Ask A Travel Nurse: Tax Home

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Ask A Travel NurseGypsy,

I am a travel nurse and am wondering if you have any advice about establishing a tax home? I won’t be keeping my apt here, so will that mean everything I make will be taxed? I know my hourly wage will be, but the per diem wage the travel company gives you, will that be taxed? I have thought about asking a friend to let me use their address, but I don’t want to get screwed at tax time! Any advice?

Thanks!
Tiff

Thank you for reading The Gypsy Nurse. You have taken the first step on your journey to become A Gypsy Nurse.

If you do not have a legal tax home, everything that you are given should be taxed as income; including any per diem or housing. There are many travel nurses that will scoot around this by keeping an address with a friend or family member…however, there are HUGE risks with this. If you are audited and cannot PROVE that you have paid ‘market value’ for a room/apartment/etc. then you will be back taxed with penalties and fees. For me, the risk is too great so I have always had a true tax home. At times, this was a full apartment of my own and at other times, it was a rented room.

I HIGHLY recommend that you speak to a tax prep professional. I recommend that you contact a travel tax expert for your tax related questions.  I use Joe Smith @ TravelTax.  Joe is well versed and up to date with traveler taxes. His wife also writes tax advice for The Gypsy Nurse.  I have used Travel Tax for my tax questions and needs for the entire time I’ve been a travel nurse and I trust his advice.  If you have more questions regarding tax home, subscribe to The Gypsy Nurse.  I have upcoming articles on housing as well as an upcoming article from Travel Tax in October that will discuss Tax Home status in more detail.

- Gypsy Nurse, RN

 

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TheGypsyNurse

As a travel nursing educator, Candy aka Gypsy Nurse, RN has worked in healthcare for nearly 20 years, working up the ranks from CNA to LPN to RN. For the past eight years, she’s worked as a travel nurse, allowing her to practice and live in 14 states throughout the U.S. She regularly shares advice for those interested in travel nurse jobs on her website at: www.thegypsynurse.com.
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