How Do Travel Physical Therapy Pay Packages Work?

If you're a physical therapist considering a career in travel physical therapy, understanding how travel PT pay packages work is essential. Travel physical therapy compensation is structured differently than a permanent job and typically includes a mix of taxable hourly wages, non-taxable stipends for housing and meals, reimbursements, and possible overtime and holiday pay. This guide breaks down what to expect so you can confidently evaluate and compare different travel PT pay offers.

What’s Included in a Travel PT Pay Package?

A typical pay package consists of several key components:

1. Taxable Hourly Wage

This is the portion of your paycheck that is subject to federal and state income tax. It’s usually lower than permanent PT jobs to make room for tax-free stipends.

• Typical Range: $20–$28/hour on average (can vary by region and setting)

• A very low hourly rate (under $18/hr) may raise red flags with the IRS. It’s important to keep this portion reasonable.

2. Non-Taxable Stipends

These are tax-free payments for your housing and meals if you qualify by maintaining a legitimate tax home.

• Housing stipend – Covers your lodging expenses.

• Meals & incidentals (M&IE) – Covers daily living costs.

Tip: Use gsa.gov to check the maximum allowable stipends for your assignment location. Agencies shouldn't exceed these limits without turning stipends into taxable income.

3. Travel & Mileage Reimbursement

Most companies reimburse you for getting to your assignment location.

• Commonly reimbursed at the IRS mileage rate (if driving).

• Others may offer a flat amount for flights.

4. Licensure Reimbursement

Most travel PT agencies cover or reimburse costs for:

• State licenses

• Fingerprinting/background checks and other onboarding requirements

• Continuing education (CEUs)

Understanding Gross vs. Net Pay

Before we dive into numbers, it’s important to understand the difference between gross pay and net pay in the world of travel physical therapy.

Gross Pay

• This is your total earnings before taxes and deductions.

• It includes your taxable hourly wage, stipends, and any bonuses or reimbursements.

• Recruiters often quote gross weekly pay, so be sure to clarify what’s taxable and what’s not.

Net Pay (Take-Home Pay)

• This is what actually lands in your bank account after taxes are taken out.

• Travel PTs typically have lower taxable wages but benefit from tax-free stipends, so your net pay may be much higher than in a traditional salaried position.

Pro Tip: Always ask for a full breakdown of gross vs. net pay so you can understand what you’ll actually take home each week. You should do some research in the state you are going to be working in to get a good idea of the tax rate.

So what is the Average Weekly Take-Home Pay?

For most travel PTs, weekly take-home pay (after taxes) typically falls between $1,800 and $2,200. This can vary based on:

• Location: Urban and high-cost-of-living areas often offer higher stipends.

• Setting: Home health often will pay more than outpatient or hospital setting.

• Experience & Negotiation: More experienced PTs may be able to negotiate higher rates.

• Overall supply and demand in the travel physical therapy market

Annual Salary Comparison:
Earning $1,800–$2,200 per week after taxes equates to a gross annual salary equivalent of approximately $115,000 to $145,000+, depending on your tax rate.
For comparison, a full-time staff PT position may offer a gross annual salary of $75,000–$90,000, often with fewer tax-free benefits and less flexibility

Housing: Stipend vs. Agency-Provided

You’ll usually have two options:

• Take the housing stipend and find your own lodging (you keep what you don’t spend).

• Let the agency provide housing (fully furnished, short-term).

Tip: Taking the housing stipend often means more flexibility and higher earnings, but it does require more responsibility. This is the more popular option.

Why It's Important to Check Your Paystub

Even the best agencies can make mistakes. HR and payroll teams sometimes mess up paychecks. Always double-check:

• Your stipend amounts match what was agreed upon

• Your taxable wages are reported correctly

• Reimbursements (travel, license, etc.) have been paid out

Catch errors early. It's easier to fix mistakes in real time than at tax season.

Questions to Ask Your Recruiter

Before accepting an assignment, you can ask these important questions:

• What’s the breakdown between taxable wage and non-taxable stipends?

• Are the stipend amounts within GSA limits?

• What reimbursements are included (travel, license, CEUs)?

• Can I get a written breakdown of the pay package including reimbursements?

Final Thoughts

Understanding your travel PT pay package is one of the most important parts of your assignment. Always:

• Verify the taxable vs. non-taxable amounts

• Use gsa.gov to check stipend limits

• Check your paystub regularly

• Ask your recruiter the right questions

The more informed you are, the better prepared you’ll be to make smart financial decisions.