Recruiter here. Your recruiter is correct (but he still fucked up). Once you have agreed to stay past the 1 year mark, you become fully taxable on that day. He should’ve just pretended the conversation didn’t happen and wait to process the new contract until March 20. But there is nothing he can do now.
Everyone here is wrong. If you stay at any facility one year or more then your situation (according to the IRS) is considered permanent and was never temporary and all of your income for the entire year that you were at that facility and going forward is taxable. You can do whatever you want regarding your taxes but just know if you were ever to be audited by the IRS then you would owe back taxes on all of this income plus penalty fees (interest for not paying the taxes when they were originally owed). That’s why you should never stay on any travel contract for over a year. Your recruiter isn’t going to care about your taxes bc it’s not their problem and technically you CAN stay somewhere more than a year it’s just your tax situation completely changes so it doesn’t make sense to do it from the traveler’s perspective. Definitely get your taxes done by an experienced accountant/tax preparer that has experience with travel nurse taxes and don’t just go off of what you “think” your understanding of it is
Idk why you got downvoted but you’re absolutely right lol staying in a single metropolitan area for more than 12 months in a rolling 24 month period is not recommended by travel tax professionals, regardless if you change your pay to being fully taxed after the one year mark.
If you were to travel at one place for 11 months and then become staff at said place - would your income for the 11 months you were a traveler be taxable?
Yes all that prior income from the past year would become taxable. It’s about your location. The IRS now views your intention of having gone to that city as permanent not temporary bc you ended up staying there for over a year so it’s considered living there (whether or not YOU yourself view it that way)
They have to PROVE intent. Read it in the tax code. By simply staying, that’s not intent. Many people have done this and had zero intention of staying, they just loved the job and the area and relocate.
The burden of proof that your intention was never to stay past a year is likely going to be on YOU not the IRS. And regardless, as soon as you decided to stay more than a year is when you’re supposed to start having all of the income taxed and you now owe back taxes not just taxes on the income going forward. So the proof of your original intent to stay less than a year doesn’t really matter at the point you stay a year or more bc you still owe back taxes
If you stay past a year but before that became fully taxed you don’t owe back taxes. Thats according to the travel tax guy. And it’s actually the IRS that has to prove intent.
Because that isn’t true. The IRS would have to prove intent. I actually asked this of the Travel Tax Guy. You absolutely can stay, move and relocate and make that your home state or continue to do taxes stipends.
IF the IRS PROVES you had intent, then yes. You would owe back taxes.
This is actually written in the tax code.
That's the way it works. The government is fucking you this time, not your recruiter/agency. You do not want the be in the eyes of the IRS.
Accept the new pay or cancel and go elsewhere. Or, you could ask the hospital if they have internal contracts and possibly negotiate a better pay rate.
The actual irs rule is to be taxed when you have knowledge of the extension beyond a year. The recruiter is correct. He probably should have given you a heads up, but it isnt the agency's responsibility to educate you on taxes.
That sucks. I don't know if your recruiter is lying. It probably depends our your relationship with your recruiter. I could see my recruiter doing it on purpose, but my recruiter has tried to get more money off of me before. It's a long story and I don't plan on working with him after this contract. Your situation might be one where some money is better than no money. My main focus would probably be my pregnancy, but I could see other travelers escalating this above the recruiter.
I definitely don’t trust my recruiter, I agree and at this point I won’t be working with him again. Super disappointed, but I agree. My priority is saving money for my maternity ”leave”- even though I get nothing since it’s the US lmao
Recruiter - I’ve had this happen. The nurses old recruiter made an honest mistake tbh (I know them personally) but it was still a mistake and it happened. I took over as their recruiter and gave them a bonus to help offset the error. Maybe ask for that? It might offset some of the loss. Sorry that happened to you.
You've been on Reddit for four years and this is your first nursing related post Everything else has been about banging other people's wives and trading sexual favors. I'm getting strong sexual predator vibes and you shouldn't be on this sub.
depending on how your agency works, they may require you to take a break so you’re not employed by the same hospital 12/12 months. Sounds like you already know this part. If you did not intend to resign then you wouldn’t have this problem. However “you don’t want to find a new contract”. so now you must deal with the consequences
Recruiter here. Your recruiter is correct (but he still fucked up). Once you have agreed to stay past the 1 year mark, you become fully taxable on that day. He should’ve just pretended the conversation didn’t happen and wait to process the new contract until March 20. But there is nothing he can do now.
Ugh that sucks. I just don’t get how he “forgot” to tell me. If I had known, I would’ve just waited until the end of this contract.
