The Definitive Guide to Creating an Internship Program

Internship programs are rewarding for your company, the interns, and all of the team members involved. Over half of people who complete an internship say it puts their career in high gear, and 4 in 5 were especially interested in staying at the company full-time.

These programs provide valuable hands-on experience for interns while offering businesses an opportunity to train potential future employees and bring fresh ideas into their workplace.

But without proper structure and support, internships can lead to dissatisfaction for both the interns and employees within your organization. Poorly managed internship programs may result in high turnover, negative experiences, and lost opportunities to develop talent.

Follow the guidelines we provide below to ensure your internship is successful for everyone involved.

Why you should create an internship program

Internships offer key business benefits

A robust internship program provides many potential benefits for businesses, including:

• Training future employees
• Providing mentorship opportunities for employees
• Adding support for time-consuming or high-volume tasks
• Injecting fresh ideas and perspectives
• Creating a cost-effective, low-commitment way to discover talent
• Improving your employer brand

Additionally, young professionals are eager to prove themselves. That new energy can be extremely valuable in motivating your team.

"The new insights our interns bring are everything. They’re in school right now learning all these new things from their professors, and they get to bring those to our company. That's huge," says Carlie Miner Jackson, Talent Acquisition Partner at BambooHR, where she’s run the internship program since 2022. "We want and need these new insights."

Benefits for Interns

Internships can bring huge benefits to interns, too:

• Adding real-world experience to their resumes
• Gaining corporate or industry-specific experience
• Building confidence in their skills
• Creating the potential for a full-time offer
• Gaining a professional network and references
• Establishing a professional portfolio of work

“Even if a job offer isn't on the table right away at the end of an internship, new connections and relationships can lead to valuable professional references for future roles,” says Hailey Hess, former marketing intern and now a full-time employee at BambooHR. “These aren't just any references; they come from reputable professionals who have seen what we can do first-hand.”

If you're thinking about starting an internship program, remember it's not just a great idea for your team—it can be a career game-changer for them, too.

Is an internship program right for your business? 3 signs to consider

1. Your employees need extra support

First, take a moment to evaluate your current workload. If you’re feeling overwhelmed and could use some extra hands, an intern might be just what you need. However, it’s important to ensure there’s enough substantial work to keep them engaged.

Without enough work to fill an intern’s time, your internship program will be unproductive, leaving both the intern and the organization disappointed.

2. You want to provide new leadership opportunities for employees

Offering leadership opportunities to current employees in the form of intern supervisors may be a great incentive to start an internship program.

Although the selection of supervisors will vary depending on the size of your organization, we recommend designating an individual employee per intern. Someone who can facilitate frequent check-ins, answer questions, assign tasks, and provide one-on-one support will help the program run smoothly.

3. Potential intern supervisors are bought in and enthusiastic

While you need to have enough work for your interns, you also need supervisors with enough wiggle room in their schedules to assist them. Interns will be most successful with the help of supervisors, so if your supervisors can’t commit to that extra time, starting a program probably won’t be worth it.

Consider the time investment a supervisor will dedicate to training an intern, and balance this against the potential productivity gains and time savings a trained intern can bring to your team.

Alternatives to internships

Internships vs. cooperative education programs

Cooperative education programs, or "co-ops," are an alternative to traditional internships. In a co-op program, the participant does paid, full-time work at your company for several terms, usually three or more, with each work term alternating with their school terms.

This means their degree may take longer, but they’ll gain valuable work experience and earn money along the way.

For businesses, co-ops are especially beneficial as they allow for longer-term engagement with students, providing a consistent source of fresh ideas and the opportunity to fully evaluate potential future employees in a real-world setting.

Internships vs. full-time hires

Alternatively, hiring someone full-time can be a great option, too. Opting for a full-time employee over an intern might also be a better option for businesses looking for a ‌more developed team member who can immediately contribute at a higher level and bring experience and skills that are usually beyond the initial scope of interns.

Types of internships

Traditional

Traditional internships place interns into a team where they’ll stay for the entirety of the program. This gives interns a chance to jump right into the work and deepen their industry knowledge. As they see projects through to completion, they will strengthen their understanding of the role and gain expertise. This is how BambooHR’s internship program operates.

Rotational

In a rotational internship program, another popular model, interns contribute to a team for a few weeks then rotate to a different team. As they’re exposed to different facets of their field, they can discover preferences for their future career.

