Above the Law, Taxes Eat Away at Georgetown’s Public Interest Stipend for Some Students:

We’ve done a lot of coverage about deferral stipends, public interest stipends, and other direct payments to graduates who are not able to secure prime, private practice employment.

If you think about it, these programs have popped up with shocking speed. In 2007, there was no such thing as a “deferral stipend” from firms, and the public interest fellowship programs offered by schools were small and for grads who wanted to wait a little while before heading into the open arms of a private law firm. Now, these programs represent the last hope for grads who are unable to secure jobs.

With everybody trying to describe what these programs are, there’s been little time to analyze how these programs work. One aspect is particularly interesting to students considering some of these stipend options: how will the stipend be taxed.