Summer Interns and the High Cost of "Cheap" Labor
As the weather warms up, your organization’s calendar begins to fill up: Vacation Bible School, camp, and community outreach events. Naturally, with the increased workload, organizations seek the help of summer interns. These young leaders are often a breath of fresh air, providing much-needed energy and support for your seasonal programs. However, many church leaders treat internships as a casual "helping hand" without realizing that the Department of Labor (DOL) views them through a much more rigid lens. The stakes for misclassifying church summer interns are higher than most organizations realize, and a simple oversight in how you compensate or manage these students could lead to significant legal liabilities.
starting an internship program?
Develop a compliant internship program that enriches both your interns and your culture.
Is Your Intern Actually an Employee?
The transition from volunteer to intern and intern to employee is often a blurry line in the ministry world. We tend to focus on the heart of the individual and the mission of the work, but federal law focuses on the nature of the labor being performed. If your intern is essentially filling a "staff-shaped hole"—meaning that if they weren't there, you would be forced to hire a regular employee to keep that ministry running—the DOL would likely consider them an employee entitled to minimum wage and overtime. In the eyes of the law, a "volunteer" heart doesn't override a "staff" workload.
The Hidden Risks of Seasonal Staffing
To stay compliant, ministries must look beyond the title of "intern." The Department of Labor uses a specific framework to determine if a worker is truly a learner or simply an employee in disguise. One of the biggest red flags is dependency: if the student is relying on your organization for their primary summer livelihood or if the ministry is the clear winner in the exchange of labor, you are likely looking at a formal employment relationship. Understanding this distinction is the first step in protecting your ministry from back-pay claims and tax penalties.
The Primary Beneficiary Test in 2026
The "Primary Beneficiary Test" is the gold standard for determining compliance with ministry internship laws. Essentially, who benefits more from the arrangement? For a legal internship, the student must be the primary beneficiary. This means the internship should provide significant educational training, often tied to a college or seminary curriculum, rather than just providing your ministry with cheap labor for the summer camp season.
If your intern is spending 40 hours a week solely on filling water balloons or sanitizing church pews without any mentorship or professional development, the "primary beneficiary" is the church, not the student. In that scenario, you aren't running an internship; you are managing an underpaid employee. To stay compliant, ensure every task has a "why" attached to the student's growth, shifting the focus from what they can do for the ministry to what the ministry is investing in them.
When Stipends Trigger Wage Violations
A common mistake in many ministries is offering a small "stipend" or a "love offering" to cover the interns’ summer expenses. Here is the hard truth: As soon as you pay an intern anything in exchange for their work, they automatically become an employee. There is no middle ground in the eyes of the FLSA. If money (or a gift of value) changes hands, the individual is reclassified as a non-exempt employee.
That “stipend" is considered wages for work performed. So if a non-exempt intern works 40 hours a week for 10 weeks, but their $2,000 stipend breaks down to only $5.00 per hour, you have committed a minimum wage violation. Calling it a stipend doesn't exempt you from the Fair Labor Standards Act; it simply documents the underpayment. You must track every hour worked and ensure total compensation meets or exceeds federal and state minimums.
Stewardship of Seasonal Teams
Effective leadership begins with good stewardship, and that includes how we manage our human resources. Treating your summer staff with excellence isn't just about following the law; it’s about honoring the people God has sent to serve alongside you. By creating clear structures and fair expectations, you protect the ministry’s health and provide a professional, life-giving environment where interns can focus on their calling rather than administrative confusion.
Crafting Intern Job Descriptions
One of the best ways to ensure clarity is by drafting detailed intern job descriptions. These should clearly outline learning objectives, mentorship they will receive, and specific tasks they will perform. A well-crafted job description helps the intern understand their role and provides the ministry with a document that supports the "Primary Beneficiary" status. It also distinguishes between seasonal employees versus volunteer roles and ensures that everyone—from the board to the intern themselves—is on the same page regarding expectations and compensation.
Proper Documentation for Interns and VBS Leaders
Documentation is your best defense against a DOL audit, but using the right tools for the right roles is key. For summer interns who are being paid, you must treat their file with the same diligence as a year-round staff member, including a staff lifestyle agreement that aligns with your ministry’s beliefs. However, if your intern is unpaid and meets the Primary Beneficiary Test, they are technically a learner—not an employee. In this case, you should avoid using an SLA, as it can inadvertently signal an employment relationship. Instead, develop an Internship Agreement or Volunteer Covenant that includes a "Ministry Alignment" clause. This allows you to maintain spiritual accountability without the legal risks of misclassification.
The Value of the Exit Interview
As the summer wraps up, don’t miss the opportunity to conduct an exit interview. This is a critical step in stewarding all the people in your ministry well. An exit interview allows you to gather feedback on the internship experience, identify potential culture gaps, and ensure all documentation is settled. It’s also a powerful way to invest one last time in the student’s professional and spiritual growth, showing them that their contribution was valued far beyond the tasks they completed. Interns are tomorrow’s ministry leaders, so lead them well to the very end of your time with them.
The Stewardship-First Hiring Plan
Ultimately, the goal of your summer program should be a "win-win" where the student grows and the ministry flourishes. This requires a plan that balances your mission with today’s legal realities. By auditing seasonal roles, updating handbooks and manuals, and ensuring pay practices are above board, you create a culture of transparency. When you lead with compliance, you protect the resources entrusted to your care and build a foundation of trust with the next generation of leaders.
Investing in the Future, Protecting the Present
Navigating the complexities of ministry internship laws can feel overwhelming, but you don't have to choose between legal safety and spiritual impact. By taking the time to properly classify and document your summer team now, you are doing more than just avoiding a DOL audit; you are practicing high-level stewardship. You are ensuring that your ministry remains a place where young leaders are mentored with excellence and where the "gift" of a summer internship remains a blessing, not a burden.