Every travel nurse pay package looks like a jumble of numbers: hourly rate, weekly stipend, housing, meals, bill rate, blended rate. Recruiters throw a "weekly gross" at you and hope you don't ask questions. Two contracts with the same $2,400 headline can deliver wildly different take-home pay depending on how the number is sliced.
This guide breaks down every line item on a standard travel nurse pay package, how to calculate real take-home pay, and how to compare offers apples-to-apples.
Last updated: April 2026.
The Five Components of Every Travel Nurse Pay Package
| Component | Taxable? | Purpose |
|---|---|---|
| Taxable hourly wage | Yes | W-2 income; counts for OT calculation |
| Housing stipend | No (if qualified) | Cover housing at assignment location |
| Meals & incidentals (M&IE) | No (if qualified) | Food and incidental costs |
| Travel reimbursement | No (if qualified) | Mileage, flights to/from assignment |
| Completion / retention bonus | Yes | Paid at end of assignment |
Sample Pay Package Decoded
Typical 13-week ICU contract in Seattle, WA:
| Line Item | Amount | Weekly (36 hrs) |
|---|---|---|
| Taxable hourly wage | $27.50/hr | $990 |
| Housing stipend | — | $1,100 |
| Meals & incidentals | — | $385 |
| Travel reimbursement | $500 total | $38 (amortized) |
| Gross weekly | $2,513 |
Take-Home Math
- Taxable portion: $990/wk × 22% blended tax = ~$218/wk withheld
- Net taxable: ~$772/wk
- Tax-free portions: $1,523/wk (stipend + M&IE + travel)
- Estimated take-home: ~$2,295/wk
For comparison, a same-location staff ICU RN earning $60/hr × 36 hrs = $2,160 gross would net ~$1,600 after tax. The travel nurse nets ~$695/week more — if they qualify for tax-free stipends.
How the Taxable Wage Gets Set
Agencies minimize the taxable wage to save on payroll taxes (FICA, SUTA, workers' comp). But they can't go too low — the IRS requires the taxable portion to represent "reasonable compensation" for the hours worked, typically around $20–$30/hr depending on specialty and location.
If your taxable wage is $18/hr or lower, it's a red flag — the IRS may reclassify stipends as taxable wages if audited. You want at least $22/hr taxable for Med-Surg, $25/hr+ for ICU/OR/L&D.
Why the Stipend Matters More Than the Taxable Rate
Let's compare two $2,400/week offers:
| Offer | Taxable | Stipend | Gross/wk | Take-Home/wk |
|---|---|---|---|---|
| Offer A | $1,800 | $600 | $2,400 | ~$2,000 |
| Offer B | $900 | $1,500 | $2,400 | ~$2,200 |
Offer B nets you $200 more per week — over a 13-week contract, that's $2,600 more in your pocket. Both are quoted as the same "$2,400/week" — but one is materially better.
The catch: you only get the stipend tax-free if you qualify under IRS rules. See our full guide on travel nurse housing stipend tax rules.
GSA Rates: The Ceiling on Tax-Free Stipends
The IRS caps non-taxable stipends at the GSA per diem rate for the contract's city. Agencies often pay below GSA to pocket the difference. Always look up the GSA rate for your assignment city at gsa.gov/travel/plan-book/per-diem-rates.
Example GSA rates for April 2026:
- San Francisco, CA: $347/night lodging + $79/day M&IE = $2,982/week cap
- New York, NY (Manhattan): $316/night + $79/day = $2,765/week cap
- Seattle, WA: $223/night + $79/day = $2,114/week cap
- Dallas, TX: $152/night + $68/day = $1,540/week cap
- Rural Mississippi: $107/night + $59/day = $1,162/week cap
If an agency offers you a $1,500 stipend for a Dallas assignment but GSA only allows $1,540, they may be pushing close to the limit. If they offer $1,800, they're either mis-classifying or you need to get it in writing that they'll cover IRS exposure.
Bill Rate: The Hidden Number That Tells You Everything
The bill rate is what the facility pays your agency per hour. Everything else — your taxable wage, stipend, agency profit — comes out of that number.
