The Short Answer

State-by-state analysis of travel nurse savings potential. Which states offer the best combination of pay, taxes, and cost of living?

Read the full breakdown below for detailed analysis, examples, and actionable steps.

High pay doesn’t always mean high savings. A $3,000/week contract in San Francisco might leave you with less than a $2,400/week contract in Phoenix.

Here’s a state-by-state analysis of where travel nurses actually keep the most money.

The Savings Formula

Net Savings = Pay - Taxes - Cost of Living

The best states optimize all three:

  • High pay rates
  • Low or no state income tax
  • Affordable cost of living

Top 10 States for Travel Nurse Savings

Based on 2026 pay data, tax rates, and cost of living:

RankStateWeekly PayState TaxCOL IndexEst. Monthly Savings
1Texas$2,7000%85$5,800
2Florida$2,6000%90$5,400
3Nevada$2,9000%95$5,200
4Tennessee$2,4000%80$5,000
5Washington$3,0000%105$4,900
6Arizona$2,6002.5%88$4,700
7Georgia$2,5005.5%82$4,400
8North Carolina$2,4505.25%85$4,200
9Colorado$2,7004.4%100$4,100
10Ohio$2,4004%82$4,000

Why Texas Tops the List

Texas combines three advantages:

High demand:

  • Large population needs nurses
  • Multiple major metro areas
  • Consistent contract availability

No state income tax:

  • Keep 100% of state tax portion
  • 5-7% immediate savings vs. high-tax states

Affordable living:

  • Housing well below GSA stipends
  • Low overall cost of living
  • Pocket significant stipend surplus

State Tax Impact Analysis

No-Tax State Advantage

At $100,000 annual taxable income:

ScenarioState TaxAnnual Savings
California (10%)-$10,000$0
New York (8%)-$8,000$2,000
Texas (0%)$0$10,000

Working in Texas vs. California = $10,000/year more in your pocket.

But Consider: Pay Differentials

StateWeekly RateState TaxNet Weekly
California$3,300-$330$2,970
Texas$2,700$0$2,700

California’s higher pay partially offsets taxes. The net difference is ~$270/week, not the full tax amount.

Cost of Living Deep Dive

Housing Costs vs. GSA Stipends

CityGSA LodgingActual RentMonthly Profit
San Antonio, TX$107/day$1,200$2,010
Dallas, TX$144/day$1,600$2,720
Tampa, FL$124/day$1,700$2,020
Phoenix, AZ$132/day$1,400$2,560
Denver, CO$191/day$2,200$3,530

Even lower GSA rates can yield good housing profit if actual rent is proportionally lower.

Strategy: Geographic Arbitrage

The Concept

Work in high-pay areas, live in low-cost areas:

  • Take California contracts, live just over Nevada border
  • Take NYC contracts, live in New Jersey
  • Take Boston contracts, live in New Hampshire

Cross-Border Examples

Work StateLive StatePayTax Home TaxNet Benefit
CANVCA rates0%Best of both
NYPANY rates3% (vs 8%)+$5K/year
MANHMA rates0%Major savings

Worst States for Savings

States where savings potential is lowest:

StateIssueImpact
CaliforniaHigh tax + high COLEat into high pay
New YorkSimilar to CAMetro areas expensive
HawaiiHighest COL nationwidePay doesn’t compensate
ConnecticutHigh tax + high COLLimited upside
MassachusettsHigh COL in Boston metroBetter outside Boston

Building Your Strategy

If Maximizing Savings is #1 Priority

  1. Establish tax home in no-tax state
  2. Take contracts in no/low-tax states
  3. Choose mid-sized cities over major metros
  4. Pocket housing stipend surplus

If Balance Matters

  1. Accept some high-tax states for variety
  2. Mix expensive and affordable assignments
  3. Take one “maximize” contract, one “lifestyle” contract
  4. Use tax credits appropriately

Example Year

  • Contract 1: Texas (Dallas) - High savings
  • Contract 2: California (San Diego) - Lifestyle
  • Contract 3: Florida (Tampa) - High savings
  • Net result: Strong savings + variety

Key Takeaways

  • Texas, Florida, Nevada, Tennessee offer best savings potential
  • No state income tax = 5-10% immediate advantage
  • Cost of living matters as much as pay rate
  • Housing arbitrage can add $2,000-3,500/month
  • High-pay states aren’t always high-savings states
  • Geographic arbitrage optimizes both
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