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Tax preparer: pay, job outlook and how to become one
- $33,760lowest 10% earn less
- $38,91025th percentile
- $54,920median
- $76,30075th percentile
- $99,270top 10% earn more
Tax preparers earned a median of $54,920 a year in May 2025[1]. Employment is projected to grow a little faster than the average for all jobs[2][3].
- Job growth, 2025–35
- +4.7%[2]
- Openings per year
- 9,400[6]
- Typical entry education
- High school diploma or equivalent[7]
How much do tax preparers make?
The median pay for tax preparers was $54,920 a year, or $26.40 an hour[1]. Half of workers earned more and half earned less[1]. The average was $60,930 a year, or $29.30 an hour[8]. For all occupations, the median was $50,980[5], so the tax preparer median is higher than the typical US job.
The range is wide. BLS publishes percentile wages, which are boundaries and not a starting salary[9]. The lowest-paid 10% earned less than $33,760 a year, and the highest-paid 10% earned more than $99,270[4].
| Measure | Annual | Hourly |
|---|---|---|
| 10th percentile[4][10] | $33,760 | $16.23 |
| 25th percentile[4][10] | $38,910 | $18.71 |
| Median[1] | $54,920 | $26.40 |
| 75th percentile[4][10] | $76,300 | $36.68 |
| 90th percentile[4][10] | $99,270 | $47.72 |
These figures cover workers paid a wage or salary. They leave out self-employed people, and they do not include bonuses or the cost of benefits[11].
Pay by state and city
New York had the highest state median at $71,850[12]. California followed at $70,030 and Utah at $66,720[12]. The lowest medians among states with published data were in Alabama at $33,280 and Hawaii at $34,720[12].
California had the most jobs at 10,270, then New York at 7,620 and Texas at 6,010[13].
Among metro areas with at least 100 jobs, San Francisco-Oakland-Fremont had the highest median at $84,240[14]. San Jose-Sunnyvale-Santa Clara came next at $81,180, then Kansas City at $78,920[14]. The New York-Newark-Jersey City area had the most jobs at 8,100, with a median of $71,300[15]. Los Angeles-Long Beach-Anaheim had 3,250 jobs[15].
Show median pay in 48 states
| State | Median per year | Jobs |
|---|---|---|
| New York[12] | $71,850 | 7,620 |
| California | $70,030 | 10,270 |
| Utah | $66,720 | 1,190 |
| Montana | $63,080 | 360 |
| Missouri | $62,780 | 1,330 |
| Colorado | $62,620 | 1,540 |
| Alaska | $62,360 | 70 |
| New Hampshire | $61,370 | 420 |
| Oregon | $61,370 | 1,590 |
| Pennsylvania | $61,270 | 2,010 |
| Nevada | $60,000 | 1,410 |
| Minnesota | $59,200 | 1,040 |
| Virginia | $58,520 | 1,960 |
| Massachusetts | $58,400 | 1,500 |
| Wyoming | $57,990 | 90 |
| Rhode Island | $57,680 | n/a |
| North Dakota | $57,060 | 220 |
| Illinois | $54,480 | 1,310 |
| Iowa | $53,660 | 780 |
| South Dakota | $52,530 | 280 |
| Delaware | $51,960 | 240 |
| Mississippi | $50,670 | 580 |
| Georgia | $49,330 | 1,670 |
| Florida | $49,020 | n/a |
| Ohio | $49,020 | 1,590 |
| North Carolina | $48,130 | 2,710 |
| Texas | $47,460 | 6,010 |
| Kansas | $47,300 | 450 |
| Maine | $47,150 | 250 |
| Maryland | $47,020 | 1,240 |
| Michigan | $46,400 | 1,660 |
| Indiana | $45,710 | 1,820 |
| Washington | $45,370 | 1,360 |
| Arizona | $44,770 | 2,240 |
| Wisconsin | $44,340 | 1,550 |
| New Jersey | $43,420 | 3,220 |
| Nebraska | $43,010 | 420 |
| Oklahoma | $42,700 | 1,300 |
| Connecticut | $41,130 | 700 |
| South Carolina | $39,220 | 1,360 |
| Louisiana | $38,740 | 650 |
| New Mexico | $38,060 | 340 |
| Kentucky | $36,620 | 1,080 |
| Tennessee | $36,600 | 1,260 |
| West Virginia | $35,880 | 330 |
| Arkansas | $35,040 | 550 |
| Hawaii | $34,720 | n/a |
| Alabama | $33,280 | 290 |
How to become a tax preparer
BLS describes the typical path this way[7].
