Tax Season Is Just Around The Corner

By Colleen Kay Watson, Star Tribune Sales and Marketing

Last update: August 16, 2005 - 11:00 PM

Interested in helping people hang on to their money? You might want to consider a seasonal job as a tax preparer. Every year large tax preparation firms such as H&R Block Inc. and Jackson Hewitt Inc. offer training classes.

These classes typically start in September, so now is the time to think about learning this new skill.

The large tax preparation companies hire thousands of tax preparers annually for seasonal work from January through April. Most of these jobs are part time and offer flexible hours. The cost varies from about $100 to $200 for a six-week course.

Type Of Personality Needed

People who like to learn do well as tax preparers.

Scott Reid owns a franchise with Jackson Hewitt Inc. in Minneapolis. Reid is a West Point graduate with an M.B.A. from the Carlson School of Management at the University of Minnesota.

Reid says, "I wanted to pursue the exciting world of accounting."

After working at big 4 public accounting firms, Reid sought more autonomy and started his own "Mom and Pop" tax preparation service.

Lee Roehl, owner of ROR Tax Services, started in the field of accounting in the 1970s. Having taken the tests required by the IRS, Roehl is an enrolled agent. "Become part of associations like the N.A.T.P. (National Association of Tax Preparers, www.natptax.com) and take their class annually. Learning how to prepare taxes is a constantly changing career. I am still learning new information every year," says Roehl.

Useful Skills

Reid says, "I used to run ads for tax preparation people. Now I advertise for customer service people. The tax preparation skills can be taught in the classroom, but I cannot teach someone to be a people person. Being able to handle people is what tax preparation jobs are about."

Ask yourself, am I going into tax preparation to just work with numbers? If you are, then this may not be a good career match.

"Helping individuals with their taxes is very personal. You need to be good with people to succeed," says Reid.

Roehl advises, "Learn QuickBooks. You can take a class or do a tutorial on-line. Many customers come into our office with their books on a disk."

Average Seasonal Earnings

The larger firms like Jackson Hewitt offer a base wage plus a percentage of the tax preparation fees that result in first-year earnings of $10 to $15 per hour. Future earnings can be significantly higher.

If you have an entrepreneurial streak, you can launch your own career. Reid and Roehl both own their companies today because they took the time to learn the tax preparation business.

Roehl recommends that you start your career working with someone else. "Don't do this in a vacuum. You need to work with a mentor or else you will get stuck."

Whether you go with a local tax firm or seek to start your own business, tax preparation might be a great career for you.

Colleen Kay Watson is a freelance writer based in Mendota Heights.

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