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A tax preparer’s salary can range widely depending on where you work, your experience, and whether you serve clients independently or through a firm. Many people choose tax preparation for its flexible earning potential. They sometimes work seasonally, sometimes year-round.  

Tax preparers generally help individuals and businesses file federal and state returns, but your income is shaped more by your client base, workload, and location than by the tasks themselves. This guide breaks down average salaries, the factors that influence pay, and what you can expect as you begin or grow a career in tax preparation. 

Key Points 

  • According to the US Bureau of Labor Statistics (BLS), the average tax preparer salary in the US is $58,160 annually.  
  • The annual median wage for tax preparers is $49,010, according to the BLS, with those in the bottom 10% of earners making $29,170 and those in the 90th percentile making $98,810. 
  • Location and experience heavily influence pay. Preparers in larger markets like California, New York, and Texas tend to earn above national norms. 
  • Independent tax preparers can outearn firm-based peers but face more income variability. Firm employees typically gain steadier pay, structured training, and a more predictable workload. 
  • Tax season (January–April) is the most profitable time of year. Overtime opportunities or per-return pay can significantly increase earnings during this period. 

Average Salaries for Tax Preparers: A National Overview

According to the BLS, the average (mean) annual salary for tax preparers in the US is approximately $58,160. Entry-level earners (10th percentile) make around $29,170 per year, while those at the 90th percentile earn approximately $98,810. Hourly, the mean pay is about $27.96. 

Because salaries range widely, the number you earn will depend on factors like your experience level or client base. Many tax preparers start at the lower end of the scale and build toward higher earnings as they gain experience, certifications, or take on higher-value clients. 

It’s also worth considering that some tax preparation jobs are seasonal or part-time, which is one reason income can vary. This flexibility can be a strong advantage if you’re looking to build skills while working around other commitments. 

Average Salaries for Tax Preparers: Entry-Level to Senior Roles 

If you’re considering tax preparation as a starting point for an accounting career, it helps to know what tax preparers earn at different stages. Below is a look at the average tax preparer salary at three common levels: entry-level, experienced, and senior. 

Entry-Level Tax Preparer

When you’re just starting, the average entry-level tax preparer salary is around $29,170, based on BLS data. At this stage, most preparers have a valid IRS Preparer Tax Identification Number (PTIN) and are building confidence with basic returns. 

If accounting is part of your long-term career goals, you might eventually explore certifications like the certified public accountant (CPA) or enrolled agent (EA). But even if you plan to stay in tax preparation, there are steps you can take early on to increase your earning potential. 

One option is the IRS Annual Filing Season Program (AFSP). Now, it’s not a guarantee that this certification will bring you more money, but it is nationally recognized training that will further your knowledge and readiness for tax season. 

Taking a free tax preparation class would also uplevel your skills and make you more marketable. Your goal during the entry-level stage of your career is to solidify your understanding of foundational tax preparer concepts and procedures.  

Experienced or Certified Tax Preparer 

After about three to five years of tax prep work, you may move into an experienced or certified preparer role. At this level, salaries often range from $35,670 (25th percentile) to $76,020 (75th percentile), according to BLS data. 

One way to advance is by earning a credential such as the accredited tax preparer (ATP). You’ll receive your certification once you pass the Accreditation Council for Accountancy and Taxation (ACAT) exam. This certification does not require college coursework. You earn it by passing an exam and then maintaining the credential with 24 hours of continuing professional education (CPE) each year. 

The ATP credential signals that you understand individual tax preparation beyond the basics. It can help you qualify for more complex work and potentially boost your earning potential. 

As you take on more complex returns and provide deeper guidance to clients, you may see greater fluctuations in your schedule. Many preparers work longer hours from January through April during peak filing season, and again in September and October for clients who file extensions. 

Senior or Specialized Tax Roles 

As you gain knowledge and experience and take on more complex returns, you may move into senior or specialized tax roles. According to BLS data, tax preparers in the 90th percentile earn about $98,810 per year, typically reflecting preparers who handle advanced returns or serve higher-volume client bases.  

One common specialization path at this point is becoming an EA. EAs are federally licensed tax practitioners who have unlimited representation rights, meaning they can represent clients before the IRS for matters like audits and appeals. 

According to Becker.com, a leading accounting education and research platform, EAs in the US earn an average of about $72,000, with some making as much as $174,000. Higher earners may be tied to factors such as specialization or market location. For example, an EA in a major market like Manhattan is likely to make substantially more than an EA in a smaller city. 

At this point in your career, you can still do very well even without the EA certification. Experienced tax preparers who move into senior preparer or supervisory roles can also increase their income as they take on more responsibility.  

