A new repayment path for nursing-home workers
The Centers for Medicare & Medicaid Services has launched a $275 million nationwide program that will help nursing homes recruit and retain nurses while providing financial assistance to eligible workers with student debt. The Nurses for Nursing Homes initiative began Oct. 26 and includes every state and the District of Columbia.
CMS is committing $100 million to the effort. Participating states are expected to contribute at least $175 million more. The money comes from civil monetary penalties collected from nursing homes by CMS and the states, rather than from a new taxpayer-funded appropriation, according to the agency.
More than 4,000 nurses and nursing students are expected to receive support. A qualifying participant may receive up to $40,000 in student loan repayment and a separate $10,000 stipend, for a maximum of $50,000. In return, the participant must complete a three-year service commitment at an eligible facility.
“When we offer student loan repayment through Nurses for Nursing Homes, we're not just giving nurses and nursing students future financial relief; we're supporting families who want their loved ones to receive quality care in nursing homes.” — CMS Administrator Dr. Mehmet Oz
Who can qualify
The program is aimed at registered nurses and licensed practical or vocational nurses who obtain qualifying jobs at participating nursing homes. Eligible nurses must work an average of at least 30 hours a week. A person must first secure qualifying employment because nursing homes, not CMS, continue to handle hiring.
All rural nursing facilities can participate. Other nursing homes may also qualify if they are in areas experiencing significant labor shortages. CMS said it is working with workforce partners, nursing homes and nursing schools to connect potential participants with available positions.
| Program feature | Terms reported by CMS |
|---|---|
| Student loan repayment | Up to $40,000 |
| Additional stipend | $10,000 |
| Maximum total support | $50,000 |
| Service commitment | Three years |
| Minimum work schedule | Average of 30 hours per week |
Payments depend on verified work
Financial assistance is not paid as a lump sum at the start of the commitment. The program’s frequently asked questions document says payments will be issued quarterly after work hours have been verified. Participants generally cannot have worked at a nursing home or a state agency during the 60 days before opening an application account.
The initiative’s first 90 days began on Oct. 26, 2026. CMS said the program is intended to give qualifying facilities another recruitment tool while helping nurses and nursing students reduce education debt. The agency also said the effort is designed to strengthen the workforce serving nursing-home residents, particularly in rural communities and other places where facilities face labor shortages.
- CMS expects the program to support more than 4,000 nurses and nursing students.
- Eligible participants can receive as much as $50,000 in combined repayment assistance and stipend payments.
- Recipients must obtain qualifying employment and complete a three-year service commitment.
