The Short Answer

Learn how tax-free stipends work, the IRS rules, and how to keep your travel nurse stipends compliant.

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

Stipend basics

Understanding Tax-Free Stipends for Travel Nurses

Tax-free stipends can dramatically boost take-home pay—but only if you meet IRS requirements. Here’s how stipends work and how to keep them compliant.

What Counts as a Tax-Free Stipend?

  • Housing stipend (within GSA lodging limits)
  • Meals & incidentals (within GSA M&IE limits)

IRS Requirements

  1. Maintain a tax home.
  2. Keep assignments temporary.
  3. Duplicate living expenses.
  4. Stay within GSA limits.

FAQ

What if my stipend exceeds GSA limits?

The excess becomes taxable wages.

Do I need receipts?

Keep housing documentation and proof of tax-home expenses.

Final Takeaway

Tax-free stipends are a major advantage—if you stay compliant. Focus on tax home, duplicate expenses, and GSA limits.

Estimate your stipend impact

Use the calculator to compare taxable wages vs. stipends.

Go to the Travel Nurse Pay Calculator →

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