Recap

Here’s a summary chart so you can quickly and clearly see how this overview breaks down: 

Career stageTypical payCredentials at this stageWays to increase earningsRole/schedule expectations
Entry-level tax preparerAround $29,170 (per BLS data for 10th-percentile earners) PTIN (IRS); typically, no other certifications yet Complete IRS AFSP; take a free tax preparation class to build fundamentals and marketability Focus on foundational tax knowledge; consistent, accurate prep work 
Experienced or certified tax preparer (3–5 years)$35,670–$76,020 (per BLS data for 25th–75th percentile earners) PTIN; may add ATP via ACAT exam; maintain 24 CPE hours/year Earn ATP and keep up CPE; take on more complex returns and returning clients More seasonal fluctuation: longer hours January–April (peak filing) and September–October (extension season) 
Senior or specialized tax rolesUp to $98,810 (90th percentile, BLS); EAs range from about $72,000–$174,000 (per Becker) EA with unlimited representation rights; some pursue CPA or move into management/leadership Pursue EA; specialize (complex entities, multi-state, representation); progress to management or executive finance roles More autonomy and complexity; potential leadership, advisory, and representation work 

Salary by State and Region 

Where you live has a significant impact on your earning potential. Tax preparer salaries tend to be higher in large markets with higher living costs or higher demand for tax services. States like California, New York, and Texas consistently report wages above the national midpoint for this role. 

Here’s how those major markets stack up in terms of median salaries: 

  • California: $73,210 
  • New York: $73,230 
  • Texas: $61,510 

To get a clearer picture of what tax preparers earn across the country, you can use the table below. It shows tax preparer salaries by state (or territory) at different earning levels, from the 10th percentile (entry-level or part-time work) to the 90th percentile (experienced or specialized roles): 

State/territory10th percentile25th percentileMedian75th percentile90th percentile
Alabama$29,130 $29,900 $33,490 $35,280 $44,810 
Alaska$42,940 $51,150 $77,010 $77,760 $88,010 
Arizona$35,110 $39,720 $43,710 $63,710 $99,320 
Arkansas$27,810 $28,900 $36,070 $44,010 $77,020 
California$36,250 $43,560 $73,210 $84,730 $102,290 
Colorado$37,350 $57,930 $62,860 $66,450 $93,590 
Connecticut$38,150 $39,230 $48,950 $74,170 $79,630 
Delaware$27,560 $37,880 $42,110 $57,130 $64,790 
Florida$25,170 $33,380 $48,790 $72,780 $91,270 
Georgia$29,990 $30,940 $41,780 $47,060 $65,380 
Guam$30,040 $36,640 $38,460 $46,260 $55,630 
Hawaii$31,370 $37,950 $46,170 $71,340 $79,900 
Idaho$52,000 $52,000 $54,500 $54,990 $68,240 
Illinois$31,090 $34,300 $39,220 $61,500 $81,570 
Indiana$29,690 $35,940 $46,430 $59,680 $65,180 
Iowa$33,480 $48,630 $57,440 $78,970 $97,770 
Kansas$29,120 $36,400 $44,810 $64,470 $96,390 
Kentucky$18,780 $25,890 $35,830 $46,500 $70,360 
Louisiana$23,470 $27,770 $37,430 $50,660 $64,260 
Maine$39,500 $48,260 $51,240 $51,240 $62,500 
Maryland$34,720 $39,990 $45,080 $64,880 $95,850 
Massachusetts$36,100 $49,250 $58,720 $69,100 $88,480 
Michigan$28,420 $37,920 $46,870 $62,610 $88,250 
Minnesota$35,780 $50,070 $65,530 $87,120 $132,190 
Mississippi$27,440 $28,440 $33,390 $51,520 $63,830 
Missouri$31,090 $34,860 $42,280 $63,200 $93,080 
Montana$43,300 $49,610 $71,370 $83,490 $99,160 
Nebraska$29,870 $32,570 $49,020 $63,580 $75,690 
Nevada$28,860 $41,480 $41,480 $56,500 $93,350 
New Hampshire$31,730 $38,130 $46,650 $72,420 $84,630 
New Jersey$35,220 $39,540 $56,440 $62,760 $73,070 
New Mexico$27,660 $29,810 $38,070 $46,640 $62,820 
New York$38,110 $49,630 $73,230 $86,740 $109,930 
North Carolina$29,900 $37,790 $47,700 $61,040 $80,510 
North Dakota$36,300 $36,970 $59,130 $76,240 $82,570 
Ohio$37,480 $39,250 $50,760 $58,000 $62,590 
Oklahoma$26,140 $28,670 $37,860 $47,470 $73,430 
Oregon$39,890 $44,060 $49,220 $71,440 $82,620 
Pennsylvania$27,510 $33,580 $47,340 $80,210 $99,990 
Puerto Rico$30,570 $36,210 $49,500 $64,010 $98,350 
Rhode Island$47,840 $55,880 $56,070 $58,240 $58,240 
South Carolina$23,600 $29,440 $37,550 $62,160 $81,160 
South Dakota$38,620 $43,880 $51,060 $63,010 $75,680 
Tennessee$26,200 $27,570 $35,640 $59,090 $81,010 
Texas$29,680 $36,280 $61,510 $79,690 $96,700 
Utah$38,730 $49,430 $58,660 $84,780 $100,110 
Vermont$38,270 $41,600 $54,240 $60,990 $65,820 
Virginia$29,920 $40,430 $59,220 $75,660 $108,000 
Washington$37,300 $39,200 $45,120 $50,340 $74,700 
West Virginia$20,630 $21,930 $30,470 $58,570 $76,320 
Wisconsin$29,540 $37,830 $46,010 $60,630 $77,580 
Wyoming$40,500 $52,000 $60,340 $83,010 $89,990 

