However, you must pass all three sections within three years to qualify for EA certification. Circular 230 guidelines stipulate that you must have at least five years of continuous employment with the IRS. You do not need any particular type or amount of professional experience if you elect to certify by examination. The IRS does not require EA candidates to hold any particular degree or level of educational attainment. Alternatively, you can accrue the necessary technical tax experience through IRS employment. The first involves passing the Special Enrollment Examination (SEE), a three-part test designed by the IRS and issued by Prometric.
The license itself will cost about $150, and in order to maintain it, you must take ongoing continuing education courses. Find out more about H&R Block’s Tax Pro Review, which lets you prep your return online and have a CPA, EA or other tax professional check your work. Want to have a remote tax expert check the return you completed online? You could be exempt from taking the exam if you have qualifying employment with the IRS.
Can an identity theft or data security program qualify for continuing education credit? (reviewed 7/29/
Distinguish yourself as a knowledgeable accounting professional with advanced technical, research, and communication skills. Meanwhile, at the other end of the spectrum, the highest earners made about $107,661 annually. There was an unexpected error with the form (your web browser was unable to retrieve some required data from our servers).
Enrolled Agent Salaries
- Salary OutlookWhen you look at the figures, the salary for enrolled agents is not going downhill.
- As the demand for their expert services grows, you can expect the salary to grow as well.
- As a general rule, preparers should not repeat a program within the same enrollment cycle, if you’re an enrolled agent, or AFSP program year.
- Another way to boost your salary and solidify your expertise is to become dual-certified.
- Earning the EA license demonstrates your advanced knowledge of tax procedures and regulations.
Nonetheless, in any career, one of the most important factors and probably one of the main considerations is the salary, that’s why we’re here. For tax concerns, such as audits, collections, and appeals, EAs represent taxpayers before the Internal Revenue Service. While a degree isn’t required, it can enhance employability and starting salary. Additionally, the complexity of tax laws means individuals and businesses alike continue to rely on professional expertise. Tend to offer higher salaries due to cost of living and demand for tax professionals. Geographic location heavily impacts salary.
There is no national certification for CPAs, so they must be certified in each state in which they intend to work. EAs prepare taxes, can stand in for you during an audit, and handle other business you may have with the IRS. Be sure to consider additional factors alongside salary when planning your professional path.
Enrolled agents must obtain 72 hours of continuing education every three years. With his help, countless students and professionals have passed certification exams and achieved their dreams. If you decide to pursue this career path, check out these study materials for passing the EA exam today! If you are looking for a flexible and well-paid career in the tax industry and do not want to become a CPA, this rewarding job is worth investigating.
Whether you’re seeking career advancement or educational success, Bryce Welker is the ultimate guide to help you get there. He shares his knowledge on Forbes, Inc.com, and Entreprenuer.com, empowering readers to boost their careers. Unlike the CPA exam, which requires you to have completed certain educational prerequisites, there are no educational requirements to sit for the Special Enrollment Exam (SEE). Given the difference in their job descriptions, it’s not surprising that their salaries differ as well.
A smaller step, but still one in the direction of earning more for your expertise, is completing the Annual Filing Season Program. This is good news because it means you’ve got options when you’re looking for ways to increase your salary! Whether you work for a private company to help optimize tax savings and maintain compliance, on the tax team at a public tax firm, or for the IRS or another government agency, you’re unrestricted in where you can take your tax career. Your level of professional experience, and the expertise you’ve accumulated with it, plays a deciding role in your salary. The average Enrolled Agent salary in the US is just over $72,000 annually,1 although this number ranges from about to $54,000 to $82,000,2 with some sources citing as high as $174,000 per year.3 An EA’s salary is primarily influenced by their level of professional experience, geographic location, and the industry they work in.
Popular Companies for Enrolled Agent (EA) Certifications
The chart below looks at projected employment for enrolled agents over the next 10 years. Based on 36% of postings with advertised compensation, the median hourly salary for open positions for enrolled agents in the United States is about $32. Not only will you build advanced skills in data analytics, automation and information systems, you’ll earn industry-recognized certifications (and meet CPA hours) along the way.
What Is Needed to Maintain the Certification?
The lowest paid 10 percent earned less than $44,480, while the top earners made more than $124,450 in 2019, indicating a broad range in salaries. From there, they must obtain their preparer tax identification number, pass the three-part special enrollment examination and then pass the tax compliance check. What’s more, the median pay for enrolled agents in Denver is in line with the U.S. median at just over $50,000. Those with the EA credential can see an increase of as much as 30% based on experience, knowledge and other factors.