Example: A $95/hr bill rate breaks down roughly as:
- $30/hr taxable wage to you = $1,080/week
- $32/hr stipend equivalent = $1,150/week
- $6/hr benefits / insurance / workers' comp = $216/week
- $27/hr agency margin = $972/week (~28%)
If you know the bill rate, you know exactly how much room exists to negotiate. Agencies that refuse to share the bill rate are almost always taking 28%+ — industry average is closer to 22–25%.
For exact scripts to ask for the bill rate without making it weird, see our travel contract negotiation guide.
Overtime on a Travel Pay Package
This is where agencies lose nurses thousands without them noticing. Federal law requires OT at 1.5x the regular rate — which should include all non-discretionary compensation, including stipends.
Most agencies calculate OT on the taxable rate only. That's a legal gray area and often exploitable in your favor.
| Method | Calc | OT rate |
|---|---|---|
| Taxable rate only (agency default) | $27.50 × 1.5 | $41.25/hr |
| Blended rate (what nurses should push for) | $70/hr blended × 1.5 | $105/hr |
Over a single 12-hour OT shift, that's a $765 difference. Ask your agency explicitly: "Is OT calculated on taxable or blended rate?" and negotiate for blended.
Cancellation Pay: The Forgotten Line Item
Most pay packages hide what happens when the facility cancels your shift. The three common scenarios:
- No pay for cancelled shifts (bad) — facility calls off your Tuesday, you lose $200+ that day
- 4-hour minimum (okay) — you get paid for 4 hours at your taxable rate
- Full shift guarantee (best) — you get paid for the full 12 hours whether they need you or not
If the contract doesn't specify, ask in writing. "Guaranteed hours" language should be explicit.
Completion Bonuses and Retention Bonuses
Many contracts have a completion bonus — typically $1,000–$3,000 — paid at assignment end. Two watch items:
- Fully taxable. Completion bonuses are always W-2 wages, taxed at your marginal rate plus payroll taxes.
- Forfeited on facility cancellation. Most contracts void the bonus if the facility cancels — even though it's not your fault. Negotiate a carve-out: "Completion bonus paid on pro-rata basis if facility terminates contract without cause."
Quick Package Comparison Framework
When comparing two offers, use this checklist:
- What's the total gross weekly? (headline number)
- What's the taxable-vs-stipend split?
- Is the stipend within GSA limits for the city?
- Is OT calculated on blended or taxable rate?
- Are hours guaranteed (paid if cancelled)?
- What's the completion bonus and what triggers forfeiture?
- Is travel/mileage reimbursed in addition?
- What's the bill rate — does it justify the take-home?
Frequently Asked Questions
What is a travel nurse pay package?
A travel nurse pay package is the full compensation structure combining a taxable hourly wage, tax-free stipends (housing + meals), travel reimbursement, and any completion bonuses. The "weekly gross" quoted by recruiters blends all of these together.
Are travel nurse stipends actually tax-free?
Only if you maintain a legitimate tax home, work away from it, and duplicate expenses. If the IRS audits and decides you don't qualify, stipends become taxable retroactively — plus penalties and interest. Our stipend tax guide covers the exact rules.
How much do travel nurses take home per week?
On a typical $2,200/week gross package with qualified stipends, take-home is usually $1,900–$2,050 after taxes on the W-2 portion. Non-qualified stipends drop take-home to $1,500–$1,700.
Why is the taxable wage so low on travel contracts?
Agencies minimize taxable wage to reduce payroll tax burden (FICA, SUTA, workers' comp). This lets them offer higher gross packages at the same cost. But taxable wage that's too low (under $20/hr) is an IRS audit risk.
Should I take a higher-taxable or higher-stipend package?
Higher stipend generally nets more take-home if you qualify. But higher taxable wage means more Social Security credits, higher 401(k) contribution room, easier mortgage qualification, and better unemployment benefits if the contract ends. It's a trade-off.
Before You Sign
Decoding a pay package is just half the job. The contract itself needs to deliver what the package promises. Run yours through the free Contract Red Flag Audit — it catches the 10 most common issues in travel contracts in 3 minutes. The Free Contract Audit Kit includes a pay package comparison worksheet and the negotiation scripts to push for better splits.