How to become a tax preparer

Prepare tax returns for individuals or small businesses.

Steps to get there

Most employers expect most occupations in this zone require training in vocational schools, related on-the-job experience, or an associate's degree..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.

What tax preparers do

• Compute taxes owed or overpaid, using adding machines or personal computers, and complete entries on forms, following tax form instructions and tax tables.
• Use all appropriate adjustments, deductions, and credits to keep clients' taxes to a minimum.
• Furnish taxpayers with sufficient information and advice to ensure correct tax form completion.
• Interview clients to obtain additional information on taxable income and deductible expenses and allowances.
• Check data input or verify totals on forms prepared by others to detect errors in arithmetic, data entry, or procedures.
• Calculate form preparation fees according to return complexity and processing time required.

Skills that matter most

• Reading Comprehension
• Active Listening
• Critical Thinking
• Speaking
• Active Learning
• Writing
• Mathematics
• Monitoring

Is tax preparer a good career?

On the numbers, this job is close to the average across occupations. Median pay is 8% above the all-occupation median. Whether it fits you depends on the work itself, the schooling you are willing to do and where you want to live.

Where it pays most

• New York $71,850
• California $70,030
• Utah $66,720
• Montana $63,080
• Missouri $62,780

Tax Preparers salary by state and city

Sources: O*NET® 31.0 (CC BY 4.0, USDOL/ETA) and BLS Employment Projections 2025–35. Pay: BLS OEWS May 2025.