How to read a travel nurse pay package (with a real example)
Updated 2026-10-12 · Sources cited below · Not tax, legal or insurance advice
Professional review: pending. Every claim here is cited to the official source below, but it hasn't been reviewed yet by a travel nurse and a CPA. We'll name the reviewer and date here once it has.
The four lines on every offer
- Taxable hourly rate × guaranteed hours: normal wages, taxed like any paycheck.
- Housing stipend (weekly): tax-free up to the GSA lodging rate for the work location.
- Meals & incidentals (M&IE) (weekly): tax-free up to the GSA M&IE rate.
- Extras: travel reimbursement, sign-on or completion bonuses (bonuses are taxable).
Recruiters often quote one number, the weekly gross or a “blended rate.” Always ask for the breakdown above in writing.
Worked example: Atlanta, with real FY2027 ceilings
GSA's FY2027 rate for Atlanta averages $193/night ($1,349/week) for lodging and $86/day ($602/week) for M&IE. An offer of 36 hours at $25/hr, $1,250/week housing and $560/week meals breaks down like this:
- Taxable wages: 36 × $25 = $900/week
- Housing $1,250 vs. ceiling $1,349: under, so tax-free
- Meals $560 vs. ceiling $602: under, so tax-free
- Weekly gross $2,710, of which $1,810 (67%) is tax-free. Blended rate: $75/hr.
If the same agency offered $1,499/week housing instead, $150/week of it would be taxable wages, because it's over the ceiling (IRS Publication 463). Run your own numbers: the calculator uses the rate for your exact ZIP and contract dates.
What actually decides what you keep
- Your rent. The stipend is the same whether you pay $3,507/month or $5,846/month. The difference is yours.
- Guaranteed hours. If you're called off, does the stipend shrink too?
- Overtime. Is it 1.5× the taxable base or the blended rate? With a low base, this can be a big difference.
- Missed-shift penalties taken out of stipends.
- Cancellation terms: what you're paid if the hospital ends the contract early.
All of these are on the contract checklist, which saves answers on each contract you log.
Red flags
- A stipend above the GSA ceiling with no explanation (the excess is taxable, and you should know).
- Stipends offered when you don't have a tax home (see the tax home guide).
- A taxable rate well below what staff earn for the same unit, plus vague overtime rules.
Quick answers
- What is a blended rate in travel nursing?
- The whole weekly package (taxable pay plus stipends) divided by the guaranteed hours. It's useful for comparing offers, but only the taxable base is usually what overtime and holiday pay are calculated from, so ask.
- Why is the taxable hourly rate on a travel offer so low?
- Agencies move as much pay as the federal per diem allows into tax-free stipends. That raises take-home pay, but a low taxable base usually means lower overtime, holiday pay and retirement contributions.
- How do I compare two travel nurse offers?
- Compare what you keep per week after housing: total pay minus taxes on the taxable part minus your real rent, and check each stipend against the GSA ceiling for that ZIP and those dates.