per diem???

  1. My recruiter is offering me per diem wages in place of a pay increase. The per diem offer would actually cut into my hourly rate at present, but would take a portion of my wages and make them non taxable.

    I feel a little hesitant about this setup. Anyone else ever dealt with this, and what do you think?
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  2. 5 Comments

  3. by   MaggieDRN
    all depends. What the per diem rate is,how much is non taxed and don't forget your year end tax write-offs. This is where you need to sit down with a calculator and start dividing number of hours woked a week or month,what your expenditures are related to your work(i.e.travel,food,lodging if applicable,uniforms,licensure,etc).Usually if a facility pays a per diem,no benefits are included,so they are yours to deduct.If the facility does pay any part of benefits just deduct what they don't pay. If you have a good CPA you can call him/her and they should be able to tell you how well you will fair in your particular state. Hope this was a little clearer than mud! Take care and good luck. MaggieDRN
  4. by   renerian
    I have not heard of that.....good luck and let us know what you decide.

    renerian
  5. by   MedicineMan
    That is what I am in need of a good tax attorney or CPA
  6. by   kdm05
    IRS Publication 1542 explains the per diem system. I would be happy to detail it for you as our company applies it to travel nurses. Hope this helps.

    Kathy Taylor
    Bridge Staffing
    bridgestaffing.com
    866-661-7070
  7. by   MedicineMan
    Thank you for the info, I still need a good tax person to watch out for my simple minded self. I know what the laws are, but don't want the hassle. I need a numbercruncher who likes their work.

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