If there is one thing this global pandemic has shown us, it is how quickly everything can change. It seems only weeks ago we were paying attention to a democratic primary, impeachment proceedings, and tragic images from a massive earthquake in Turkey. Now there are medical professionals all over the world on the front lines of a global fight to stem a virus we have only known for a few months. In the face of uncertainty, we have a human need to try to bring some control and stability to our lives.

Here are a few steps I would start with.

Finances in the short term

We have seen how the economy can shift rapidly, and while many of you are still employed and will be for the foreseeable future, this is a good moment to make sure that you have an emergency fund. Having the funds necessary to move yourself to a new location and take care of 6 to 12 months of your basic living expenses will prevent you from having to liquidate either investments or real estate or take on debt in the face of a sudden change. Take this moment to evaluate your realistic worst-case scenario for 12 months and make sure that you have the funds to cover at least your needs.

Finances in the long term

When it comes to your long term investments, I cannot stress enough how important having a plan is. If the month’s events have you rattled, look at your plan. If you do not have a plan, consult a professional (like myself) and create one. One of the most important things to make sure we do in emotionally charged moments is to stick to our plan. If that means you are young and still contributing to our retirement, stick with it. If that means you are facing retirement and the equity side of your portfolio has taken a dive, remember that you have bonds for this very moment. We as humans are prone in these moments to make decisions that will reverberate for decades and having the framework to make those decisions is how we help eliminate our biases and fear.

Remember we have been here before

Know that the global economy has seen many historic moments before. It has been through world wars and recessions. It has seen full industries collapse and new ones emerge. What the world is facing is very real, tragic and scary. We do not know when it will end and how many heart-breaking stories we will have to tell from it. History has shown us, however, that these moments, while they change us and shape us, do pass. When they pass the world economy will start to move forward again, our investments will have more clarity, and we will gather together the pieces of our lives and make a path forward.

Crisis Pay

For the nurses out there signing up for assignments fighting this virus, first of all, thank you. The world is a better place because people like yourself are helping to save lives. On the more practical side, go into this quick assignment with a plan. These kinds of assignments can pay very well. They are also the first to go when the situation begins to clear up. One of the most prudent things you can do is save the bulk of your crisis pay. One of the best strategies I have seen executed was someone who put their entire crisis assignment paycheck into a separate account. When this assignment was over, they had saved over a year’s worth of their regular wages.

Smile

Lastly and arguably most importantly find the things that bring you life and hope and build them into your life. This is arguably important all the time but especially when the headlines are so stark and the “normal” that we had before seems like a relic of the past. I find that being with the people I love, climbing and meditating are what keep me smiling. Find what keeps you smiling and hold onto it.

We hope these tips on finances have helped you.

Finished the travel nursing guide and are ready to look for an assignment?

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Keith Kolomichuk, Financial Advisor, CPFA, AAMS
Raymond James & Associates, Inc. member New York Stock Exchange/SIPC
Address: 5285 E Williams Circle, Ste. 5500 Tucson, AZ 85711 Phone: 520-330-3652
This material is provided for educational purposes only and does not constitute investment
advice. Investing involves risk and you may incur a profit or loss regardless of strategy
selected.

The unique Financial challenges that Travel Nurses face, can add another layer of stress.

Being a travel nurse is certainly not easy, but it is very rewarding.

travel nurses financial challenges — Photo by Simon Rae on Unsplash

Amidst the highly stressful environment, sleepless nights that you’re on duty, overtimes, and missed holidays with family – nursing is such a noble profession.

Unfortunately, despite all the demands of work, nurses don’t just feel overworked and over-stressed. They also feel underpaid, according to research.

Especially travel nurses.

Travel nursing may seem like a very exciting journey for some. The ability to work and travel at the same time – that’s a dream come true. The endless adventure. Meeting new people and making friends from various places. The freedom to live independently. Getting away from hospital politics. All these make travel nursing a great choice for many professional nurses. However, travel nursing can be a very demanding profession, leaving nurses very little time for life outside work and their family.

The challenges do not end there. Travel nurses often find themselves dealing with financial difficulties too.

Travel Expenses

Working in different states or cities is truly an adventure. But it could also mean a huge expense as travel nurses get to combine work and leisure. After all, travel nurses don’t get to stay at a particular place for too long, might as well explore it like a tourist.

Thus, one common challenge that travel nurses face is saving money consistently. Fortunately, the new technology allows travel nurses to set up an automatic savings account where part of their paycheck goes straight to their savings account. With a reduced paycheck, it can be difficult to juggle personal expenses sometimes. But instead of withdrawing cash from their savings, they can get financial assistance for travelers to cover those unexpected expenses.

Tax Problems

The first and major challenge faced by travel nurses is a complex tax situation. Since they are traveling for work, there are plenty of things to consider when filing taxes. One is establishing a tax home. This is important to be able to deduct travel expenses to other cities or states while protecting their untaxed income. Travel nurses also need to file taxes in every state they’ve worked. To stay organized and ensure that nothing is left behind, travel nurses need to be adept at keeping records, from their work contracts to their mileage log, and receipts to avoid issues with their return. There are a variety of unique tax situations for travel nurses.

