{"id":4559,"date":"2021-09-28T22:01:44","date_gmt":"2021-09-28T22:01:44","guid":{"rendered":"https:\/\/www.vivian.com\/community\/?p=4559"},"modified":"2024-09-06T16:36:49","modified_gmt":"2024-09-06T16:36:49","slug":"how-to-evaluate-a-new-healthcare-travel-contract","status":"publish","type":"post","link":"https:\/\/www.vivian.com\/community\/travel-nursing\/how-to-evaluate-a-new-healthcare-travel-contract\/","title":{"rendered":"How to Evaluate a New Healthcare Travel Contract"},"content":{"rendered":"<p><span style=\"font-weight: 400;\">Staffing shortages have long plagued the healthcare industry in all types of facilities and within all specialties. Whether you\u2019re a registered nurse or an allied health professional, facilities around the nation depend on travel healthcare workers to fill the gaps while they attempt to recruit and train permanent staff. While this provides you with plenty of <\/span><a href=\"https:\/\/www.vivian.com\/browse-jobs\/?employmentType=Travel\"><span style=\"font-weight: 400;\">job opportunities<\/span><\/a><span style=\"font-weight: 400;\">, it\u2019s vital to evaluate each new healthcare travel contract to ensure you\u2019re getting the best deal and the position matches your preferences.<\/span><\/p>\n<h3><strong>Consider Employer Expectations<\/strong><\/h3>\n<p><span style=\"font-weight: 400;\">Facilities expect travel workers, especially <\/span><a href=\"https:\/\/www.vivian.com\/community\/career-help\/travel-nurse-faq\/\"><span style=\"font-weight: 400;\">travel nurses<\/span><\/a><span style=\"font-weight: 400;\">, to be highly skilled and have the experience and skills to tackle a job with minimal training. Therefore, your first priority when evaluating a new healthcare travel contract should be to determine whether you can fulfill the employer\u2019s expectations. For example, as a newer nurse that is traveling, you may not be able to meet expectations in a high acuity level I facility, unless you are used to that environment.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Carefully review the job and all the related duties outlined in the travel contract to ensure you\u2019re capable of hitting the ground running after only a few hours of orientation on the unit. That\u2019s why <\/span><a href=\"https:\/\/www.vivian.com\/community\/career-help\/travel-nursing-agencies-for-new-graduates\/\"><span style=\"font-weight: 400;\">new graduates<\/span><\/a><span style=\"font-weight: 400;\"> aren\u2019t typically considered for travel nursing assignments because they lack the experience necessary to jump right in. Evaluating exactly what the job entails ensures you understand what you\u2019re agreeing to in the contract.<\/span><\/p>\n<h3><strong>Working With a Staffing Agency<\/strong><\/h3>\n<p><span style=\"font-weight: 400;\">While some hospitals won\u2019t require travel workers to sign on with their facility through a travel staffing agency, most of them do. When you work with a staffing agency, you <\/span><a href=\"https:\/\/www.vivian.com\/community\/career-help\/questions-to-ask-your-travel-nurse-recruiter\/\"><span style=\"font-weight: 400;\">work with a recruiter<\/span><\/a><span style=\"font-weight: 400;\">. Recruiters can answer many of the questions you have about a travel contract, which can take a lot of the guesswork out of the process and help with your evaluation of a travel contract.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Recruiters also ensure you have access to housing options, insurance, tax information, and other vital items. While this service comes with a price, it\u2019s generally worth it in the long run. Travel staffing agencies take a percentage of the total money being paid by the facility to hire a travel worker and you get the remaining amount. Agencies take varying amounts. Before you begin your travel job search, evaluate staffing agencies to find one you like working with that doesn\u2019t take too big a piece of the compensation pie.<\/span><\/p>\n<h3><strong>Travel Pay Packages and Benefits<\/strong><\/h3>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"alignnone wp-image-7678\" src=\"https:\/\/www.vivian.com\/community\/wp-content\/uploads\/sites\/3\/2022\/11\/Allied-Health-Worker-Salary-Resized-scaled-e1725640148817.jpg\" alt=\"high-paying RN specialties\" width=\"800\" height=\"420\" \/><\/p>\n<p><span style=\"font-weight: 400;\">Evaluating <\/span><a href=\"https:\/\/www.vivian.com\/community\/money-taxes\/travel-nurse-salaries-tips\/\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400;\">travel pay packages<\/span><\/a><span style=\"font-weight: 400;\"> included in a contract should be a priority. These aren\u2019t as cut-and-dried as other industries and numerous details can vary from one contract to the next. Read through all the payment details and evaluate them carefully to ensure you\u2019re being offered fair wages.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Travel nurses and allied health professionals usually make significantly more than permanent staff members in similar positions. Hourly wages are a small part of their overall pay package and generally don\u2019t accurately reflect what you\u2019ll really earn. Housing, meals, and incidental expenditures are usually listed separately as stipends in travel contracts. These reimbursements are untaxed and calculated using information from the <\/span><a href=\"https:\/\/www.gsa.gov\/travel\/plan-book\/per-diem-rates\" rel=\"noopener\"><span style=\"font-weight: 400;\">U.S. General Services Administration<\/span><\/a><span style=\"font-weight: 400;\">. Overall, pay packages should include:<\/span><\/p>\n<ul style=\"padding-left: 30px;\">\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Taxable base rate for contracted regular hours<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Taxable base rate for contracted overtime hours<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Meals and incidental expenditure reimbursements quoted as a