The career of a travel nurse is defined by geographic flexibility, allowing professionals to work in various locations across the country. The distance a nurse travels is fundamentally tied to the compensation structure and the definition of the job. Moving away from a permanent home base allows a nurse to access tax-free stipends, which represent a significant portion of their total take-home pay. This financial incentive compels nurses to seek assignments far enough away to legally qualify as temporary professional travelers.
Defining the “Travel” in Travel Nursing
A contract is designated a “travel” assignment based on the distance between the nurse’s permanent residence and the facility. Although no federal law or IRS mandate specifies a minimum distance, staffing agencies and hospitals often use the “50-mile rule” as an operational standard. This unofficial guideline suggests a nurse must live at least 50 miles away from the assignment location to be considered a legitimate traveler.
This minimum distance requirement is a policy tool used by healthcare facilities to differentiate a travel contract from a local one. Hospitals implement this radius rule to prevent current staff nurses from resigning and immediately returning to the same facility as higher-paid travelers. The distance threshold establishes that the nurse cannot reasonably commute daily and must therefore duplicate living expenses, which is the underpinning of the travel nurse model.
Factors Influencing Assignment Geography
The distance a nurse can travel is influenced by state-based professional licensing. The Nurse Licensure Compact (NLC) streamlines this process, allowing a nurse with a multistate license to practice in any other NLC member state without obtaining additional licenses. This compact facilitates rapid deployment and broadens the pool of available assignments.
Nurses traveling to non-compact states must apply for a single-state license by endorsement, which is time-consuming. This process can delay the start of an assignment by weeks or months, making non-compact states less attractive for nurses seeking immediate work. Hospital demand also plays a role, as facilities in high-need areas offer more competitive pay to draw nurses from greater distances.
Understanding the Tax Home Requirement
The most important factor influencing a travel nurse’s distance choice is the IRS requirement for maintaining a “tax home.” To receive tax-free stipends for housing, meals, and incidentals, a nurse must prove the assignment requires them to be away from their tax home long enough to necessitate sleep or rest. The tax home is the nurse’s permanent residence, which they must maintain by incurring ongoing living expenses like a mortgage or rent.
The core rule is the duplication of living expenses: the nurse must pay to maintain their permanent residence while also paying for temporary lodging at the assignment location. The IRS does not specify a mileage requirement, debunking the common 50-mile proxy cited by agencies. If a nurse can commute daily and return home after every shift, they are not duplicating expenses, and the stipends become fully taxable income. Therefore, the distance must be great enough that the nurse needs to secure temporary housing for the contract duration.
Typical Assignment Lengths and Distances
Travel nurse assignments are temporary, with the industry standard contract lasting 13 weeks. This duration is generally sufficient for a facility to address a staffing gap or train a permanent employee, while remaining within the IRS’s 12-month limit for a temporary assignment. Contract lengths can range from short-term crisis roles of four to eight weeks to longer contracts of up to 26 weeks, with extensions possible up to the one-year mark.
The distance traveled can vary from a few hundred miles to a cross-country relocation of thousands of miles. Many nurses prefer regional travel, staying within a few hundred miles of their tax home. This preference allows for easier logistics, such as driving instead of flying, and permits a nurse to return home more frequently. Long-distance assignments are often driven by a nurse’s desire for a specific location, a better pay package, or a specialty role unavailable closer to home.
The Logistics of Long-Distance Travel
Once a long-distance assignment is secured, the nurse must manage the logistics of relocating for the contract duration. This includes arranging transportation, often driving a personal vehicle across state lines, or coordinating shipping for belongings if they fly. The logistical burden centers on securing housing, which can be done through agency-provided accommodations or by taking a housing stipend and self-sourcing a temporary residence.
Agency-provided units typically include all utilities and furnishings, simplifying the move-in process. Conversely, a nurse who self-sources housing is responsible for setting up utility services, such as electricity, gas, and internet, which can be challenging on a short-term lease. Many short-term rentals bundle utilities into the rent to avoid the hassle of setting up and canceling accounts every 13 weeks.
Local Travel Nursing Options
Local travel nursing is an alternative to long-distance assignments, involving a contract within a commutable distance of the nurse’s permanent home. These contracts are often referred to as “local” or “per diem” and allow a nurse to work in diverse settings without relocation. This option appeals to nurses who want the flexibility and higher hourly rate of contract work while maintaining proximity to family and community.
The primary difference is the loss of tax-free stipends, which alters the contract’s financial profile. Since the nurse does not incur duplicate expenses, they fail the IRS test for tax-free stipends. The entire payment is considered taxable income, even if the hourly wage is higher than a staff position. A local travel assignment functions as a higher-paying temporary job, lacking the financial advantage that drives the long-distance travel nursing model.