Business & Office career

Tax Preparer

Also called: Tax Professional · Income Tax Preparer · Seasonal Tax Associate · Enrolled Agent

What tax preparers do, what they earn, how long training takes and how to get started, with official BLS pay data and practical, job-level detail.

Updated By the Career Education Institute Curriculum Team
What does a tax preparer do?

Tax preparers prepare federal, state and local income tax returns for individuals and small businesses, gathering documents, applying tax law and explaining results to clients. The median pay is $54,920 per year (BLS, May 2025), most people train for about 1–3 months of tax training, and employment is projected to grow +4.7% from 2025–35.

Pay data: BLS OEWS, May 2025 · Outlook: BLS 2025–35 · Checked October 15, 2026

  • Median pay
    $54,920
    $26.40/hour · May 2025
  • Job growth
    +4.7%
    2025–35, about as fast as average
  • Openings per year
    9,400
    Average, 2025–35
  • Typical entry education
    High school diploma or equivalent
    BLS classification
  • Time to train
    1–3 months of tax training
    Typical program length
  • U.S. jobs
    95,800
    Employment, 2025

What tax preparers do

Tax preparers turn W-2s, 1099s, receipts and records into accurate tax returns. They interview clients, identify deductions and credits, enter information into tax software, check for errors, explain refunds or balances due and file returns electronically. Many work seasonally at tax offices; others work year-round for accounting firms or their own practices.

Paid preparers must have an IRS Preparer Tax Identification Number (PTIN). Many complete tax courses, and some states have their own requirements. Advanced preparers become IRS Enrolled Agents, who can represent clients before the IRS. It’s a flexible career that can be seasonal, part-time or a small business.

Typical duties

  • Interview clients about income and life changes
  • Gather and review tax documents
  • Prepare returns in tax software
  • Identify deductions and credits
  • Check returns for accuracy
  • File returns electronically
  • Explain results and answer tax questions

Work environment and schedule

Tax preparers work in tax offices, accounting firms, retail kiosks and from home. The work is computer-based and very busy from January through April.

Schedule: Many work long hours during tax season, including evenings and weekends, and part-time or not at all in the off-season.

A day in the life

  1. Review the appointment list and prep folders at the tax office.
  2. Interview a client who started a side business.
  3. Prepare the return, including Schedule C and self-employment tax.
  4. Help a family claim education and child tax credits.

See a full day in the life of a tax preparer →

Tax Preparer salary

Half of tax preparers earned more than $54,920 and half earned less in May 2025. Pay ranged from about $33,760 for the lowest 10% to $99,270 for the top 10%.

Full tax preparer pay scale and hourly rates →

How to become a tax preparer

  1. Take a tax course
  2. Get a PTIN
  3. Work a tax season
  4. Build expertise
  5. Advance

A high school diploma is typical. Preparers need an IRS PTIN and usually complete tax preparation courses. Some states require registration and education, and Enrolled Agents pass a three-part IRS exam.

Step-by-step guide to becoming a tax preparer →

Skills and tools

Technical skills

  • Individual income tax rules
  • Tax software
  • Deductions and credits
  • Small business returns
  • Document review

People skills

  • Attention to detail
  • Client communication
  • Trustworthiness
  • Time management

All tax preparer skills and tools →

Pros and cons

Pros

  • Quick training for seasonal work
  • Flexible, part-time options
  • Help clients save money
  • Option to start your own practice

Cons

  • Very busy tax season
  • Seasonal income for many
  • Tax laws change often
  • Responsibility for accuracy

Certifications and licenses

  • IRS PTIN: Required for anyone who prepares federal returns for pay.
  • IRS Annual Filing Season Program (AFSP): A voluntary IRS program recognizing continuing education.
  • Enrolled Agent (EA): IRS credential allowing representation before the IRS.
  • State registration: Required in some states, such as California and Oregon.

Career path

  1. Seasonal Tax Preparer: Prepare individual returns.
  2. Senior Preparer: Handle complex and business returns.
  3. Enrolled Agent: Represent clients before the IRS.
  4. Tax Office Manager or Practice Owner: Lead an office or run a business.

Learn the job before day one

Our Tax Preparer training (10 hours, $89.99) covers the role, 15+ key terms, step-by-step procedures such as conduct a tax interview and prepare a return with self-employment income, safety and how to land your first job.

Compare: Tax Preparer vs. Bookkeeper · Tax Preparer vs. Accountant · Tax Preparer vs. Loan Officer · Tax Preparer vs. Financial Analyst

Tax Preparer FAQ

Do tax preparers need a license?

They need a PTIN; some states require more.

What is an Enrolled Agent?

An IRS-licensed tax professional who can represent clients.

Is tax preparation seasonal?

Often, though many preparers work year-round.

How much does a tax preparer make?

The median annual wage for tax preparers was $54,920 ($26.40 per hour) in May 2025, according to the U.S. Bureau of Labor Statistics. The lowest 10% earned less than $33,760 and the highest 10% earned more than $99,270.

How long does it take to become a tax preparer?

Most people need about 1–3 months of tax training of training. A high school diploma is typical. Preparers need an IRS PTIN and usually complete tax preparation courses. Some states require registration and education, and Enrolled Agents pass a three-part IRS exam.

Do you need a degree to be a tax preparer?

No four-year degree is typically required. BLS lists “high school diploma or equivalent” as the typical entry-level education, plus moderate-term on-the-job training.

More tax preparer questions →

Sources

Reviewed by the Career Education Institute Curriculum Team. Pay figures are national estimates; local pay varies. See our editorial policy.

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