per hour or a weekly amount<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Lodging reimbursement rate quoted as a monthly reimbursement but distributed per pay period<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Travel reimbursement, which is usually split between the first and last paychecks<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">Your travel contract may also include bonuses that make the contract even more lucrative, such as a sign-on bonus paid at the beginning of the assignment or a completion bonus paid at the end. Many compensation packages also include benefits like <\/span><a href=\"https:\/\/www.vivian.com\/community\/nurselife\/travel-nursing-and-health-insurance\/\"><span style=\"font-weight: 400;\">health insurance<\/span><\/a><span style=\"font-weight: 400;\"> that may or may not be important to you. If you prefer money over health benefits, see if your recruiter can negotiate a higher hourly rate instead. However, if you want the medical benefits, be sure the contract indicates the activation date of these benefits and whether there\u2019s any cost to you.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Finally, learn how you\u2019ll be paid for non-standard hours worked, such as overtime, call back, on-call, and holidays. Paid holidays should be specifically listed or you may not earn anything extra for working one. Determine whether you\u2019re paid weekly, biweekly, or monthly. Always ask for a copy of the entire pay package to ensure it matches what you were verbally promised. Having a hard copy also serves as a reminder if you\u2019re evaluating more than one travel contract simultaneously.<\/span><\/p>\n<h3><strong>Location Considerations<\/strong><\/h3>\n<p><span style=\"font-weight: 400;\">Unlike healthcare professionals on staff who may remain in the same location for several years, travel healthcare workers may change <\/span><a href=\"https:\/\/www.vivian.com\/locations\"><span style=\"font-weight: 400;\">locations<\/span><\/a><span style=\"font-weight: 400;\"> numerous times in a single year. The advantage is if you don\u2019t particularly like a location and\/or position, it\u2019s just temporary. As soon as your contract is complete, move on to the next one. However, it\u2019s still important to consider location in your evaluation of a new travel contract to see whether the pay package meshes with the area\u2019s cost of living.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The location of a travel position can greatly impact the travel salary offered. Generally, states in the Northeast and on the West Coast pay more because the <\/span><a href=\"https:\/\/meric.mo.gov\/data\/cost-living-data-series\" rel=\"noopener\"><span style=\"font-weight: 400;\">cost of living<\/span><\/a><span style=\"font-weight: 400;\"> is much higher in these areas. Most Southern states and states in the Midwest have lower wages because the cost of living is lower. <\/span><a href=\"https:\/\/www.vivian.com\/community\/career-help\/top-5-locations-to-work-in-healthcare\/\"><span style=\"font-weight: 400;\">Popular locations<\/span><\/a><span style=\"font-weight: 400;\"> tend to be the higher paying, higher cost of living locales, but you may earn more overall in a lower-paying position.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Location considerations are two-fold. Besides job location, you must also consider the location of your <\/span><a href=\"https:\/\/www.vivian.com\/community\/travel-tips\/travel-nurse-housing-tips-and-tricks\/\"><span style=\"font-weight: 400;\">temporary housing<\/span><\/a><span style=\"font-weight: 400;\"> relative to the facility where you\u2019ll be working. Whether you\u2019re driving or taking public transportation back and forth to work each day, you must determine if transportation costs will eat up a substantial portion of your pay. Besides cost considerations, you don\u2019t want a commute that wastes a large chunk of time every workday either.<\/span><\/p>\n<h3><strong>Contract Structure<\/strong><span style=\"font-weight: 400;\">\u00a0<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">When evaluating a travel contract, always make sure it includes all pertinent work-related details. These details help you decide whether you want to accept a contract and you need them for tax purposes. At a minimum, every healthcare travel contract for jobs in a hospital setting should include:<\/span><span style=\"font-weight: 400;\">\u00a0<\/span><\/p>\n<ul style=\"padding-left: 30px;\">\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Travel agency name, location and contact information<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Hospital name, location and contact information<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Travel worker\u2019s name and permanent address<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Contract starting and ending dates<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Basic information about your role and responsibilities<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Hospital unit and shift start and end times<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Total number of shifts and hours per week, including overtime hours<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Hourly taxable rate for regular, overtime and on-call hours<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Non-taxable meals and incidental expenditure<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Non-taxable lodging and travel reimbursement rates<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Pay period details (weekly, biweekly or monthly)<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Timesheet reporting requirements and frequency of payroll processing<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Benefit details on medical, dental, vision, retirement, sick leave, PTO, etc.