- First: a high school diploma or equivalent is the typical education for entry[7].
- Next: no work experience in a related occupation is typically needed[7].
- Then: learn the job through moderate-term on-the-job training[7].
The facts do not say how long that training lasts or whether a license is needed. ONET rates the job as Job Zone Three, which it describes as medium preparation, with previous work-related skill, knowledge or experience required[16]. In an ONET survey of 21 workers, 38% said a high school diploma or equivalent is required, 24% said a post-secondary certificate, 24% said a bachelor's degree and 14% said a 2-year degree[17]. A survey this small is a rough picture only.
What tax preparers do
O*NET describes the work as preparing tax returns for individuals or small businesses[18]. Common tasks include:
- Working out the taxes owed or overpaid and filling in the forms[19].
- Applying adjustments, deductions and credits to keep clients' taxes down[19].
- Interviewing clients about their income and expenses[19].
- Reviewing financial records to decide which forms are needed[19].
- Checking forms that other people prepared for errors[19].
- Explaining federal and state tax rules to clients[19].
- Answering questions and helping clients plan for future taxes[19].
Who tax preparers work for
Some tax preparers work for themselves. BLS reports that 17.6% were self-employed in 2025[20]. OEWS counted about 76,480 wage and salary jobs in May 2025[21], while the projections count about 95,800 jobs including the self-employed[2]. Workers report job titles such as tax consultant, tax accountant and enrolled agent[22].
Job outlook
BLS projects employment to grow 4.7% from 2025 to 2035, from about 95,800 jobs to 100,300[2]. All occupations together are projected to grow 3.5%[3].
About 9,400 openings a year are projected on average[6]. Openings count retirements and moves to other occupations as well as new jobs[6]. Each year, 4.1% of workers leave the labor force and 5% move to a different occupation[23].
Is it a good fit?
The facts show a job with a median above the all-occupations median[1][5] and a modest growth outlook[2]. Typical entry needs a high school diploma and moderate-term on-the-job training[7]. Pay spreads widely, from under $33,760 for the lowest-paid 10% to over $99,270 for the highest-paid 10%[4]. Where you work also matters, since state medians differ a lot[12].
Frequently asked questions
- How much does a tax preparer make an hour?
- The median was $26.40 an hour in May 2025[1]. The lowest-paid 10% earned less than $16.23 and the highest-paid 10% earned more than $47.72[10].
- What education do you need to be a tax preparer?
- BLS lists a high school diploma or equivalent as the typical entry education[7].
- Is tax preparer in demand?
- Employment is projected to grow 4.7% from 2025 to 2035, against 3.5% for all occupations[2][3]. About 9,400 openings a year are projected[6].
- What is the highest paying state for tax preparers?
- New York, with a median of $71,850[12].
Facts and sources
- BLS OEWS, May 2025: the median wage for Tax Preparers in the US was $54,920 per year and $26.40 per hour. Half of workers earned more and half earned less. BLS OEWS, May 2025
- BLS Employment Projections: employment of Tax Preparers is projected to grow 4.7% from 2025 to 2035, from about 95,800 to 100,300 jobs (a change of +4,500). These counts include self-employed workers. BLS Employment Projections
- BLS Employment Projections: employment in all occupations is projected to grow 3.5% from 2025 to 2035. BLS Employment Projections
- BLS OEWS, May 2025, annual wage percentiles for Tax Preparers: 10th percentile $33,760, 25th percentile $38,910, 75th percentile $76,300, 90th percentile $99,270. The 10th percentile means 10% of workers earned less. BLS OEWS, May 2025
- BLS OEWS, May 2025: the median annual wage for all occupations in the US was $50,980. BLS OEWS, May 2025
- BLS Employment Projections: about 9,400 openings for Tax Preparers are projected each year, on average, from 2025 to 2035. Openings include jobs that open when workers retire or move to other occupations, not only new jobs. BLS Employment Projections
