especially in tech and finance, have structured, well-funded internship programs and are known for being top payers.
- Startups: Compensation can vary wildly. A well-funded, late-stage startup might compete with corporate salaries, while an early-stage startup might offer lower pay but supplement it with valuable equity or unparalleled hands-on experience.
- Government: Federal government internships, like those offered through the Pathways Program, offer respectable pay based on standardized government pay scales.
- Non-Profits: These organizations are typically mission-driven and operate on tighter budgets, resulting in lower pay or stipend-based compensation.
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Years of Experience
While internships are often a person's first professional experience, any prior work can provide a competitive edge. If you have completed a previous internship, led a significant university project, or have part-time work experience relevant to your field, you can leverage that to negotiate a higher starting wage or qualify for a more advanced internship role.
How Internships Impact Your Future Job Outlook
While this article focuses on salary, it's crucial to understand that an internship's greatest value lies in its impact on your long-term career. The U.S. Bureau of Labor Statistics (BLS) doesn't track "interns" as a formal occupation, but its data on full-time roles underscores the importance of experience.
An internship is a direct pipeline to a full-time job. NACE research consistently shows a strong correlation between internships and post-graduation success:
- Higher Job Offer Rates: A 2022 NACE study revealed that 84.3% of interns who worked in a paid internship with a private, for-profit company received a job offer.
- Higher Starting Salaries: Graduates with internship experience often receive higher starting salary offers than their peers without it. The experience validates their skills and reduces the training burden on the employer.
- Career Clarity: An internship allows you to "test drive" a career path, ensuring you are making an informed decision before committing to a full-time role, which is invaluable.
By targeting internships in high-growth fields identified by the BLS—such as software development (projected 25% growth from 2022-2032) or data science—you are strategically positioning yourself for long-term career success.
Conclusion
An internship is a powerful launchpad for your career, and understanding the salary landscape is a key part of the equation. While a national average of $20 to $25 per hour provides a useful benchmark, your actual earnings will be defined by your field of study, academic level, location, and the type of company you work for.
As you search for opportunities, remember that compensation is just one piece of the puzzle. Evaluate offers based on the quality of the experience, the mentorship you'll receive, and the potential for a full-time offer. By focusing on high-demand skills and targeting the right industries, you can secure an internship that not only pays well but also sets you up for a prosperous and fulfilling career.