5 Travel Nurse Tax Tips

The deadline for filing taxes is *April 15th.

The date to file your taxes by this year is Tuesday, April 15, 2025. You can file taxes yourself using IRS e-file or hire a tax professional to file for you. Either way, the faster you file, the quicker you cash in on whatever refund you may have coming.

Using an expense tracker app is a great way to keep track of your monthly expenses. Clear records will enable you to easily match expenses with receipts, helping you file accurately and saves time by doing this ahead of time so you are not rushed.

As a travel nurse, you may be required to pay state income tax in both your permanent residence state and the states where you've worked assignments. While 41 states impose state income tax, nine states—Alaska, Florida, Nevada, New Hampshire, South Dakota, Tennessee, Texas, Washington, and Wyoming—do not. To better understand your state tax obligations, research State tax questions or consult a tax expert, preferably a CPA experienced in travel nursing and state income tax reciprocity agreements.

Once your W-2s are available on the ADP app or website, set a date to file your taxes yourself or meet with a tax professional. Filing early can help you receive your refund sooner. Additionally, working with an experienced CPA can maximize your refund or reduce the amount you owe while minimizing the risk of an audit.

Because travel nurse taxes can be complex, working with a CPA who specializes in travel nursing can help you maximize deductions, file correctly in multiple states, and minimize your risk of audits.

To qualify for non-taxable stipends (housing, meals, and incidentals), you must have a tax home—a primary residence where you regularly return and have financial ties (e.g., rent, mortgage, or bills in your name). Without a tax home, your stipends may be considered taxable income. The IRS also uses the geographic location of your employment to determine your tax home.  If you work for 1 year or more in the same geographic location that will become your tax home.

Tax season can be especially complex for travel nurses. Unlike those in traditional jobs, frequent relocations and variable stipends add layers of complication to the filing process.

One of the biggest factors in whether your reimbursements and stipends remain tax-free is establishing a tax home. In many cases, a travel nurse’s tax home is their primary residence before they began traveling. To maintain a valid tax home, you may need to meet certain criteria, such as continuing to pay rent or a mortgage at that address, using it for official documents like your driver’s license and voter registration, and spending a designated amount of time there annually.

However, tax rules can be nuanced, and every situation is different. Consulting a CPA with expertise in travel nursing can help ensure you maximize your tax benefits while staying compliant with IRS regulations.

We hope this helps and as always please reach out to your recruiter with any questions! By staying organized and proactive, you can navigate travel nursing taxes efficiently and keep more of your hard-earned money!