The Linked Income feature in IncomeXpert helps you qualify borrowers that hold short
term assignments and move employer to employer due to the short term nature of their
professions.
What is Linked Income?
Linked Income allows you to combine income from multiple jobs — both current and
previous — into a single, averaged income stream. This approach helps underwriters
and loan officers establish a stable and realistic income estimate, especially when
borrowers work in industries where job changes and variable pay are the norm.
These borrowers often require their income to be averaged over a two-year period to
meet underwriting guidelines. By linking their income records, IncomeXpert provides a
compliant and accurate picture of total qualifying income.
How It Works
When enabled, Linked Income allows you to combine income records from multiple
employers into a single income stream. This enables more accurate year-over-year
income averaging and supports evaluation in accordance with agency guidelines.To use Linked Income for short term workers
Option A
Using one employment entry ( and we recommend calling the employment “travel
nurse” for example). Enter in each paystub under it own entry in the same job (example
base pay from ABC hospital):
Option B:
Enter a separate employment calculator for each employment for the past two years.
Use the “link” icon to link together these separate employments as one merged income amount.
IncomeXpert will merge the data and apply all relevant calculations.
Advisory Integration
All advisories shown at the bottom of the income screen take into account the combined
histories and guideline thresholds for each linked job. This helps ensure you’re alerted
when minimum documentation or employment history requirements are not met.
Want to see it in action?
Watch our Linked Income video here for short term workers walkthrough for a step-by-step
demo.
7 Responses
Hi How do I get access to your training videos
I have underwriting experience but really prefer to update my skills
each company has certain rules
I may be missing
I have a travel nurse who on her contract it states what she is paid per day for food and lodging and travel. As part of her pay package. When you look at paystubs they are taxing her on the reimbursement income she is making with that said my underwriter is saying we can only use her base pay is that correct?
Hi Dawn
Thanks for the question, if the pay stub has “reimbursement” for lodging and food and travel that is not part of their base pay. If the pay stub shows “pay” for those items, that is a different story. The difference is the reimbursement you submit receipts to the employer to pay you back for the money you spent. If the items are marked as “pay” they are taxes and part of your pay plan. I know this seems like a subtle difference, but reimbursements don’t qualify as pay.
How would you handle income verification if the nurse has worked for multiple facilities over the last 2 years, and has a mix of W2’s and 1099’s?
Hi Landon
That radds to the complexity of travel nursing. Getting 1099 means you are “self employed” by the guidelines (unless you use the FHLMC 1099 rules) so you have to have a two year history of doing SE income. But if your just using 1099 to link together the “history” of earning nursing income it makes sense. What becomes hard is knowing stop and start dates for SE borrowers to make sure the gaps between jobs and 1099 is not broken. If the jobs and 1099 (SE Income) and If you can clearly document start and stops AND the bororwer is a W2 for HOPEFULLY 6 months or more NOW then you can add all the incomes up to average.
Sorry clear as mud.. but this is the challenge…. I would suggest you create a document that shows start + stops on each and the average income earned so your investor can better see your thought process.
I have a travel nurse that receives a housing stipend an per diem meals. The underwriter is not including them in her income. Should that income not be used even though she receives it ever week?
Hi Monique
That question is a tricky one! The reason why is per diem and housing stipends are not listed in the guidelines directly and what to do with them. So we have to think about what they are and do they meet the 3 requirements of all income. I think they “could be used” but… here is the rule they tend to violate which makes the income unqualified. Most travel nurses keep a contract for 4-6 months..so if they move to a different area they may not get per diem, or get less for meals since those are really dependent on location. Now if your borrower has two years of travel nursing AND works in the same area, AND gets the same per diems…well that would be the exception.
To help your UW see your point and maybe use the income I would reocmmend you document the 2 year history of stable even per diem and stable even stipends.
Thanks