Tax preparer vs tax processor

The differences between tax preparers and tax processors can be seen in a few details. Each job has different responsibilities and duties. Additionally, a tax preparer has an average salary of $51,020, which is higher than the $38,950 average annual salary of a tax processor.

The top three skills for a tax preparer include customer service, good communication and exceptional client. The most important skills for a tax processor are income tax returns, data entry, and payroll.

Tax preparer vs tax processor overview

	Tax Preparer	Tax Processor
Yearly salary	$51,020	$38,950
Hourly rate	$24.53	$18.73
Growth rate	-	-5%
Number of jobs	41,736	32,276
Job satisfaction	3	-
Most common degree	Bachelor's Degree, 46%	Bachelor's Degree, 45%
Average age	47	47
Years of experience	-	-

Tax preparer vs tax processor salary

Tax preparers and tax processors have different pay scales, as shown below.

	Tax Preparer	Tax Processor
Average salary	$51,020	$38,950
Salary range	Between $30,000 And $85,000	Between $24,000 And $62,000
Highest paying City	San Francisco, CA	-
Highest paying state	Rhode Island	-
Best paying company	Goldman Sachs	-
Best paying industry	Finance	-

Differences between tax preparer and tax processor education

There are a few differences between a tax preparer and a tax processor in terms of educational background:

	Tax Preparer	Tax Processor
Most common degree	Bachelor's Degree, 46%	Bachelor's Degree, 45%
Most common major	Accounting	Business
Most common college	University of Southern California	University of Southern California

Tax preparer vs tax processor demographics

Here are the differences between tax preparers' and tax processors' demographics:

	Tax Preparer	Tax Processor
Average age	47	47
Gender ratio	Male, 28.2% Female, 71.8%	Male, 29.8% Female, 70.2%
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, 12.6% Unknown, 4.1% Hispanic or Latino, 17.1% Asian, 10.3% White, 55.4% American Indian and Alaska Native, 0.6%
LGBT Percentage	8%	8%

Differences between tax preparer and tax processor duties and responsibilities

Tax preparer example responsibilities.

Verify data input and totals on forms prepare by others to detect errors in math, data entry, or procedures.
Follow IRS's guidelines in accurately preparing taxes and complete entries on forms, following tax form instructions and tax tables.
Prepare a wide range of tax returns, help prepare subscription agreements, and help small start-up companies comply with GAAP.
Perform monthly bank statement reconciliations and create monthly financial statements.
Assist outside real property tax appeal providers by providing information necessary for filing appeals.
Create engaging Microsoft PowerPoint sides about associate trading arrangements with transfer pricing policy for upcoming speeches for the group director.

Tax processor example responsibilities.

Form valuable relationships with companies and federal government payroll departments for employee w-2 verification purposes.
Process tax returns and submit them to the IRS for a local tax company.
Conduct research to assist payroll tax specialist in recouping past penalties and interest saving the company money.
Process incoming IRS daily and quarterly tax payments (high volume production) through CPT40 and B26 processing via online computation.
Facilitate efficient operations by performing key accounting role; process payroll and daily reconciliations.
Collect property, redemption payments of properties sell at the tax sale and processing payments using the AS400 tax system.

Tax preparer vs tax processor skills

Common tax preparer skills

Customer Service, 27%
Good Communication, 14%
Exceptional Client, 8%
Math, 7%
Excellent Interpersonal, 6%
Taxable Income, 6%

Common tax processor skills

Income Tax Returns, 16%
Data Entry, 11%
Payroll, 10%
Phone Calls, 9%
Due Dates, 5%
Tax Agencies, 4%