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What’s a stipend? How is it related to reimbursements?
What’s a stipend? How is it related to reimbursements?

Help understanding GSA rates, stipends, and how they impact your pay package

Trusted Care Team avatar
Written by Trusted Care Team
Updated over a week ago

This article will cover:


What are stipends?

Stipends are reimbursements for any housing, meals, and incidental expenses incurred as a result of working away from your tax home. At Trusted, we calculate this amount on a per-shift (not per hour!) basis up to a weekly maximum.


What are GSA rates?

Per diem rates, or stipends, are the allowance for lodging, meals, and incidentals that you incur as a result of working away from your tax home. Trusted cannot provide advice on whether any nurse is eligible to receive per diem rates under IRS guidelines, and suggest that you consult with your own tax advisor if you have any questions about your eligibility.

Because these payments are reimbursements for expenses, the IRS sets limits on the amount of tax free stipends we are allowed to pay out according to the zip code of the facility where you take an assignment. For example, the stipends for a position in New York City are expected to be higher than those in Ohio since the cost of living in those areas varies greatly.

At Trusted, we’ve standardized our pay pages and use an algorithm that accounts for the stipends in each zip code defined by the IRS, along with several other variables. This allows us to give our nurses the best pay package possible while remaining compliant.


Where can I find official per diem rates?

Active Per Diem Rates can be found on the official website of the U.S. General Services Administration (GSA) here.


Why are my stipends different from the GSA website?

In order to bring the best jobs to as many nurses as possible, stipends are averaged to account for any variability throughout the year and maintain consistency regardless of seasonal changes. The new rates are updated each year on October 1st. At Trusted, we update our algorithm annually on October 2nd, to ensure our Matches reflect the most up-to-date stipends for each zip code.

Trusted’s pay packages are formulated based on the averages of the IRS guidelines for each month of the year. The stipends are then determined based on the shifts per week outlined in the contract. In the case you are sick or call off, this enables Trusted to pay stipends if the shift is made up later in the week. Also, if guaranteed hours apply, Trusted Health will pay you any stipends that you would have received if you had worked the contracted hours.


Can stipends be negotiated?

Trusted pay packages cannot be negotiated. They are standardized to account for the unique variables of each position and facility and consistently utilize the recommended GSA per diem rates This enables us to give our nurses the best pay packages possible while always remaining compliant.


Why are stipends paid per shift?

Our amazing legal and accounting teams have set up one standardized calculator that we use for every pay package for every nurse. We plug in the information we receive from the hospital and our algorithm produces the pay package. That calculator takes into account all the GSA rules to remain IRS compliant while also maximizing how much we could pay you per shift, which in this case means paying stipends per shift rather than averaged out across the week.


When do my stipends begin and end?

Stipends are paid beginning the day your contract begins and end on the last day of your contract.


I was called off by my facility, will I still receive my stipend?

Yes! Your stipends are guaranteed so long as you're willing and able to work and are called off by the facility. Keep in mind, if the facility has a cancellation or call-off policy, this may impact eligibility to receive your hourly rate.


I dropped a shift because my unit was overstaffed. Will I still receive my stipend?

If you’re available and willing to report to work for a shift within your contracted hours, you should never--and we repeat, never!--volunteer to drop your shift. If you volunteer to drop your shift and don’t meet your weekly contracted hours, then you won’t be eligible for stipends for that shift.


If I call out sick and use sick pay, will I still receive my stipend?

you must be "available and willing" to work each of your contracted shifts to be eligible for stipend. If you call out sick or volunteer to drop a shift (even if it’s due to your facility being overstaffed that day), then you won’t receive a stipend for that missed shift.


For more information, check out these links!

  • For more information on negotiating rates, check out this article.

  • For further reading on guaranteed hours and cancellation policies, check out this article.

  • For instructions on how to log time when you have been called off by your facility or placed on call, check out this article.

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