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Job outlook for tax preparers in the United States
Tax preparer job and salary trends over time
Tax preparer jobs over time
Tax preparer job growth rate over time
| Year | # of jobs | % of population |
|---|---|---|
| 2021 | 70,355 | 0.02% |
| 2020 | 52,942 | 0.02% |
| 2019 | 56,384 | 0.02% |
| 2018 | 57,584 | 0.02% |
| 2017 | 58,117 | 0.02% |
Average tax preparer salary over time
Tax preparer salary by year
| Year | Avg. salary | Hourly rate | % Change |
|---|---|---|---|
| 2025 | $51,020 | $24.53 | +2.8% |
| 2024 | $49,615 | $23.85 | +9.4% |
| 2023 | $45,366 | $21.81 | +1.7% |
| 2022 | $44,605 | $21.44 | +6.0% |
| 2021 | $42,095 | $20.24 | +0.3% |
Tax preparer jobs by state
Most common states for tax preparers
| Rank | State | Population | # of jobs | Employment/ 1000ppl |
|---|---|---|---|---|
| 1 | District of Columbia | 693,972 | 175 | 25% |
| 2 | Iowa | 3,145,711 | 280 | 9% |
| 3 | Rhode Island | 1,059,639 | 91 | 9% |
| 4 | Delaware | 961,939 | 89 | 9% |
| 5 | Illinois | 12,802,023 | 977 | 8% |
| 6 | Massachusetts | 6,859,819 | 573 | 8% |
| 7 | Minnesota | 5,576,606 | 462 | 8% |
| 8 | Colorado | 5,607,154 | 434 | 8% |
| 9 | Connecticut | 3,588,184 | 289 | 8% |
| 10 | Missouri | 6,113,532 | 419 | 7% |
| 11 | Maryland | 6,052,177 | 408 | 7% |
| 12 | Utah | 3,101,833 | 216 | 7% |
| 13 | New Hampshire | 1,342,795 | 90 | 7% |
| 14 | California | 39,536,653 | 2,344 | 6% |
| 15 | Georgia | 10,429,379 | 596 | 6% |
| 16 | Washington | 7,405,743 | 416 | 6% |
| 17 | Wisconsin | 5,795,483 | 325 | 6% |
| 18 | Oregon | 4,142,776 | 251 | 6% |
| 19 | Alaska | 739,795 | 46 | 6% |
| 20 | Vermont | 623,657 | 37 | 6% |
Most common cities for tax preparers
| Rank | City | # of jobs | Employment/ 1000ppl | Avg. salary |
|---|---|---|---|---|
| 1 | Davenport | 4 | 4% | $43,579 |
| 2 | West Haven | 2 | 4% | $61,813 |
| 3 | Santa Cruz | 2 | 3% | $76,095 |
| 4 | Grand Rapids | 3 | 2% | $44,572 |
| 5 | Carlsbad | 2 | 2% | $60,991 |
| 6 | Ankeny | 1 | 2% | $43,095 |
| 7 | Springfield | 2 | 1% | $67,106 |
| 8 | Worcester | 2 | 1% | $67,387 |
| 9 | Appleton | 1 | 1% | $50,688 |
| 10 | Arvada | 1 | 1% | $58,071 |
| 11 | Chicago | 3 | 0% | $44,517 |
| 12 | Baltimore | 2 | 0% | $53,043 |
| 13 | Indianapolis | 2 | 0% | $36,418 |
| 14 | Atlanta | 1 | 0% | $47,985 |
| 15 | Aurora | 1 | 0% | $44,098 |
Tax Preparer job outlook: Expert opinions
Our panel of tax preparer experts
What will help Tax Preparers increase their earning potential?
Andrew Brajcich: 1) Be open to anything. You might be surprised at what you discover. 2) Be nimble. Most career paths are a zig zag. Few are direct. 3) Learn how to leverage AI without being over reliant. In tax, it has a long ways to go so hop on for the ride but double check every aspect of the work product. You can learn with it. And of course get permission before using any tools.
What general advice would you give to a Tax Preparer?
Kenton Klaus: As noted above, the best way to maximize salary potential is to quickly narrow down the areas of tax where the graduate student can separate themselves from other candidates. If the graduate student did his or her homework before finishing their graduate studies, they will be able to demonstrate to employers that they have a deeper knowledge of the technical areas in which they have an interest, along with the applicable technology.
What Tax Preparer skills would you recommend for someone trying to advance their career?
Kenton Klaus: Taxation is a very broad discipline, so it's important for a new tax professional to understand all the opportunities available for them to use their graduate degree. In some cases, graduate students have already been in the workforce, and have specific plans to return to a certain area of practice. However, many students have not explored the available opportunities to see which line up best with their interests and skills. I encourage graduate students to explore the market before they graduate, reach out to alumni who work in different areas of the tax profession, and speak with the professors for the courses that most interested them.
What will help Tax Preparers increase their earning potential?
Kenton Klaus: Taxation is a very broad discipline, so it's important for a new tax professional to understand all the opportunities available for them to use their graduate degree. In some cases, graduate students have already been in the workforce, and have specific plans to return to a certain area of practice. However, many students have not explored the available opportunities to see which line up best with their interests and skills. I encourage graduate students to explore the market before they graduate, reach out to alumni who work in different areas of the tax profession, and speak with the professors for the courses that most interested them.
Mike Ozlanski Ph.D.
Assistant Professor of AccountingSusquehanna University
Department Accounting
What general advice would you give to a Tax Preparer?
Mike Ozlanski Ph.D.: Technical accounting skills are necessary but not sufficient to thrive in the profession. Young professionals should seek professional development opportunities to enhance their knowledge base for data analytics, artificial intelligence, and digital assets. Knowledge of ESG reporting will also become more important, especially with the new SEC rules about climate-related disclosures.