- Until the end of the enrollment year(s); in addition to completing 2 hours of ethics or professional conduct credits for each year.
- Additionally, enrolled agents must possess a thorough understanding of IRS documentation, as the documentation must be filed with the IRS.
- Jobs paying $58,500 or less are in the 25th or less percentile range, while jobs paying more than $83,000 are in the 75th or more percentile range.
- Refer to Section 10.6(i) of Treasury Department Circular 230 to determine if you meet the qualifications to request a waiver of continuing education requirements.
- Additionally, the EA credential is more client-focused, with a variety of career paths.
- Offer more flexibility and greater access to management, giving individuals a greater say in the perks and fringe benefits available.
- Learn more about H&R Block’s Tax Pro Go, which lets you sit back and relax while a CPA, EA or other tax professional takes care of your return.
It tests your comprehensive knowledge of the federal U.S. tax code, covering individual and business taxation, along with professional procedures and practices. Enrolled agents (EAs) are taxation experts with unlimited practice rights to represent clients before the Internal Revenue Service (IRS). If you like accounting work with a microfocus, becoming an EA could be a perfect fit for you. EA candidates have to pass a background check, which is conducted by the IRS.
Explore our full catalog of occupation data by visiting the link below. The 17-month, online program is accredited by the International Assembly for Collegiate Business Education (IACBE) and features interactive courses led by in-field practitioners. Enter into or advance within the rapidly growing accounting industry and prepare for professional certifications like the CPA. Founded in 1902 in Columbus, Ohio, Franklin’s main focus has been serving adult students and tailoring education to fit their needs. CFA Institute does not endorse, promote or warrant the accuracy or quality of ais-cpa.com.
What Are Tax Preparer Certifications?
Additionally, enrolled agents must possess a thorough understanding of IRS documentation, as the documentation must be filed with the IRS. An enrolled agent usually works on a year-round basis helping clients. Since an enrolled agent has a number of responsibilities, the salary tends to be fairly lucrative. The National Association of Enrolled Agents reports that there are more than 50,000 enrolled agents working in the United States as well as abroad. Individuals who are considering becoming enrolled agents should enjoy working with people and have high ethical standards.
Another way to boost your salary and solidify your expertise is to become dual-certified. This in turn makes you a more popular choice compared to your peers when it comes to a potential client looking for a tax professional. You are leaving the Becker.com website. Become an EA to unlock your Enrolled Agent salary potential. You can also work as an independent consultant, taking on contracts with clients and/or firms to offer your expertise in tax services.
Learn how becoming a tax expert can help you excel at firms of all sizes on our Enrolled Agents at the Big 4 blog. This job usually involves a busy season, with the highest workload occurring from December to mid-April. However, it is vastly cheaper than that of preparing and sitting for the EA exam, and takes much less time to complete. Once completed, you are listed on the IRS RPO database as an official “Annual Filing Season Program Participant.”
Therefore, the ability to expand your client base beyond state borders is an advantage enrolled agents have over CPAs. As a general rule, preparers should not repeat a program within the same enrollment cycle, if you’re an enrolled agent, or AFSP program year. If you are the only instructor for a program, you may only earn instructor hours (maximum of 6 credit hours annually). You may earn a maximum of 6 instructor hours each year. Refer to Section 10.6(i) of Treasury Department Circular 230 to determine if you meet the qualifications to request a waiver of continuing education requirements. Due to the month and year that you enrolled, you are required to irs enrolled agent salary complete 72 CE credits.
The IRS’s Enrolled Agent credential grants you unlimited tax representation authority before the IRS. In addition to the EA salary, there are many benefits to becoming an Enrolled Agent. Even within the same industry, while you may see less of a disparity, it’s not uncommon to find that some companies offer larger and some smaller salaries for relatively similar roles. While not a hard and fast rule, working at companies in big-ticket industries like healthcare and private business will likely reel in a larger income than working in industries that don’t tend to be as lucrative, like non-profit or government. Where you work is also a major factor in determining your Enrolled Agent salary. If you’re considering becoming an Enrolled Agent, it’s important to understand the career path.
What Does the Special Enrollment Exam Cover?
This is a difference of $27,385, or an increase of about 38% annually for credentialed Enrolled Agents, making an EA credential the fastest way to increase your salary as a tax preparer. Download Becker’s FREE EA Exam Guide ebook to learn more about being an EA, career insights, and everything you need to know about the EA Exam and how to pass. You don’t need to fulfill any education or experience requirements, but you must pass the 3-part EA Exam that covers all things tax law and regulation.