Rotational programs are a great chance to network, develop adaptability, and gain a well-rounded understanding of the industry or company. Walmart and Capital One are known to have a rotational program.

Remote

Remote work offers key benefits, but organizations that offer remote internships should be intentional about making sure interns are included and supported.

A few key considerations include:

• Larger talent pool: Remote work options give you access to a larger talent pool, as you’re not limited by geographic boundaries. If you want to hire from a more competitive talent pool, remote internship options might be in your favor.
• Remote stipends: Some companies give stipends to be used on internet access or setting up a desk space.
• Creative engagement: Connecting with colleagues virtually has its challenges, so it’s important to stay highly engaged in your digital communication channels. Ask an icebreaker question in your Zoom meeting, or drop a question of the week in your Slack channel.
• Free lunch: In lieu of an intern cohort lunch, consider sending your interns an occasional gift card to get lunch delivered to their home office.
• Work-life balance: For many employees, remote work improves their work-life balance. However, that doesn’t mean the lines don’t blur between the two. Encourage focus during work hours and a closed laptop after hours.

In-person

Although remote work skyrocketed during the COVID-19 pandemic, the fully remote workforce is declining as more companies issue return-to-office mandates.

Organizations that are planning to host in-person internship programs should consider:

• Direct support: One of the best advantages of in-person internships is direct access to mentors and managers.
• Access to resources: Certain equipment can only be stored in the office, so an in-person position may be necessary for particular jobs.
• Easy engagement: When all your interns work in-office, relationships are more quickly formed and you’re able to see who fits well in your company culture.
• Limited talent pool: While in-person positions have their benefits, know that your talent pool will be more limited to those in close proximity to the office.
• Relocation stipends: If an intern is required to relocate for their internship, consider offering them a relocation stipend to help with food and lodging expenses.

Hybrid

As debates about RTO mandates continue, hybrid work offers a middle ground. Hybrid work arrangements are also popular for internships––the National Association of Colleges and Employers (NACE) reports there are double the number of hybrid programs than in-person.

Here are a few key considerations for a hybrid internship program:

• Broad appeal: Hybrid work is growing in popularity, a flexible blend of the traditional in-person option and the fully remote option.
• Flexibility: When you operate a hybrid internship, it allows both your organization and the interns themselves to be flexible. You can mandate regular onsite days, or host occasional in-person events. Your interns have office resources at their convenience, but also have the option to work from home.
• Defined structure: Consistency can be a challenge, so be sure to communicate which days your interns are expected to be in-office.

Paid vs. unpaid internships

Unpaid internships create a roadblock for fairness and opportunity for all college students. If you need to make money to pay the bills or help out at home, taking an unpaid internship simply isn't an option. This means a large group of talented individuals miss out on some incredible opportunities because they can't afford to work for free.

In this way, unpaid internships undermine inclusion and gatekeep career opportunities in favor of individuals from privileged backgrounds and socioeconomic groups who can afford to work for little to no pay.

Furthermore, from an HR perspective, consider the quality of work you can expect from someone who's working for free compared to a paid intern who feels valued and included. When interns are paid, they're more likely to be invested in their work and bring their A-game every day because they feel appreciated and important to the team.

Benefits overview of paid and unpaid internships

Paid internships

• Greater chance of turning into full-time employment
• Entry-level work
• More invested in their roles
• Benefits both intern and company
• Real-world learning
• Decreased recruiting and training costs
• More accessible to interns of all socioeconomic backgrounds

Unpaid internships

• Less likely to turn into full-time employment
• Shadowing and observational
• Less invested in their roles
• Legally must benefit the intern more than company
• Classroom-like education

Both

• Networking
• Training and skill development
• Supports interns career development
• Prepares interns for smoother transition into the workfield

Paid internships

If your business can afford to support paid internships, doing so is often the smart choice. The average hourly wage for interns is $23.35 in 2025. If that seems high, that’s still a 3% dip since 2016 when adjusting for inflation.

Paying interns also aligns with the broader goal of converting interns to full-time employees. By offering paid internships, companies provide meaningful, practical training that prepares interns for smooth transitions into permanent roles, supporting both the intern’s career development and the organization's long-term success.

Legalities & 401(k) benefits for paid interns

If you choose to pay your interns, they will fall under one of three categories:

• Full-time
• Part-time
• Temporary

This classification entitles them to the same legal protections as your other employees.

