Tax Preparer Jobs in the United States

Tax Preparer Jobs Overview

Most Americans greet the arrival of income tax season with a mix of anxiety, confusion, and procrastination. But, for those who make their living in tax preparer jobs, it's one of the best times of the year! Yes, things get busy for you as the April 15 deadline approaches, but providing an invaluable service for your fellow Americans makes it all worthwhile.

People may dread doing their taxes, but they look forward to having a professional handle the task. That's because 84% of Americans who earn less than $50,000 per year can look forward to getting a refund. As a tax preparer, your job is to ensure the accuracy of a client's tax forms and determine the best ways to lower their tax burden.

Aside from gratitude from your clients, there are additional benefits you can enjoy as a tax preparer. Job security, schedule flexibility, and the opportunity to work remotely are among the top advantages.

While you'll likely work extra hours in the early spring leading up to April 15, your schedule will generally be pretty consistent for the rest of the year. If you choose to work year-round, you'll use your skills to compute taxes owed, calculate deductions, and analyze tax codes on behalf of clients even after tax deadline day has passed.

Salaries for Tax Preparer Jobs

How much salary you make as a tax preparer depends on your level of experience, education, and certification. Your job title also matters when it comes to how much you can expect to earn.

Certified public accountants (CPAs) and enrolled agents can expect to earn more than those who don't have professional credentials. Although anyone can work as a tax preparer if they acquire an IRS Preparer Tax Identification Number (PTIN), taxpayers often seek further proof of expertise before trusting you with their private financial information.

The average salary range for tax preparer jobs is $15.76 to $20.74 per hour. While remote positions have become increasingly available nationwide, tax preparers generally pay more in the following cities:

• New York, New York - $25.19 per hour
• Los Angeles, California - $23.92 per hour
• San Diego, California - $21.80 per hour
• Chicago, Illinois - $21.29 per hour
• Houston, Texas - $20.31 per hour

How much can you earn as a tax preparer? Whether you want to work remotely or commute to the office, our salary calculator can help you determine the median salary in your area.

Finding the Right Job for You

Year-round or seasonal? That's the first question to answer before you start searching for tax preparer jobs. Some tax preparers work all year; others only work seasonally during the weeks and months leading up to April 15.

Knowing what you want most from the job is helpful, too. What part of being a tax preparer do you find most satisfying? If your ultimate goal is to master the complexities of the income tax system, look for positions that offer opportunities for professional development.

Evaluate the Job Description

It's tempting to focus on salaries, benefits, and work schedules alone when reading job descriptions for tax preparer jobs. However, assessing the job qualifications listed in the posting is equally important. Review the description carefully to ensure the responsibilities and requirements match your skill set and experience.

Research the Company's Culture

High pressure or low key, fast-paced or slow and steady — every work environment has distinct characteristics. Understanding the employer's unique approach to business can help you determine if you'd fit with the company's culture. Visit the organization's website to gain insight into their management style.

You can also gather information about the employer's track record and reputation by searching the internet. Read any press releases, blogs, or articles about the company you can find to determine if the organization's values align with yours.

Growth Opportunities

If you're looking for a position where you can advance your career, large corporations offer the best opportunities for moving up the ladder. Industries with the highest numbers of full-time tax preparer jobs include those that offer accounting, tax preparation, bookkeeping, and payroll services.

Applying for Tax Preparer Jobs

Once you've identified a tax preparer job that piques your interest, it's time to prepare for the application process. Begin by identifying the qualifications most emphasized in the job description. Take every opportunity to utilize these key attributes in your resume, cover letter, and application.

Create a Professional Resume

A clear, precise, and carefully constructed resume is essential when applying for analytical positions like tax preparers. Organize the text into easy-to-read sections and proofread it for spelling, grammar, and formatting errors.

Next, focus on resume keywords, which are the words and phrases commonly used in job postings. Application search filters often rank resumes according to keyword density. Here's a sample of frequently used keywords in job descriptions for tax preparers:

• highly motivated
• self-starter
• strong communication skills
• keen attention to detail
• tax preparation software skills
• excellent customer service skills

Remember that while employers will review your past performance, they're more interested in what you can do for them going forward. Use your expertise with numbers to explain your achievements in quantitative detail. Browse our library of finance/accounting resumes for helpful examples of how to emphasize your achievements.

For additional assistance, take advantage of Monster's professional resume writing services. Our experts will customize your resume to highlight your skills and qualifications.

Include a Cover Letter

A cover letter offers another opportunity to persuade the employer you're the right candidate for your job. A brief explanation of why you want to work at that particular organization is a great place to start. Use the research you conducted about the company to demonstrate your understanding of how the organization works.

