As part of an EA’s job responsibilities, he or she often develops a strategy for handling matters with the IRS. In this capacity, enrolled agents work to reach satisfactory agreements regarding plans, payments, estimations, and settlements. Due to the fact that this type of work can be quite complex, the job of an EA is often in high demand. The ideal candidate to be an enrolled agent is someone who is detail oriented and enjoys delving into the continually changing nature of tax laws. Individuals who are considering becoming enrolled agents should enjoy working with people and have high ethical standards. As of 2024, over 86,000 public accounting firms existed normal balance in the United States.

Gender Breakdown for Enrolled Agents

Candidates who have a sufficient amount of work experience, according to IRS guidelines, may not even be required to take the exam. Becoming an EA is one of the best investments you can make in your career as a tax preparer. The benefits you’ll gain from earning the EA designation will far outweigh the cost of taking the EA exam.

IRS – Internal Revenue Agent

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. Before delving too deeply into this field as a career option, it’s important to understand EA salaries to determine if this is the right career choice for you. But the fact that smaller firms have to specialize can be both a blessing and a curse for Enrolled Agents. For example, a small agency that specializes in escrow accounting may not need an Enrolled Agent. On the other hand, a small company that specializes in complex tax situations would really benefit from having one or two EAs on staff.

Job Satisfaction

• With the new designation, enrolled agents were given the ability to represent citizens and prepare claims.
• I am the author of How to Pass The CPA Exam (published by Wiley) and the publisher of this and several accounting professional exam prep sites.
• The size of the company and the scope of your responsibilities also affect your earnings.
• Sample test questions are also available as examples of the types of questions that may appear on the examination.
• Based on recent job openings, salaries for Foreign Tax Advisors range between $50,000 – $120,000 a year.
• The length of time required to become an enrolled agent is much less than the amount of time required to become a CPA.

Therefore, because the CPA is a state certification, not a federal one, a enrolled agent salary nyc CPA may want to earn an Enrolled Agent designation as well to expand her credentials and earning potential. Unlike other non-enrolled tax professionals, an Enrolled Agent has special permission to perform legal services that other tax professionals cannot. The main service that distinguishes an Enrolled Agent from others is the ability to represent taxpayers.

It’s essential to take into account the cost of living expenses in your deliberations as well. EA salaries often reflect local economic conditions and cost of living. Urban centers like New York City may offer higher salaries compared to smaller towns, following basic supply and demand principles. You may electronically apply for enrollment and make secure payment of the $140 enrollment fee at Pay.gov. Scheduling is now available for an exam appointment for the May 1, 2025–Feb.

• Therefore, you should compare the average EA salaries across the United States to better understand how much you can make as an EA.
• So, if you’re just starting out as an Enrolled Agent, you can expect to make somewhere between $30,000 and $40,000 annually.
• At a median of over $53,000, the salary for an independent Enrolled Agent is not bad.
• While this position is commonly filled by a CPA, the Enrolled Agent designation is a great way to secure your tax specialization.
• As a seasoned financial professional with over 20 years of experience, I specialize in strategic financial leadership and guidance for growing businesses.

• It’s important to note that these figures are averages and individual salaries may vary based on factors previously discussed.
• Also, unless otherwise stated, all questions relate to the calendar year 2024.
• Working for a tax law firm as an Enrolled Agent, you will be pulling, processing, saving, and sharing IRS account transcripts.
• The ideal candidate to be an enrolled agent is someone who is detail oriented and enjoys delving into the continually changing nature of tax laws.
• And finally, salary numbers for enrolled agent jobs in San Diego range from $39,906 and $57,780.

New EAs may start at lower salaries compared to experienced practitioners, but can expect increases as they gain expertise. It is for this reason many CFPs and advisors earn their EA credential. As a result, the CFP or advisor has a better understanding of their clients’ needs, as well as solutions that ensure the financial well-being of their clients’ portfolios and estates. For these reasons, EAs are in high demand and often earn a higher salary than tax return preparers who are unable to offer these services. Compare Enrolled Agent salary in your city with a Law Firm Accounts Receivable Management salary search tool. As an Enrolled Agent you have opportunities to increase your salary by charging a fee for representation services, tax advice, or opinions on tax matters.