Both are soft lumps that sit under the skin for years without doing much. Neither is dangerous. The difference is what is inside and how deep it sits.
A cyst is in the skin. A sac attached to the skin, slowly filling with keratin — the protein your skin and nails are made of. Because it is attached, the skin moves with it, and there is often a tiny dark dot on the surface.
A lipoma is under the skin. A soft ball of fat sitting below, in its own thin capsule. The skin slides freely over the top, and there is no dot.
Neither needs removing unless it bothers you, is in the way, or is changing.
The same protein as skin and nails, packed into a closed sac that grew from a hair follicle.
Ordinary fat cells in a thin capsule. It is a benign growth, not a blockage.
Defined edges. It rolls under your finger.
It gives when you press it, and the edges are vaguer.
The sac is attached to the skin.
The lump sits below, so the skin glides over the top.
A small opening in the centre, called a punctum. That is the old follicle, and it is close to a giveaway.
Normal skin, no opening.
Anywhere with a layer of fat.
Slow. Can flare and shrink if it ruptures.
Very slow, often stable for years.
Then it becomes red, hot and painful within a day or two.
A rare type called an angiolipoma is tender.
A ruptured cyst leaks keratin into the surrounding tissue and the body reacts. It looks exactly like an infection and is often not one.
There is nothing to rupture or block.
Local anaesthetic, done when it is calm rather than inflamed. Leaving any of the sac behind means it refills.
Local anaesthetic. Straightforward, and recurrence is uncommon.


Most lumps under the skin are one of these two and nothing more. A small number are not, and these are the features that warrant an appointment rather than a wait:
None of those means something serious. They are the reasons to have it examined rather than assume.
Pressing on it can rupture the sac under the skin and turn a lump you had happily ignored for five years into a red, painful one that now needs urgent attention. And it does not solve anything, because the sac stays and refills.
There is nothing to squeeze on a lipoma at all.