Scared of owing money

Specialties Travel

Published

I recently bought a condo for dirt cheap and the HOA fees are only 150/month. I put a good amount down, and my monthly mortgage + taxes is only 250/mo + 150/mo HOA. The Hoa includes everything except electric and cable. Electric is an avg of 80/mo.

I just received an offer on a new assignment. I told the recruiter that I want the lowest hourly possible, so that I can get the rest in tax free. He then gave me a 10/hr quote. When the math was done, I figure I will be taking home 1700/week after taxes.

I'm scared of the IRS! Scared that they will say I got too much in tax free and will owe money. And scared that they will frown upon such a small mortgage payment.

Up Vote Up Vote ×
Specializes in ICU / PCU / Telemetry / Oncology.

$10/hr? No way would I accept that low a taxable hourly rate. That sounds way too shady.

Up Vote Up Vote ×

Yea, I know what u mean. I've been texting another traveler about this, and he says he's taken 10/hr w/o any issues, and that he is on an assignment now that is only paying 12. He has a big mortgage tho, so I'm not sure we can compare to eachother. My OT would be 51/hr and will start after 36 hours. I just wish I knew what the cutoff is for tax free stuff. I will not be commuting home very often on days off and I plan on finding a place to sublet there, probably around 1000/mo. It's chicago if that makes any difference.

Up Vote Up Vote ×
Specializes in Public Health.

I am not understanding your logic. You want to make less so you can pay less in taxes?? It doesn't seem worth it to me. Maybe I'm not understanding. You realize that you'll be making less than the CNAs probably, right?

Up Vote Up Vote ×

10/hr taxed

500/week for MI untaxed

850/week housing untaxed.

51/hr OT taxed.

Up Vote Up Vote ×
Specializes in Public Health.

There are only 168 hours in a week btw so you would make $360 for full time plus $15 an hour after that. I'm not seeing how making below the poverty line is beneficial. And they still tax you per pay period.

What am I missing here?

Up Vote Up Vote ×
Specializes in Public Health.

How is your OT five times what you make for regular hours?

Up Vote Up Vote ×

You can work the numbers anyway u want. I can make 30/hr taxed if need be- and then that wage will take away from how much tax-free o get. I can also make one large hourly and get nothing tax free. I'm trying to pay as less as possible in taxes for the time being- that is one if the perks to travel nursing, no? I just want to make sure it's legit to the IRS.

I'm calling my Acct. will post an update when I hear from her.

Up Vote Up Vote ×

What if you owned and had no mortgage? A tax home is a tax home.

Up Vote Up Vote ×

The only cutoff for wages is minimum wage, you can't get less than that legally. But that is a labor law issue, not IRS. The IRS doesn't know your hourly wage, or really care under most circumstances below criminal fraud. The agency has much more theoretical risk than you do.

Up Vote Up Vote ×
Specializes in Medical-Surgical- Psych.

i would like an answer to the low tax rate too.. i was worried about it but my recruiter told me not to worry? but i havent talked to an accountant about it and i dont have a accountant familiar with travel nursing..? i like the idea of low tax and high non tax, but will i get in trouble? irs doesnt know what your profession is right? i plan on doing travel nursing for a year or two and dont have crazy expenses so i guess im not worried about stuff like purchasing a new home or something...

thanks for the help!

Up Vote Up Vote ×

Thanks, Ned. I guess my next "issue" with all this is the fact that my condo will be paid in full in about 6-9 mos. will only have HOA, electric, property tax. I wasn't sure if this would be a problem with IRs. And good to know about needing to make minimum wage. I assume you need to make the mw rate from the state u are working in, not me from your tax state?

Up Vote Up Vote ×
+ Add a Comment