I think I'm going to take a 13 week travel assignment. I signed up with an agency last year, but never did any shifts for them. They recently sent me an email informing me of some travel assignments available. One is for a hospital I used to work at that's about 1 hour from my home.
They give you a $750 a week housing allowence that is tax free! Of course I'd be driving each way! The hourly pay is actually less than I make now, but I'll be making more weekly, actually, with the tax free housing stipend. She told me you use it however you want.
They obviously have figured out how beat the tax man, a very attractive bonus! This contract is 13 weeks for 12 hour dayshift on a Med/Tele unit. I'll end up with $9000 of tax free money, in addition to making $25 per hour! I like it!
Travel allowances less then or equal to IRS per diem scales are tax free and do not require receipts if and only if the traveler can document they were away from their tax home for more then one day and had to stop some where to sleep before returning home. If you leave from your home go to your work site and return home after work then you must pay taxes on the amount received.
In your original post you said the agency was giving you $750/week per diem. That works out to $100/day. On the days that you don't work and the days you do not stay overnight you are required to pay taxes on this amount. On the days you do stay overnight it is up to the IRS if this is reasonable or not. You said you worked at this facility before. Did you ever stay overnight?
pmcd8243
10 Posts
Ok, short and sweet.
Travel allowances less then or equal to IRS per diem scales are tax free and do not require receipts if and only if the traveler can document they were away from their tax home for more then one day and had to stop some where to sleep before returning home. If you leave from your home go to your work site and return home after work then you must pay taxes on the amount received.
P