New to travel - question about pay package

[Randjj1]

First of all, I appreciate this forum and have learned a lot from reading through posts - thanks!

I am an ER nurse with 10+ years experience. I plan to travel with my wife and kids - we plan to stay in our RV at campgrounds. We're looking to travel to Richmond, VA (near family and friends) for the first assignment.

I'm working with a few companies and have interviewed with several hospitals/ been offered a few jobs. I have, however, been surprised at the pay packages offered - all were similar. The blended rate for taxable pay, untaxed per diems, completion bonus, AND housing stipend comes in at around $38-39 an hour. I was expecting around $35/hr including pay/per diems/bonuses (which is lower than my hourly rate at my current job where I receive full benefits) PLUS a reasonable housing stipend. The packages offered don't include insurance/ insurance stipend/ 401k/ any additional benefits. I tried to negotiate a higher blended rate with one company,but all the recruiter did was switch the numbers around without changing the overall rate. Is this offer typical/ normal, am I being too optimistic, or am I being taken advantage of? Thanks for any input.

[NedRN]

It can be difficult sometimes to make a financial case for travel, especially before you do it. In my case, my first couple of assignments had roughly the same hourly rate as my staff job in Maryland, $18 an hour (this was 20 years ago) plus housing. But the difference in what I put in the bank was simply amazing.

Perhaps the large majority of travelers are from the South where there are lots of nurses, many fewer jobs, and pay that can still be under $20 an hour. For them, the case to travel is clear, some are ecstatic with $25 an hour for their first assignment. I don't meet very many travelers from the West Coast or New England. Leaving a $40 to $60 an hour job with great benefits to travel when most assignments average between $40 and $50 total pay (or blended pay) doesn't make financial sense. You really have to want to travel as a lifestyle.

You are in that awkward decent staff pay cohort, especially with a family to think about. Yes, it is possible to make more. The way PanTravelers calculator calculates total or blended pay, you are at around $42 an hour, on the lower side. Generally I recommend to not be too concerned with pay on your first assignment as having a successful travel assignment on your work history will make you much more competitive and give you the ability to be more picky. That is a leap of faith on your part of course. But with travel experience, you should be able to work at the higher end of that scale. I have an ER friend who only travels to California, and he consistently makes $49 to $51 total pay (per PanTravelers calculator).

Some agencies, such as MSSI and Fastaff consistently pay $40 an hour plus housing. Larger agencies usually don't do as well but have lots of assignments. Midsized agencies are a mix. But once you are a proven travelers, you will find your pay going up, either at the same agency, or as more of a free agent with several agencies you work with.

Juggling your pay package might not increase your total pay, but it does increase your take home pay because it decreases taxes.

One more gotcha to discuss before you commit is to qualify for tax-free compensation, you have to be traveling away from your home on business. So you need a home! Which is an expense (or potentially an investment). If your home is your RV, you can never be traveling away from home. The difference is about $10,000 a year of bankable money for most travelers. If your home expenses are less, you benefit. If more, you are better off as an itinerant traveler (without a home) and all your compensation is taxed. Which will make travel look a lot worse in comparison to your staff job.

[Randjj1]

Thanks, NedRN.

I appreciate the info about realistic travel pay. I do have a tax home so I'll receive some tax benefits, but upkeep without renting will be expensive. $38-39 was actually using PanTraveler's calculator. I've read about recruiters offering low pay, especially for first assignments, but if this is a decent travel offer, I think I need to start viewing travel nursing as an opportunity to fund travel adventures vs. making a similar salary. That's not a bad thing - it's just good to know - I wasn't sure if they were low

balling me.

[NedRN]

Travel is an adventure! Getting paid to travel is a plus. No downsides when it pays more.

Yes, that is really low pay then, but often travel in the south and midwest pays less. That hospital in Richmond always seems to use a lot of travelers so I'm surprised the pay is not better.

The pay on PanTravelers calculator isn't great for comparing travel to staff. One reason is that it uses usually hidden employer side payroll taxes to compute total pay. While necessary to be able to compare tax advantaged offers, it makes travel pay look a bit higher than staff pay. You would have to add 10% to hourly pay as staff to compare apples to apples - but that is still not a level playing field. Benefits and such make comparison very difficult. It is better to use the calculator just to compare different travel offers.

[Randjj1]

Thanks - I really appreciate the info.