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The differences between tax preparers and tax associates can be seen in a few details. Each job has different responsibilities and duties. Additionally, a tax associate has an average salary of $62,466, which is higher than the $51,020 average annual salary of a tax preparer.
The top three skills for a tax preparer include customer service, good communication and exceptional client. The most important skills for a tax associate are strong customer service, CPA, and tax planning.
| Tax Preparer | Tax Associate | |
| Yearly salary | $51,020 | $62,466 |
| Hourly rate | $24.53 | $30.03 |
| Growth rate | - | 6% |
| Number of jobs | 41,736 | 42,019 |
| Job satisfaction | 3 | - |
| Most common degree | Bachelor's Degree, 46% | Bachelor's Degree, 56% |
| Average age | 47 | 47 |
| Years of experience | - | - |
A tax preparer is responsible for preparing and processing the tax obligations of an organization. Tax preparers' duties include calculating tax returns, reviewing financial statements and make adjustments as needed, analyzing deductible expenses and credits, and adhering to the tax regulations and legislation procedures at all times. A tax preparer must have excellent knowledge of the tax processes and timely updated with the recent changes and updates within the financial industry. Tax preparers should have impeccable analytical and critical thinking skills to manage account statements for business and individual clients.
Tax associates are responsible for helping businesses and individuals with state and federal income tax preparation and compliance. These professionals often work for accounting firms and financial services companies. They perform varied tasks that include reviewing income statements, financial records, and expenditures, interviewing clients about income and expenses, and minimizing their clients' tax liability. Tax associates also conduct research on tax issues and assist with tax audits, advise clients on compensation and tax information, and maintain accurate and current client records.
Tax preparers and tax associates have different pay scales, as shown below.
| Tax Preparer | Tax Associate | |
| Average salary | $51,020 | $62,466 |
| Salary range | Between $30,000 And $85,000 | Between $40,000 And $95,000 |
| Highest paying City | San Francisco, CA | Las Vegas, NV |
| Highest paying state | Rhode Island | Nevada |
| Best paying company | Goldman Sachs | Ropes & Gray |
| Best paying industry | Finance | Finance |
There are a few differences between a tax preparer and a tax associate in terms of educational background:
| Tax Preparer | Tax Associate | |
| Most common degree | Bachelor's Degree, 46% | Bachelor's Degree, 56% |
| Most common major | Accounting | Accounting |
| Most common college | University of Southern California | University of Southern California |
Here are the differences between tax preparers' and tax associates' demographics:
| Tax Preparer | Tax Associate | |
| Average age | 47 | 47 |
| Gender ratio | Male, 28.2% Female, 71.8% | Male, 36.4% Female, 63.6% |
| Race ratio | Black or African American, 10.9% Unknown, 4.1% Hispanic or Latino, 18.1% Asian, 10.3% White, 56.1% American Indian and Alaska Native, 0.6% | Black or African American, 9.6% Unknown, 4.0% Hispanic or Latino, 18.2% Asian, 10.2% White, 57.3% American Indian and Alaska Native, 0.6% |
| LGBT Percentage | 8% | 8% |