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Tax Law (Questions About Taxes)/Housing Allowance for Nursing


I'm a nurse working a 5 month contract with a hospital in Texas. The hospital is paying an hourly wage plus a monthly housing allowance. Should the housing allowance be tax free?


Hi Ann,

Travel nursing has many perks and a common question that I receive is “do I pay taxes on a housing allowance?".

To answer your question - yes, unfortunately housing allowances are taxable.

However, you may qualify for deductible travel expenses. Expenses for transportation, meals and lodging (housing) for a temporary assignment are deductible for a travel nurse while away from their tax home . To help you better understand when nurse travel tax deductions qualify, please read my article on Nurse Tax Deductions.

Best regards,

Tax Law (Questions About Taxes)

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