Financial Priorities

While it’s true that not every nurse will have the same financial needs, there are some goals that remain true among all travel nurses. These include starting a family, buying a house, saving for retirement, or starting a business. Earning and saving money is a major priority for many travel nurses. Unfortunately, it is easier said than done.

Setting financial priorities can be difficult. But by keeping a solid financial plan in place, travel nurses can achieve their financial goals despite the challenges that lie ahead. In addition to creating an automatic savings account, travel nurses can benefit from making small yet positive changes in the way they handle their finances. Minimizing their expenses by postponing major purchases and making the most from their employer’s financial programs are some examples.

Financial Management Tips for Travel Nurses

Most travel nurses make over $100K per year. That’s a lot but if they don’t get smart with their finances, they could end up having no savings by the time they retire.

Here are some financial management tips if you wish to become a travel nurse:

Find your own housing, this gives you the freedom to decide on how much you allocate for your accommodation. Some agencies will offer housing options but these could be pricier than what you can find. Compare and choose which one is more budget-friendly for you.
Work for a travel nurse agency with high pay and transparency. Every agency has its own salary structure. It is best to work with an agency that is very transparent about their offers and compensation rates. This eliminates the need for nurses to know whether the position is right for them.
Make a budget. And stick to it. Don’t spend more than what you earn. It’s the golden rule not only for travel nurses but for every other working professional. When making a budget, include certain factors like your income, monthly expense, and any debt you may have. Be smart with your purchases and expenses. If you can have something cheaper than what you originally plan to have, much better.
Build an emergency fund. You never know when you will have an urgent expense. it is better to be prepared.

Like any other lucrative profession, travel nursing comes with financial challenges too. The key is to be organized with your finances, create a plan, keep saving, and set financial priorities. Preparing for these problems should be your weapon against experiencing a major financial drawback.

Start Travel Nursing

This article provided by: Gifted Healthcare

Travel nurses work hard for their money, why not let your money work for you? Building up your financial fitness habits takes effort, but the best time to start is today! Whether you’re looking to improve your day-to-day spending habits or building up your long-term financial stability.

We’ve gathered these tips on how to manage your money with less stress.

Save 5-10% of Each Paycheck

Adding to your savings account seems straightforward, but many people wonder “How much is enough?” Many financial advisors recommend a minimum of 5-10% of your take-home pay is set aside. If you are earlier in your career, these funds can be applied to an “in case of emergency” account to cover unexpected expenses, such as medical costs or auto repairs. As you advance, this money could be invested in a retirement account or with the help of a financial planner. No matter what your situation, a lot of worrying can be avoided if you start saving before surprise expenses pop-up.

Set Up Automatic Saving Deductions

“Let’s go online and have fun working on my financial management!” said no one, ever. It can be hard disciplining yourself into saving money. It can add another item on your already long to-do list that never seems to stop growing. Why not make it easier? Many banks allow you to set up automatic processes that will split your direct deposits for you between checking and savings. Some institutions even offer bonuses if you regularly deposit in your savings account past a certain amount.

You gain peace of mind knowing that the amount in your checking account is available for spending. Plus, you might not notice the difference in pay after the first few deposits. Setting this up allows you to be less confused around what you can afford and what you cannot spend money on while appropriately planning for your future. If dealing with all the numbers is challenging or sounds difficult to figure out, meet with a banker at your local branch and they can help set it up for you.

Avoid Lingering Credit Card Debt

Straight up, spending money you don’t have is a dangerous game. Credit cards can be a useful tool for making big purchases with a pre-planned repayment strategy. Figuring out how to get rewards bonuses or travel points can also let you get more bang for your buck.

Letting debt accumulate, however, can only hurt your long-term financial health. If you don’t pay the minimum balance each month, your credit score will plummet. This makes it challenging to get good interest rates on a mortgage or car loan. Beyond that, if you avoid paying the entire balance each month, you start accumulating large interest fees, making your purchases end up being double or triple what they could have costed if you had paid with your debit card. It might be a good time to pass on big spending splurges if you haven’t assessed your income and built out a realistic monthly budget. Apps like Mint and PocketGuard make it easier to budget and avoid overspending.

Plan Out a Savings Timeline

A lot of people say the idea of saving for “emergencies” or retirement doesn’t motivate them to put the money aside. If you’re more interested in traveling or big-ticket items, look at the price tags and start to figure out how long it would take you to accumulate that much cash. It can feel easier knowing you’re setting aside dollars for a tropical vacation with your sweetheart or a plane ticket for a European adventure. Once you have the experience of meeting a short term, fun savings goal, it might be easier to start thinking about longer term planning. Even setting aside $25 a week can add up to a nice gift for yourself. It might mean skipping dining out here and there, but you won’t remember than when you’re packing your bags for a getaway.

Sometimes financial planning can seem like a drag. The best thing to remember is that when you’re able to use your savings for fun excursions or able to fix your car without the stress of borrowing money, you show the world your independence. Fiscal fitness allows you to get more of the things you want with less worrying. You deserve to feel confident about where your money goes!

finance tips for travel nurses

Finances in the time of COVID-19

Finances in the short term

Finances in the long term

Remember we have been here before

Crisis Pay

Smile

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