From a recruiting and retention standpoint, consider offering your interns benefits such as 401(k) plans. Plus, there are tax advantages: neither you nor your interns are required to pay taxes on the employer match, resulting in a win-win for both parties.

Unpaid internships

Though paid internships are becoming the norm, there are still circumstances where unpaid internships might be appropriate. For example, a nonprofit organization may not have the budget to pay interns. In such cases, it’s essential to understand the US Department of Labor’s (DOL) stance on unpaid internships.

The DOL explains that "for-profit" employers must compensate all their workers, however, deciding whether or not interns are officially recognized as “employees” determines whether they must be paid or not.

In hopes of preventing companies from exploiting interns for free labor, the DOL created a set of guidelines called the “Primary Beneficiary Test” to determine which party, employer or intern, benefits most from the internship. This test is found in the Fair Labor Standards Act (FLSA).

If you are planning roll out an unpaid internship program, be sure your internship favors the intern as the primary beneficiary according to each of these standards:

• Does the intern and the employer understand the intern won't be paid? Any hint of payment means the intern is considered an employee.
• Does the internship teach skills similar to those taught in school, including practical training similar to what you'd receive in a classroom?
• How closely is the internship connected to the intern's academic courses or gives them school credit?
• Does the internship accommodate the intern's school schedule?
• How long does the internship last (ideally only as long as it is beneficial for the intern's learning)?
• How does the intern's work add to, rather than replace, the work of paid employees and give valuable learning experiences to the intern?
• Do the intern and the employer both understand the internship won’t lead to a guaranteed paid job afterward?

The "Primary Beneficiary Test" is a flexible one where no single factor determines the result. Whether an intern or student qualifies as an employee under the FLSA depends on the specific details of each situation.

If after looking at these details, it turns out that your intern or student is really an employee, then they must be paid at least the minimum wage and receive overtime under the FLSA. However, if they are not considered employees, you are not required by law to pay them.

How to create an internship program: 9 best practices

1. Establish goals

As with all business endeavors, use your company goals to craft your internship program. Consider how the introduction of an internship program can support your company’s vision, mission, and values. In this light, you can create some program-specific goals.

For example, one of our internship program goals at BambooHR is to hire at least 50–75% of our interns for full-time employment following their internship. With goals like this in mind, you’ll be better able to establish expectations within your program.

2. Create a budget

Though internship programs can have a high ROI, there are many costs to consider. That’s why creating a budget is one of the most important things you can do before starting a program.

Consider the interns’ compensation and the costs of recruiting and hiring interns. In addition, leave space in your budget for resources like computers and extra equipment. Don’t forget to factor in the cost of perks and activities. Once you have your program budget nailed down, you can move forward with your planning much more confidently.

As you identify the roles an intern could fill, you’ll get a clearer picture of how many interns you might need. You’ll want to strike that balance between hiring enough to make a difference, but not an unmanageable amount. If you can handle a larger internship program, we recommend it. A large program will shine more visibility on your organization and give your brand a competitive edge.

3. Decide on a timeline

Consider the length and seasonal period of the internship program. Would you prefer full-time summer interns, or part-time interns during the academic year?

Internships typically span 8 to 12 weeks. Remember that the process of recruiting and hiring interns can span several months. Internships typically align with school semesters, but some may last longer.

Here’s a breakdown of your recruiting responsibilities for summer, fall, and spring internship programs:

By following this timeline, you can ensure a smooth and efficient recruitment process for your internship program.

4. Start recruiting

Wondering where to find your talent? As an internship coordinator, you’ll find that partnering with universities is extremely beneficial in your search for the best talent. Develop a relationship with career centers, professors, and counselors. Attend or host information sessions on campus—make your presence known! Establish strong communication with your university connections so they can promote your job openings.

As far as where to advertise your open positions, go where the students are! Here are our top 5 recommended platforms with a strong student presence:

• Handshake
• Indeed
• LinkedIn
• Reddit
• ZipRecruiter

5. Host interviews

Once applications start rolling in, your interviewing and hiring process will begin. Approach the intern hiring process a little differently than regular positions, as your applicants are likely to be students with less work experience.

What you can ask about, though, is how they’ve handled challenges and working with others, impactful projects they’ve completed, and their personal aspirations. We highly recommend following a few essential steps for your hiring process.

