Are nursing shift differentials taxed at a higher rate?
No. Shift differentials simply increase your gross pay, which is taxed at the standard federal progressive rates and the flat 3.5% Kentucky rate.
Calculate take-home pay for RNs and LPNs in Kentucky, factoring in hourly rates, 12-hour shifts, overtime, and local taxes.
Kentucky · 2026 tax year · salaried or hourly
How much and how often you’re paid.
Nurses often work three 12-hour shifts (36 hours), meaning no standard overtime unless picking up extra shifts.
Shift differentials (extra pay for nights/weekends) are fully taxable.
Travel nurse stipends for housing and meals are often tax-free if you maintain a primary tax home outside the area.
1Choose Hourly and enter your base nursing rate.
2Enter your regular hours and any overtime.
3Add shift differentials as Extra Earnings, and select your hospital's local jurisdiction.
No. Shift differentials simply increase your gross pay, which is taxed at the standard federal progressive rates and the flat 3.5% Kentucky rate.
If you qualify for tax-free stipends (by duplicating living expenses), do not enter them into the calculator as taxable gross pay. Only enter your taxable hourly wage.