Tax Preparer Career
Considering a career as a Tax Preparer? Find out all you need to know to decide whether this career is right for you.
- What does a Tax Preparer do?
- How to become a Tax Preparer?
- What is a Tax Preparer's Salary?
- How does the future look for a Tax Preparer?
What does a Tax Preparer do?
A Tax Preparer is hired to assess an individual's or company's tax liabilities. The Tax Preparer will gather financial data and other paperwork pertaining to tax adjustments, deductions or credits in order to decrease their client's tax obligations.
There are typically two types of Tax Preparers, those who simply perform their obligated duties and those who understand the magnitude of savings they can create for their clients.
Tax Preparers need a relatively small amount of formal training. Due to this fact, the tax preparation industry sees large discrepancies between Tax Preparers abilities. Those who have ambition and harness the power of their position can easily make a name for themselves and, in turn, charge much more for their services. In order to have this kind of success, Tax Preparers must excel at all aspects of their job.
Some of the usual tasks associated with Tax Preparation is to calculate fees for form preparation. Fees vary depending on tax return complexity and the amount of forms necessary to correctly complete an entire tax return.
As a Tax Preparer, you will interview your clients in order to assess all possible avenues for tax deductions to reduce their taxable income. This is where hard work and dedication sets you apart from the crowd. Your abilities will depend on how well you understand tax laws and applicable deductions that may be different for each one of your clients.
Tax liability will vary depending on your client's line of work, family situation, home location, type of home, amount and types of debt, insurance premiums and various other expenditures. The list goes on and on.
Hard work and time management can make a Tax Preparer's career quite successful. Learn how to use the right types of accounting software, to quickly and thoroughly process financial documents and to communicate personably and clearly with your clients and you will certainly experience success.
How to Become a Tax Preparer?
Educational requirements may vary slightly depending on the company, the area you wish to work and your previous work experience.
For most Tax Preparer careers, the minimum educational requirement is the completion of a Associate's degree in Accounting. However, many organizations are only hiring individuals with at least a Bachelor's degree in Accounting or related field.
If you are interested in advancing your career as quickly as possible, then you may wish to earn an advanced degree such as an MBA with an emphasis in Accounting.
In a hurry? Request free information from some of the top online schools offering Master's or MBA programs in Accounting.
Beyond a quality education and the development of skills necessary to succeed as a Tax Preparer, you will need to learn where to gain experience by finding career opportunities.
You will find some career opportunities by contacting a local recruiter or begin contacting hiring firms directly. You may also find Tax Preparer openings under newspaper or online classifieds (Craigslist or Monster.com).
What is a Tax Preparer's Salary?
As a Tax Preparer, your salary can vary significantly depending on your level of experience, your level of acquired education and size of the company you work for.
The median salary* for a Tax Preparer is $27,400.
The top 10% of Tax Preparers are pulling in an average of $56,600.
In order to boost yourself to this level of success, you will need to perform highly, develop years of experience at a respectable company and lastly, earn yourself an advanced degree.
Request information from some of the top online schools in the United States. Online schools are becoming more popular for the working professional and are already highly respected in the business arena.
* Source: The Bureau of Labor and Statistics for 2006
How does the future look for a Tax Preparer?
The job market for Tax Preparers looks to be remaining steady. The Bureau of Labor and Statistics predicts from 2004 to 2014 Tax Preparer job growth will be around 11%. This is around average for the predicted overall job growth in America.
Here at MBA-Today, we believe job growth will slightly surpass the average job growth since many individuals are entering more complex careers due to new technology based opportunities; and hence, many Americans are having more complex tax returns. We at MBA-Today have certainly experienced the need for Tax Preparers' expertise come tax time!
The future looks bright for the Tax Preparer profession, so go ahead and get started!
Go back to look at more Accounting Careers.