Use one-way interviews to screen internship applicants

After reviewing resumes, written or recorded interviews (also known as one-way or asynchronous interviews) are a convenient initial interview choice for potential interns, who are often tech-savvy applicants. In these interviews, candidates respond to predetermined questions via text or video at their convenience.

Here’s how one-way interviews can benefit you and your potential interns:

• This method saves time by narrowing down candidates before moving on to more detailed, in-person interviews.
• Candidates answer questions on their own time, which can improve the quality of their responses.
• The hiring process is more fair, as all candidates get the same questions.
• It's easier and quicker for the hiring team to review these responses when it’s most convenient for them.

Why you should do two rounds of interviews

You might be thinking, "Woah! This is a lot of work for a temporary internship!" However, keep in mind that successfully operated internships reap many rewards for companies. Plus, the more energy you put into your interns, the more energy they’ll give you in return.

Conducting two rounds of interviews for each intern is highly beneficial. Here's why:

• A second interview allows the candidate to reflect on their first experience, become more at ease, and reveal more of their unique traits.
• With limited time in a single interview, a follow-up interview allows you to dive deeper and learn more about the applicant’s abilities and how they’d add to your company culture.
• It provides an opportunity for the intern to connect with more members of your team, growing their networks.

6. Reach out to professional references

As you narrow down your final applicants, we recommend contacting their professional references.

Here's what to ask and the responses to look for:

7. Designate internship program leaders

Establishing leadership roles is one of the most influential practices to help your internship program run smoothly. While leadership organization will vary by company, we recommend assigning a mentor to guide each intern through the program.

Here’s how we structure our program here at BambooHR:

• Internship coordinators: Two of our Talent Acquisition Partners take on the role of Internship Coordinators. They facilitate university outreach, manage applications and communicate with applicants throughout the hiring process, organize intern events like lunches and connection activities, and host bi-weekly check-ins.
• Managers: Managers run the normal operations of their teams and have occasional check-ins with the interns on their teams.
• Mentors: One mentor is assigned to every intern. A mentor is responsible for kickstarting their intern’s experience by providing initial projects and checking in daily to give training and development.
• Interns: Interns work on assigned projects, participate in team activities, and seek guidance from their mentors.

Assisting an intern is a big commitment from the mentors. Megan Westover, one of our Talent Acquisition partners who operates our internship program, checks in with mentors before the program begins to help them understand their responsibilities: “They need to make sure that their calendar and schedule allows them to spend about 75% of their time with their interns.”

Although that's a significant time commitment, we’ve seen the results that come from this structure. Interns develop strong bonds with team members and are empowered to tackle important tasks. This results in a high satisfaction level, which fuels the intern-to-full-time pipeline.

8. Make sure interns work on meaningful tasks

Interns can bring a lot to the workplace. Their fresh perspectives and work ethic can greatly boost productivity and company culture. One of our biggest recommendations is to greet your interns’ enthusiasm with open arms! Having meaningful tasks prepared for interns to complete is one of the best ways to do that.

As an HR professional, you have the responsibility to ensure that mentors and managers are prepared to delegate assignments to interns. Internship programs are typically temporary, so let your interns jump into projects quickly to avoid wasted time.

At BambooHR, we make it a priority to give interns plenty of work to do by working closely with managers and mentors. Megan says, “Before we actually open a job, we ask the question, ‘Will you have projects for the intern to work on during the summer?’ Because if they ever come back saying ‘No,’ then we will not open the position. We want it to be a meaningful internship, with projects and work for the intern.”

Remember that this internship is a valuable and foundational experience in these young professionals’ careers, so beyond having simply enough work to do, make sure it’s meaningful work. Gone are the days of tasking interns to make copies or do a coffee run. Both the interns and the company as a whole will benefit from interns working on real, impactful projects, just like their colleagues.

Involve interns in projects and meetings for the teams on which they belong, but also provide them with special projects just for them, like a capstone or portfolio project. Giving interns tasks they can own will give them a chance to step up, increase their understanding of the subject, and showcase the full bandwidth of their skills. These are the projects that will really let your interns shine.

You may not be used to having extra hands on deck, so don’t be surprised when your interns complete tasks faster than you expect. Prepare a bank of backlog projects ahead of time so that interns have plenty of assignments to turn to after completing projects.

9. Promote intern development through trainings and activities

Internships offer a unique opportunity not only for work experience but also for personal and professional growth. To fully capitalize on this, consider implementing professional development training and immersive activities into your program.

