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5 Travel Nurse Tax Tips

1. Track Expenses

Most handheld mobile devices offer apps that help you keep track of daily expenses. You can also use a good old-fashioned pencil and paper or a pocket-sized ledger book. Clear records will enable you to easily match expenses with receipts, helping you file accurately.

2. Keep Receipts

Save all receipts for dining, uniforms, fuel, utilities, and other expenses related to travel nursing. In short, save every receipt for every exemption you plan to claim. Either scan these receipts electronically or store them in a file folder (or shoebox!) for safekeeping. If you’re subject to an audit, you’ll need your receipts. Again, check the apps available for your smartphone - many of them offer features that allow you to snap quick pictures of your receipts and file them for later.

3. Know about State Income Tax

You may be subject to state income tax in both the state of your permanent residence and the states where you had travel nurse jobs. Forty-one U.S. states have a state income tax, but Alaska, Florida, Nevada, New Hampshire, South Dakota, Tennessee, Texas, Washington, and Wyoming don’t. Learn more about State Tax Questions or consult a tax expert (preferably a CPA) who is familiar with state income tax laws for travel nurses and income tax reciprocity agreements among states.

4. File on time, not late

When W-2s are in, schedule a date to either file taxes yourself or meet with a tax professional. This way, you’ll receive your refund sooner than later. Moreover, by allowing an experienced CPA to file your taxes, you may improve the size of your return and minimize the risk for random audits.

5. Enroll in a Tax Advantage Plan

Travel nurse agencies like American Traveler offer Tax Advantage Plans that can increase your take-home pay by as much as $10,000 a year. Contact your recruiter to learn more about all the ways that traveling can have a positive effect on your finances.

Let me help you maximize your deductions!
https://www.infinityconsultantstaxoffice.org/

☎️ Message me or call 1-936-367-9198 for more information
✉️ [email protected]

Many of the tax breaks for parents pertain to child care and education, but the easiest tax break of all is for simply having children. One of the most used credits for having children is the Child Tax Credit.

For tax years beginning with 2018, the Child Tax Credit is doubled to $2,000 per qualifying child with a refundable portion of up to $1,500 for 2022 with the Additional Child Tax Credit. The phaseout for the new credit begins at:

$200,000 for single filers and
$400,000 for joint filers.
Stimulus impact on the Child Tax Credit for 2021

Child Tax Credit Changes

The American Rescue Plan raised the maximum Child Tax Credit in 2021 to $3,600 for qualifying children under the age of 6 and to $3,000 per child for qualifying children ages 6 through 17. Before 2021, the credit was worth up to $2,000 per eligible child, and 17 year-olds were not eligible for the credit.

The Child Tax Credit changes for 2021 have lower income limits than the original Child Tax Credit. Families that do not qualify for the credit using the revised income limits are still eligible for the $2,000 per-child credit using the original Child Tax Credit income and phase-out amounts.

In addition, the entire credit is fully refundable for 2021. This means that eligible families can get it, even if they owe no federal income tax.

Let me help you maximize your deductions!
https://www.infinityconsultantstaxoffice.org/

☎️ Message me or call 1-936-367-9198 for more information
✉️ [email protected]

Deductible travel expenses include:

Travel by airplane, train, bus or car between your home and your business destination.
Fares for taxis or other types of transportation between an airport or train station and a hotel, or from a hotel to a work location.
Shipping of baggage and sample or display material between regular and temporary work locations.
Using a personally owned car for business.
Lodging and meals.
Dry cleaning and laundry.
Business calls and communication.
Tips paid for services related to any of these expenses.
Other similar ordinary and necessary expenses related to the business travel.

Let me help you maximize your deductions!
https://www.infinityconsultantstaxoffice.org/

☎️ Message me or call 1-936-367-9198 for more information
✉️ [email protected]