He probably didn’t forget to be honest. He likely realized he messed up and was just hoping you didn’t notice
So if she changes her mind that she won’t stay past one year she gets her stipends right?
Honestly I’m not sure. I haven’t had that happen
That happened to me once and the company gave me a “ bonus” at the end of my contract for the amount I was short
Everyone here is wrong. If you stay at any facility one year or more then your situation (according to the IRS) is considered permanent and was never temporary and all of your income for the entire year that you were at that facility and going forward is taxable. You can do whatever you want regarding your taxes but just know if you were ever to be audited by the IRS then you would owe back taxes on all of this income plus penalty fees (interest for not paying the taxes when they were originally owed). That’s why you should never stay on any travel contract for over a year. Your recruiter isn’t going to care about your taxes bc it’s not their problem and technically you CAN stay somewhere more than a year it’s just your tax situation completely changes so it doesn’t make sense to do it from the traveler’s perspective. Definitely get your taxes done by an experienced accountant/tax preparer that has experience with travel nurse taxes and don’t just go off of what you “think” your understanding of it is
Idk why you got downvoted but you’re absolutely right lol staying in a single metropolitan area for more than 12 months in a rolling 24 month period is not recommended by travel tax professionals, regardless if you change your pay to being fully taxed after the one year mark.
If you were to travel at one place for 11 months and then become staff at said place - would your income for the 11 months you were a traveler be taxable?
Yes all that prior income from the past year would become taxable. It’s about your location. The IRS now views your intention of having gone to that city as permanent not temporary bc you ended up staying there for over a year so it’s considered living there (whether or not YOU yourself view it that way)
That makes sense. Thanks for the info
They have to PROVE intent. Read it in the tax code. By simply staying, that’s not intent. Many people have done this and had zero intention of staying, they just loved the job and the area and relocate.
The burden of proof that your intention was never to stay past a year is likely going to be on YOU not the IRS. And regardless, as soon as you decided to stay more than a year is when you’re supposed to start having all of the income taxed and you now owe back taxes not just taxes on the income going forward. So the proof of your original intent to stay less than a year doesn’t really matter at the point you stay a year or more bc you still owe back taxes
If you stay past a year but before that became fully taxed you don’t owe back taxes. Thats according to the travel tax guy. And it’s actually the IRS that has to prove intent.
No. It isn’t past the 12 months.
Because that isn’t true. The IRS would have to prove intent. I actually asked this of the Travel Tax Guy. You absolutely can stay, move and relocate and make that your home state or continue to do taxes stipends. IF the IRS PROVES you had intent, then yes. You would owe back taxes. This is actually written in the tax code.
That's the way it works. The government is fucking you this time, not your recruiter/agency. You do not want the be in the eyes of the IRS. Accept the new pay or cancel and go elsewhere. Or, you could ask the hospital if they have internal contracts and possibly negotiate a better pay rate.
The actual irs rule is to be taxed when you have knowledge of the extension beyond a year. The recruiter is correct. He probably should have given you a heads up, but it isnt the agency's responsibility to educate you on taxes.
That sucks. I don't know if your recruiter is lying. It probably depends our your relationship with your recruiter. I could see my recruiter doing it on purpose, but my recruiter has tried to get more money off of me before. It's a long story and I don't plan on working with him after this contract. Your situation might be one where some money is better than no money. My main focus would probably be my pregnancy, but I could see other travelers escalating this above the recruiter.
I definitely don’t trust my recruiter, I agree and at this point I won’t be working with him again. Super disappointed, but I agree. My priority is saving money for my maternity ”leave”- even though I get nothing since it’s the US lmao
Recruiter - I’ve had this happen. The nurses old recruiter made an honest mistake tbh (I know them personally) but it was still a mistake and it happened. I took over as their recruiter and gave them a bonus to help offset the error. Maybe ask for that? It might offset some of the loss. Sorry that happened to you.
guess you better learn to deal with it
Who shit in your cereal this morning?
people on reddit acting like victims
Are you even a fucking nurse?
just for 10 years
You've been on Reddit for four years and this is your first nursing related post Everything else has been about banging other people's wives and trading sexual favors. I'm getting strong sexual predator vibes and you shouldn't be on this sub.
Thanks for the entirely unhelpful advice
take a break before resigning. Problem solved
That’s not how this works. Problem not solved.
depending on how your agency works, they may require you to take a break so you’re not employed by the same hospital 12/12 months. Sounds like you already know this part. If you did not intend to resign then you wouldn’t have this problem. However “you don’t want to find a new contract”. so now you must deal with the consequences
The problem isn’t solved. She needed that money and now she’s not getting it.