Source: BLS Occupational Employment and Wage Statistics 

Independent Versus Firm-Based Tax Preparers 

Tax preparers can build their careers in two main ways: by joining an accounting or tax firm or by working independently. Each path offers distinct advantages and trade-offs, particularly in terms of income and flexibility. 

  • Firm-based preparers typically receive steady pay, structured training, and mentorship opportunities. These roles can be ideal for new professionals seeking a predictable income and guidance as they build their experience. Because firm pay scales are often standardized, income growth may be more gradual and tied to promotions. 
  • Independent tax preparers have more control over their earning potential. They can grow their income more quickly as they expand their client base or specialize in high-value services like business tax preparation. However, it also fluctuates with seasonal demand and depends on their ability to attract and retain clients. Working independently also means managing the business side of the job, including marketing, scheduling, and bookkeeping. 

Seasonal Factors and Additional Income Opportunities

Tax preparation work tends to peak between January and April, when most individuals and businesses file returns. During these months, preparers often see their highest earning potential, thanks to overtime hours or per-return pay structures. Experienced preparers and those with strong client bases may work long days but can significantly boost their annual income in this period. 

Outside of tax season, many professionals supplement their income by offering bookkeeping, payroll, or filing taxes for businesses. These ongoing needs keep clients engaged year-round and help smooth out income between filing seasons. Some tax preparers also expand into financial consulting or budgeting support for small business owners, creating additional revenue streams. 

How to Increase Your Tax Preparer Salary 

It doesn’t matter if you work independently or within a firm. There are clear ways to grow your income as a tax preparer. The most effective step is to expand your credentials. Completing IRS-recognized programs—like the AFSP or an EA designation—can position you for higher-paying roles and a broader client base. 

Building long-term client relationships also pays off. Repeat clients often return each season, and referrals can quickly grow your workload. Consistent, high-quality service builds trust. And building a strong reputation can justify premium pricing over time. 

Finally, consider diversifying your services. Offering small business, multi-state, or amended returns allows you to charge higher rates and generate income beyond the standard filing window.  

Each new skill or service area adds value to your practice and helps you stay competitive in an evolving tax industry. 

Build Your Future as a Tax Preparer

A career in tax preparation offers flexibility and a clear path for growth. While salaries vary by experience and the type of work you take on, motivated learners can steadily increase their income through professional training and hands-on experience. 

If you’re ready to grow your skills, start by exploring Intuit Academy’s free educational resources. Our platform offers free tax classes designed to help you build a foundation in real-world tax concepts. Options include Tax Level 1, to build on the subject matter of Federal Individual Taxes or Business Tax to build on the subject matter of Partnerships and S corporations. This course includes real-world tax concepts and a badge you can add to your resume once you complete it. 

Begin your journey toward a rewarding career in tax preparation today with Intuit Academy, where learners turn financial curiosity into professional expertise. 

FAQs 

Do tax preparers earn more working independently or for a firm?

Income depends on experience, client volume, and credentials, but independent tax preparers often have higher earning potential because they set their own rates and take on more clients. However, firm-based preparers typically receive steady pay, benefits, and structured training, which can provide financial stability early in their careers. Independence offers flexibility, but firms offer predictable income and support. 

Does pay change with seasonality? 

Yes. Tax preparers typically earn the most during tax season (January–April) when demand for filing services peaks. Many professionals work overtime or are paid per return, significantly boosting their income during this period. During the offseason, preparers may supplement their earnings by offering services such as bookkeeping or business tax advising to maintain a steady income year-round. 

Can tax preparers earn tips or bonuses? 

In some cases, yes. Independent preparers may receive voluntary tips from satisfied clients, while firm-based tax preparers can earn bonuses tied to performance or client satisfaction during peak season. Although tips and bonuses aren’t guaranteed, strong customer relationships and accuracy often lead to repeat business and additional income opportunities.