Travel nursing is one of the fastest growing sectors in nursing today. Although travel nursing has become more popular in recent years thanks to wireless technology and Internet technology, this profession is not as new as one might think. Travel nursing can be traced back to 1978, where it all started in New Orleans. During Mardi Gras, the population in New Orleans nearly doubles in size, creating a demand for additional police officers, service workers, healthcare professionals, and many others.
In 1978, the hospitals in New Orleans were short-staffed during Mardi Gras, so one hospital hired a contract nurse to help out. According to Healthcare Traveler Magazine, this set a precedent. In the 1980s, a nationwide nurse shortage occurred. In response, hospitals hired contract nurses or “travel nurses” to care help care for patients. This trend continued after the most severe shortages ended, based on the convenience and cost-effectiveness of hiring skilled nurses for short-term assignments.
The U.S. Department of Labor Bureau of Labor Statistics reports that there is still a nursing shortage in the U.S. The U.S. Department of Labor predicts a 500,000 nursing shortage by 2025, with more than one million needed by 2016. This is excellent news for aspiring nurses, but bad news for the industry overall. A nursing shortage means nurses that are already working are overworked, and hospitals are understaffed. As a result, more hospitals recruit and hire travel nurses. This creates a high demand for travel nurse agencies. In fact, there are more than 300 travel nurse agencies across the U.S. and this number continues to grow. Hospitals and placement agencies are willing to pay top dollar for skilled nurses willing to travel to hospitals and other medical facilities across the country.
It is estimated that, on average, travel nurses earn roughly 15 percent more than home-based nurses, excluding benefits and perks. Travel nurses earn an average of $83,200 per year. Median annual wages of home-based registered nurses is around $62,450 per year. It is important to note that most travel nurse agencies offer a number of bonuses such as signing bonuses, referral bonuses, and even a bonus upon completion of an assignment. Most home-based nurses do not receive bonuses.
Although travel nurses make more than home-based nurses, they still receive the same benefits as home-based nurses (i.e. health insurance, savings, retirement), but with several extras. Hospitals and nurse travel agencies are willing to pay relocation costs (no matter how many times you must relocates), they offer travel allowances, and you will never have to pay for an apartment or other accommodations. This means, travel nurses get to keep more of the money they earn as well.
The typical hospital nurse works a full-time schedule either days, nights or weekends. In facilities such as nursing care facilities where patients typically require 24-hour care, travel nurses may end up working the night shift. In some cases, overtime may be required. The amount of overtime pay travel nurses receive will depend on the position, facility, and if applicable, the agency. for example, a nurse that earns $42/hr. on assignment may receive $63/hr. for every hour worked above and beyond the regular 40-hour work schedule. Other positions list a n hourly wage of $40 and $60/hr. for overtime. Home-based nurses are eligible for overtime as well. The amount varies by facility.
Hourly wages are not the only financial benefit to working as a travel nurse. According to San Diego-based Travelnursing.com, “many travel nurse companies will allow their travelers to participate in their 401(k) plans.” Some agencies allow travelers to begin contributing on the first day of the first assignment, with the possibility to contribute up to $15,500, tax-free. Mature travel nurses, age 50 and up, may have the opportunity to contribute up to $20,500. Before you accept an assignment, simply inquire within about the agencies 401K plan. The same applies if you sign with a facility.
If you are considering accepting a travel nurse position and you would like to compare salaries and benefits of home-based vs. travel nurses, visit the U.S. Department of Labor at www.bls.gov.