Now that you've garnered their attention, briefly describe how you would help the organization meet their needs. Use the keywords you've selected from the job posting to drive home your point. For more information, read our cover letter tips for finance professionals.

Submit the Application

After you've polished your resume and written a compelling cover letter, there's one last step to perform; sign up for a free Monster account. By creating a personal profile, you can get notifications for additional tax preparer jobs as soon as they become available. You can also receive a complimentary professional resume review from our panel of experts.

How to Follow Up on the Application

Waiting for a reply after applying for a tax preparer job can feel like an eternity. Don't lose hope! Callbacks can get delayed for numerous reasons, and a slow response isn't necessarily negative.

If you haven't heard back from the employer in a week or two, send a follow-up email expressing your continued interest in the position. Begin by finding the appropriate person to contact. You can usually learn this information through the organization's human resources department.

When writing the email, make it easy for the hiring manager by referring to your application in the email's subject line. Then, in two or three short paragraphs, reiterate your qualifications, convey your enthusiasm for the job, and express your hopes of receiving a favorable response soon.

Interview Tips for Tax Preparer Jobs

It's natural to feel a little anxious when interviewing for a new job at a new organization. Just don't let trepidation get the better of you. Gain confidence by channeling that nervous energy into preparations for the big day!

The Interview Process

Some organizations hold a single interview for each prospective job candidate; others conduct several rounds of interviews with various staff members. Unless the employer gives you advance notice of what to expect, come prepared for either situation.

Keep in mind that employers also use different interview formats. For positions like tax preparer jobs, employers may favor a competency format over a behavioral structure.

What's the difference between the two formats? The behavioral method features hypothetical questions that allow the employer to learn more about you. This helps the hiring manager to determine if you'll jell with the company's culture.

In contrast, the competency-based approach is more fact-based. It helps the employer ascertain whether you have the necessary knowledge and skillset to process tax returns and interact with clients. Here are three examples:

• Tell me about any charts, graphs, or tables you created to increase your tax preparation efficiency.
• What practical steps do you take to ensure you maintain good relationships with clients?
• How have you learned to adapt to changes in local, state, or federal tax laws?

Preparing for Interview Questions

As a tax preparer, you understand that analytical thinking is critical to producing accurate results. Make a positive impression during your interview by taking the same logical approach when answering interview questions.

Whatever the question, strive to answer it with a brief anecdote that shows you in the best light. When asked about a challenging situation, describe the action you took to overcome it and the positive results you achieved. Ace the interview by backing up your words with statistics. Try using numbers in your resume to quantify your accomplishments.

How to Follow Up on an Interview

Sending a thank-you email after an interview is more than a courtesy. It gives you another opportunity to differentiate yourself from a crowd of candidates.

Within 24 hours after your interview, send a brief but personable message to the person who conducted the meeting. The message should re-state your interest in the position, and it's also wise to mention some key points discussed during the interview that demonstrate you're perfect for the job. Let the employer know you're ready to join the team and get to work!

How to Respond to Job Offers

Congratulations, you did it! It's always exciting to receive an offer after interviewing for a job you genuinely want. Before you rush to accept the position, take some time to consider the proposition. Send a prompt reply to express your appreciation, and let the employer know when you'll make your final decision.

Read through the job offer carefully to review the terms and conditions of the proposal. Start by making sure you understand what the responsibilities of the position entail. Are you up for the job?

Next, scrutinize the compensation package. Is it comparable with other tax preparer jobs in your area? Most importantly, make sure the salary and benefits offered will meet your financial needs.

If anything in the contract appears vague or ill-defined, don't hesitate to seek clarification from the organization. If you feel the compensation isn't competitive, consider asking for more. Our tips on how to negotiate the offer may help you reach a satisfactory deal.

Career Paths

If there's one thing you can count on as a tax preparer, it's job security. As Benjamin Franklin once said, "Nothing is certain except death and taxes." If you want to further your career, tax preparer jobs also offer multiple pathways for upward mobility.

The greater your knowledge of the income tax system, the more opportunities you'll have to advance your career. Experience helps pave the way toward your career goals; education allows you to reach them.

Earning a bachelor's degree in accountancy, finance, or a related field is the first step up the ladder. Why? People feel more comfortable trusting their financial information to a certified accountant. According to an IRS report on tax preparer statistics, the majority of tax preparers are certified public accountants (CPAs).

Adding accounting expertise to your tax preparation knowledge can take you far. Working as a CPA allows you to set your sights on managerial or executive positions such as a tax director, a senior tax manager, or an attorney.

Prioritizing your personal interests and values is key to following a tax preparer career path that works for you. Taking advantage of professional development opportunities can help you reach your ultimate destination.

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