Job Description for a Tax Preparer
Every year, millions of Americans seek the help of others when preparing and filing their taxes. Tax preparers help taxpayers organize their yearly tax returns, making sure they enter the proper information. They use their knowledge of state, federal and local tax codes to help clients receive the maximum benefit allowed under the law.
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Duties
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Tax preparers work for tax-preparation services, law firms and accounting firms, helping tax filers apply the various state and federal tax laws to their particular tax situations. In helping their clients, tax preparers determine what forms to use, research allowable tax deductions, and make sure filers provide all relevant documentation. They are not accredited or licensed.
Education and Training
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Tax-preparer positions usually require at least a high school diploma, and some employers require a college degree or some higher education in accounting or business math. Computer skills also are needed, because tax preparation and reporting now involves the use of software. The yearly changes in the tax code, both on the federal and state level, require these workers to receive ongoing training so they can apply the tax laws correctly.
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Work Environment
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Work is usually conducted in an office setting, though some tax preparers travel to meet with clients. Tax preparers sometimes work throughout the year, but they typically are most busy between January and April. During this period, these workers can spend extended hours at work, including evenings, weekends and holidays. During the rest of the year, tax preparers often have other jobs.
Skills
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Tax preparers must have excellent mathematical skills and the ability to play close attention to detail. They also must be able to communicate effectively with their clients to gain a full understanding of their tax issues. The ability to research appropriate tax laws and file returns electronically also requires familiarity with computer systems.
Salary
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The Bureau of Labor Statistics (BLS) estimated that in 2008 the average salary for a tax preparer was about $17.08 an hour, or about $35,520 a year. The top 10 percent of these workers earned more than $30 an hour, while the lowest 10 percent earned less than $8.30 per hour. The BLS estimates that there were about 95,800 of these jobs in 2008, with employment expected to grow more slowly than average between 2008 and 2018.
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References
- Photo Credit A young woman holding a pen, doing her taxes image by Christopher Meder from Fotolia.com