Key takeaways
- Travel Nurses file as 1099 / self-employed, so business expenses are deductible on Schedule C.
- Deductions cut both income tax and the 15.3% self-employment tax.
- The biggest write-offs for travel nurses are listed below, with what each covers.
- You need receipts and a mileage log to claim them.
Tax write-offs for travel nurses
Here are the deductions travel nurses most commonly claim. Each one lowers your net profit, and therefore your tax:
| Deduction | What it covers |
|---|---|
| Travel to assignments | Transportation to and from contract locations (1099, with a tax home). |
| Lodging on assignment | Housing at the assignment when duplicating a permanent residence. |
| Meals per diem | A daily meal allowance for days away from your tax home. |
| Nursing licenses | State and multi-state (compact) license fees and renewals. |
| Certifications and CEUs | BLS, ACLS, specialty certs, and continuing education. |
| Scrubs and uniforms | Required scrubs and their laundering (not everyday clothing). |
| Medical equipment | Stethoscope, shears, and other required gear. |
| Malpractice insurance | Professional liability coverage you pay yourself. |
| Phone | The business-use share of your phone. |
| Professional dues | Nursing association memberships and journals. |
The tax-home rule (read this first)
Your deductions for travel, lodging, and meals on assignment depend on having a legitimate tax home you are traveling away from, and duplicating expenses (keeping a permanent residence while paying for housing at the assignment). If you do not maintain a tax home, the IRS can treat you as an itinerant worker, and travel and housing stop being deductible. This is the single biggest issue in travel-nurse taxes, so confirm your status with a tax professional.
W-2 agency nurse vs 1099 independent
Most travel nurses work W-2 through an agency and receive tax-free stipends for housing and meals instead of deductions; since 2018 they generally cannot deduct unreimbursed expenses on a federal return. If you contract independently and receive a 1099, you file Schedule C and the deductions below apply. Know which you are before claiming anything.
How these deductions lower your tax
As a travel nurse, your tax is based on net profit, which is your income minus these business expenses. Because both self-employment tax and income tax are calculated on that profit, every dollar you deduct is taxed at neither rate, saving most contractors roughly 25 to 40 cents on the dollar. The catch is documentation: you can only deduct what you can prove, so capturing receipts and miles through the year is what turns this list into real savings.
See what these deductions save you with our free calculators, then let NeoReceipt make sure you capture every one.