Nurses Will Soon Get $50K in Incentives to Work in Nursing Homes, CMS Announces

In a move to tackle the nursing home staffing crisis, the Centers for Medicare & Medicaid Services (CMS) is rolling out some serious funding opportunities for eligible nursing homes. If your facility earns the coveted Financial Incentive Administrator (FIA) designation, you could receive major financial backing, in the multi-millions, to recruit and retain registered nurses (RNs). The Nursing Home Staffing Campaign (NHSC) is packed with monetary incentives for nurses of (up to $50,000 per nurse) to take on roles, specifically in long-term care facilities.

Here’s the scoop on this initiative, who's eligible, how nursing homes can apply for the funding —and why it might be something to look deeper into. 

Minimum Nursing Home Staffing Rule 2026

This initiative is part of CMS's Nursing Home Staffing Campaign, which was launched to address the ongoing workforce shortage—an issue made even more pressing by CMS’s upcoming minimum staffing rule.

By 2026, long-term care facilities will be required to have an RN on-site 24/7, a big jump from the current rule of eight hours a day, seven days a week. And not everyone is thrilled—about 40 states and nonprofits are suing HHS and CMS over the rule.

So, who can apply for this funding? Small businesses, nonprofit organizations, and institutions of higher education (public, private, or state-controlled) are all eligible to get in on the action.

Here’s the financial breakdown: CMS has set aside between $5 million and $20 million for the program. But don’t snooze on this opportunity—the application window closes on March 7.

This aims to help nursing homes struggling to recruit and retain nurses while preparing for the new staffing rules.

Financial Incentives Explained

CMS should know that nurses aren’t just in it for the money…but it doesn’t hurt, right? Here’s what’s on the table, money-wise:

• Student Loan Payoff: Got nursing school loans haunting you? CMS will pay up to $40,000 over three years for nurses working in qualifying nursing homes or state agencies.
• Living Expense Stipend: Need help covering rent or groceries? You could get $10,000 over three years to ease the financial stress.

Oh, and these amounts are adjusted based on your area’s cost of living, because, let’s be real—$10,000 goes a lot further in Oklahoma City than it does in San Francisco.

Who’s Eligible?

This program is aimed at recruiting new nurses, so here’s the fine print:

• You need to be a licensed RN working full-time (at least 30 hours a week) at a qualifying nursing home or state agency.
• If you have student loan debt tied to your RN education, you’re in.
• No student loans? No problem! If you’ve had your RN license for less than a year, you’re still eligible for the stipend.
• Travel nurses or contract workers? Sorry, this one’s for direct employees only.

CMS is also looking for feedback on whether RNs who’ve recently started in nursing homes should qualify. Stay tuned for updates on that.

What’s the Catch?

To get the financial perks, you need to commit to working in a qualifying nursing home or state agency for three years. Don’t worry—they’re not leaving you to figure it out alone. Here’s how CMS is making it happen:

• Placement Help: You’ll get matched to a job that fits your preferences and location.
• Verification Process: Your work commitment will be tracked (think paystubs or employer confirmations). No ghosting allowed!
• Quarterly Payments: Loan repayments and stipends are paid every three months—steady cash flow, anyone?

How It Works

Once funding kicks in, awardees have six months to set up the infrastructure to start distributing funds. Recruitment will last about 18 months, and nurses will start receiving incentives as soon as they commit to the program. The ultimate goal? A stronger workforce in nursing homes, and better care for residents.

CMS will also work with states and stakeholders to spread the word, recruit diverse nurses, and improve collaboration between nursing schools and facilities.

Why This Matters

Yes, this initiative is about filling jobs in hard-to-fill facilities; but, it’s also about improving care for people who need it most while giving nurses opportunities to grow their careers without the weight of crushing student loans. As CMS puts it: “Nursing home staffing is a critical factor for improving care for nursing home residents.”

What Do You Think?

If you’re thinking about trying something new or paying off those pesky student loans, this program could be something to consider. While details are still being released, nurse.org will continue to update this article with the details. 

What do you think? Ready to trade in your scrubs for, well, more scrubs…but with some extra cash in your pocket? Let us know on @nurse_org Instagram.