- BLS Employment Projections, typical path into Tax Preparers: education needed for entry: High school diploma or equivalent; work experience in a related occupation: None; typical on-the-job training: Moderate-term on-the-job training. BLS Employment Projections
- BLS OEWS, May 2025: the mean (average) wage for Tax Preparers was $60,930 per year and $29.30 per hour. BLS OEWS, May 2025
- BLS OEWS FAQ: a percentile wage is a boundary. The median (50th percentile) separates the highest-paid 50% from the lowest-paid 50% of workers in the occupation. OEWS publishes percentile wages, not a starting salary. BLS OEWS, May 2025
- BLS OEWS, May 2025, hourly wage percentiles for Tax Preparers: 10th percentile $16.23, 25th percentile $18.71, 75th percentile $36.68, 90th percentile $47.72. BLS OEWS, May 2025
- BLS OEWS FAQ: OEWS covers part-time and full-time workers paid a wage or salary. It does not cover the self-employed, owners and partners in unincorporated firms, household workers or unpaid family workers. OEWS wages do not include nonproduction bonuses or employer costs of benefits such as health insurance or retirement contributions. BLS OEWS, May 2025
- Median annual wage for Tax Preparers in every state with published data, May 2025 (table on this page). BLS OEWS, May 2025
- BLS OEWS, May 2025, states with the most Tax Preparers jobs: California 10,270; New York 7,620; Texas 6,010; New Jersey 3,220; North Carolina 2,710. BLS OEWS, May 2025
- BLS OEWS, May 2025, metro areas with the highest median annual wage for Tax Preparers (areas with at least 100 jobs): San Francisco-Oakland-Fremont, CA $84,240; San Jose-Sunnyvale-Santa Clara, CA $81,180; Kansas City, MO-KS $78,920; New York-Newark-Jersey City, NY-NJ $71,300; San Diego-Chula Vista-Carlsbad, CA $70,170; St. Louis, MO-IL $69,210; Salt Lake City-Murray, UT $66,920; Santa Rosa-Petaluma, CA $65,930. BLS OEWS, May 2025
- BLS OEWS, May 2025, metro areas with the most Tax Preparers jobs: New York-Newark-Jersey City, NY-NJ 8,100 (median $71,300); Los Angeles-Long Beach-Anaheim, CA 3,250 (median $65,120); Dallas-Fort Worth-Arlington, TX 1,780 (median $47,020); Phoenix-Mesa-Chandler, AZ 1,580 (median $44,770); San Francisco-Oakland-Fremont, CA 1,410 (median $84,240); Houston-Pasadena-The Woodlands, TX 1,280 (median $47,320). BLS OEWS, May 2025
- O*NET 13-2082.00: Job Zone Three: Medium Preparation Needed. Previous work-related skill, knowledge, or experience is required for these occupations. For example, an electrician must have completed three or four years of apprenticeship or several years of vocational training, and often must have passed a licensing exam, in order to perform the job. O*NET OnLine
- O*NET 13-2082.00 survey of workers (21 respondents), education level they say is required: High School Diploma or the equivalent (such as a GED) 38%, Post-Secondary Certificate 24%, Bachelor's Degree 24%, Associate's Degree or other 2-year degree 14% (levels under 5% not listed). O*NET OnLine
- O*NET description of Tax Preparers. O*NET OnLine
- O*NET task list for Tax Preparers. O*NET OnLine
- BLS Employment Projections: 17.6% of Tax Preparers were self-employed in 2025. BLS Employment Projections
- BLS OEWS, May 2025: about 76,480 people were employed as Tax Preparers in the US (wage and salary jobs, not counting self-employed workers). BLS OEWS, May 2025
- O*NET 13-2082.00 sample job titles reported by workers: CPA (Certified Public Accountant), Enrolled Agent, Income Tax Preparer, Tax Accountant, Tax Advisor, Tax Associate, Tax Consultant, Tax Preparer. O*NET OnLine
- BLS Employment Projections, 2025-35 annual average for Tax Preparers: 4.1% of workers leave the labor force each year and 5% move to a different occupation. BLS Employment Projections
- Related occupations (O*NET) with BLS pay, growth and entry education. O*NET OnLine
This page includes information from the O*NET 31.0 Database by the U.S. Department of Labor, Employment and Training Administration (USDOL/ETA). Used under the CC BY 4.0 license. O*NET® is a trademark of USDOL/ETA. CareerFacts has modified all or some of this information. USDOL/ETA has not approved, endorsed, or tested these modifications.