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Details on guaranteed hours to ensure you\u2019re paid for facility-canceled shifts<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Special agreement regarding working conditions, time off requests, etc.<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">\u00a0<\/span><span style=\"font-weight: 400;\">A contract may also include traveler penalties for missed hours, facility penalties for canceled hours, cancellation clauses for the traveler and facility, and non-compete clauses.<\/span><\/p>\n<h3><strong>Length of Assignment<\/strong><\/h3>\n<p><span style=\"font-weight: 400;\">Travel assignments typically last 13 weeks, but they can last for longer or shorter durations. It\u2019s common for crisis areas to have shorter contract lengths. The length of an assignment is an important aspect to evaluate on travel contracts, especially if you\u2019re hesitant to commit to a specific location for too long.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">When the contracted time is up, you usually have the option to extend the contract for an additional 13 weeks or shorter increments. However, travel workers that are receiving stipends can\u2019t stay in one location for more than 11 months due to tax laws. The healthcare facility may also ask to extend your contract, but you don\u2019t have to if you\u2019re ready to move on or take some time off. You\u2019re allowed to take unlimited time off between contracts, but this time isn\u2019t paid.<\/span><\/p>\n<h3><strong>Tax Perks<\/strong><\/h3>\n<p><span style=\"font-weight: 400;\">\u00a0<\/span><a href=\"https:\/\/www.vivian.com\/community\/career-help\/understanding-travel-nursing-tax-rules\/\"><span style=\"font-weight: 400;\">Tax-free stipends<\/span><\/a><span style=\"font-weight: 400;\"> are huge perks of being a traveling healthcare professional. <\/span><span style=\"font-weight: 400;\">You should always evaluate these carefully and<\/span><span style=\"font-weight: 400;\"> try to take most of your travel salary as tax-free stipends to increase your bottom line. To qualify for untaxed stipends, you must have a permanent tax home far enough away from the travel position to make commuting difficult or even impossible. Some facilities require this distance to be 50 miles or greater, one more thing to watch for when evaluating a travel contract. However, the IRS doesn&#8217;t set a minimum distance, further muddying the situation.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Travel worker taxes can be complicated. You must evaluate a blended rate of taxed wages and untaxed stipends. Plus, you must consider the tax situation in the state(s) where you work. If there&#8217;s state income tax, you may have to pay this on top of your other tax burden. <\/span><span style=\"font-weight: 400;\">You may have the added expense <\/span><span style=\"font-weight: 400;\">of hiring a tax professional to help you keep it all straight.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">There are numerous perks of being a traveling healthcare worker and just as many things to evaluate on a travel contract. As a travel nurse or allied health professional, you\u2019ll be repeatedly evaluating contracts so it\u2019s important to know what to look for. Ultimately, remember what\u2019s most important to you regarding compensation packages, work locations, shifts, and positions to ensure your travel career is worthwhile. Always have a signed contract before you travel to a new worksite and begin working.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Compare <\/span><a href=\"https:\/\/www.vivian.com\/browse-jobs\/?employmentType=Travel\"><span style=\"font-weight: 400;\">travel healthcare positions<\/span><\/a><span style=\"font-weight: 400;\"> on Vivian Health to find your next lucrative travel assignment at top facilities nationwide.<\/span><\/p>\n<p><a style=\"background-color: #124e3b; color: #fdfeff; font-size: 20px; border-radius: 10px; padding: 15px; min-height: 30px; min-width: 120px;\" href=\"https:\/\/www.vivian.com\/browse-jobs\/landing\" target=\"_blank\" rel=\"noopener\">Browse Jobs<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>You&#8217;ve got an offer, but is it the right one for you? Learn how to decide.<\/p>\n","protected":false},"author":17,"featured_media":8610,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_feature_clip_id":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_post_was_ever_published":false},"categories":[12],"tags":[19,362,331,123,126,125,75,88,90],"class_list":["post-4559","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-travel-nursing","tag-allied-health-professional","tag-lpn-lvn","tag-nurse-practitioner","tag-nursing","tag-physician-assistant","tag-registered-nurse","tag-rn","tag-therapy","tag-travel"],"acf":[],"jetpack_featured_media_url":"https:\/\/www.vivian.com\/community\/wp-content\/uploads\/sites\/3\/2021\/09\/Evaluate-healthcare-travel-contract-iStock-Resized-scaled-e1725640565783.jpg","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/www.vivian.com\/community\/wp-json\/wp\/v2\/posts\/4559","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.vivian.com\/community\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.vivian.com\/community\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.vivian.com\/community\/wp-json\/wp\/v2\/users\/17"}],"replies":[{"embeddable":true,"href":"https:\/\/www.vivian.com\/community\/wp-json\/wp\/v2\/comments?post=4559"}],"version-history":[{"count":0,"href":"https:\/\/www.vivian.com\/community\/wp-json\/wp\/v2\/posts\/4559\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.vivian.com\/community\/wp-json\/wp\/v2\/media\/8610"}],"wp:attachment":[{"href":"https:\/\/www.vivian.com\/community\/wp-json\/wp\/v2\/media?parent=4559"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.vivian.com\/community\/wp-json\/wp\/v2\/categories?post=4559"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.vivian.com\/community\/wp-json\/wp\/v2\/tags?post=4559"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}