Include interns on all company-wide activities, but designate a handful of activities just for interns. Depending on the length of your program, consider hosting an engaging activity or training once every couple of weeks. Let’s dive deeper into some of these activity ideas.

Professional Development

Being early in their careers, interns are often eager for professional advice. Take advantage of this opportunity by providing:

• Lunch-and-learn events
• Speed networking
• Professional development trainings
• Guest speaker series
• Skill-building workshops
• Career panels

For example, at BambooHR, we hold professional development sessions during the onboarding process, in bi-weekly check-ins, and at monthly intern lunch meetings.

Ask leaders within your organization to prepare advice and training for the interns. Train them on your company mission, vision, and values, and help them develop skills that will advance their career. If you plan to offer your interns permanent positions, these sessions are a great way to align their growing skills with your company's needs.

Shadowing opportunities

For those in traditional internship programs who don’t experience a rotational schedule, engaging in shadowing opportunities may be beneficial. Shadowing is when an intern observes a colleague from a different team or department to learn about their responsibilities.

They will typically spend a full work day observing and assisting with projects and attending meetings. For remote workers, shadowing sessions can be set up over a Zoom meeting.

Interns’ gained insights from shadowing will help them better understand company processes and explore potential career paths. Also, a strengthened network within your organization will improve workflow and company culture.

Social activities that support networking

Engaging activities are one of your best chances to show off your company culture. They allow interns to connect with one another, with other colleagues, and with leadership. They encourage interns to build their skills, help them feel valued, and boost their job satisfaction.

Some fun social activity ideas include:

• Coffee chats
• Roundtable discussions
• Intern icebreakers
• Volunteer projects
• Company social events, such as game nights or barbeques

Even simple but meaningful interactions and activities make an impact on interns. We interviewed a recent intern whose experience at a public health consultancy left a lasting impression. “I felt like I was an equal, my opinions were heard, my experiences were valued,” the intern said.

A satisfied intern can bring great returns to your company. In fact, satisfied interns are six times more likely to accept a full-time position. Creating valuable internship experiences is worth the investment!

After the internship: What happens next?

As your internship program wraps up, it's time to think about what's next. Maybe a full-time offer is on the horizon. Or maybe it's time for the intern to move on to another opportunity. Either way, stay in touch with your interns!

We recommend:

• Conducting exit interviews to gather feedback and insights
• Providing any necessary documentation or support for school requirements
• Offering references to help interns' future aspirations
• Inviting interns to join an alumni group on LinkedIn

For the interns you wish to retain, consider offering them a full-time position as the internship ends. If you’re unable to offer a position immediately, perhaps due to limited openings, but you recognize the intern as a valuable asset, keeping up with their career can help you identify future opportunities for them within your company. This not only strengthens your team but also builds loyalty.

How to measure your internship program's success

Quantitative metrics

• Conversion rate: At BambooHR, we strive for at least 50–75% of our interns to accept full-time offers for the next summer following their final year of schooling, though we wouldn’t be opposed to hiring all 100% of our interns, provided they are a good fit and we have the capacity to do so.
• Project completion rate: Tracking the completion rate of projects assigned to interns helps measure their productivity and the effectiveness of the training provided.
• Performance ratings: Intern performance ratings are based on evaluations from their supervisors.
• Attendance and participation: We recommend aiming for 95–100% attendance in training sessions and company events, because high attendance rates show engagement and commitment from interns.

Qualitative metrics

• Skill development: Interns consistently report improvements in both their technical and soft skills.
• Positive work environment feedback: Interns describe the work environment as inclusive and supportive.
• Career path clarity: Interns mention gaining clearer insights into their career paths.
• Increased confidence: Interns express increased confidence in their abilities to take on full-time roles.
• Strong relationships: Interns develop meaningful connections with other interns, mentors, and team members, forming networks that support their future careers.
• Helpful contributions: Interns bring fresh perspectives and ideas to projects, strengthening the company and proving their capabilities.

Are internship programs worth it?

Now that you’re officially an expert on all things internships, it's time to ask: Are internship programs worth it? At BambooHR, our stance is a resounding yes! Internships offer amazing benefits for everyone involved.

But to really get the most out of them, companies should follow the best practices outlined in this guide. This means providing a well-organized, supportive, and enriching experience for interns, mentors, managers, and the company as a whole.

By doing so, organizations can build a strong talent pipeline, increase mentorship, and bring fresh perspectives to their teams, all while empowering the next generation of professionals.