How Much Does a Tax Accountant Make a Year?
Tax accountants prepare tax returns for individuals.
Tax accountants also gather and provide data for use on a company's tax return, CPA Finder reports. These accountants are knowledgeable in the areas of tax law, accounting and basic finance. A tax accountant's salary depends on factors such as his certification, his location, his employment status and other factors.
According to PayScale.com, in a survey of 1,620 tax accountants, the median annual salary of a tax accountant is between £27,376 and £37,493 as of February 5, 2011. This salary package includes a base salary of between £27,660 and £36,521, a bonus of between £649 and £2,681 and profit sharing of between £642 and £1,963.
Salary by Certification
If a tax accountant is a certified public accountant (CPA), she earns a median annual salary of between £29,966 and £37,753 as of 2011. If she has a business certificate, she earns a median salary of between £26,726 and £37,672 each year.
If she is a certified enrolled agent (EA), she earns a median annual salary of between £26,209 and £39,820. Those tax accountants who are chartered accountants (CA) earn a median annual salary of between £25,992 and £51,097. If a tax accountant has a license to practice law, she earns a median salary of between £31,935 and £59,611 each year, PayScale.com reports.
Salary by Location
If a tax accountant works in Florida or Ohio, he is on the lower end of the wage scale. As of 2011, those tax accountants who work in Florida earn a median annual salary of between £26,306 and £34,299, and those who work in Ohio earn a median annual salary of between £27,539 and £33,766. Tax accountants who work in Washington earn a median annual salary of between £31,788 and £38,505; those who work in New York earn between £31,060 and £40,072, PayScale.com reports.
Salary by Employment Status
If a tax accountant is a permanent employee, she earns a median annual salary of between £27,903 and £36,595. Part time tax accountants earn a median salary of between £19,838 and £26,986 each year. Temporary to Permanent tax accountants earn a median salary of between £17,193 and £29,524 each year. If a tax accountant is a temporary employee, she earns a median annual salary of between £26,568 and £36,370, according to PayScale.com.
Other factors that may impact a tax accountant's earnings are his level of experience, the size and reputation of his employer and his skill and work ethic.
Experienced, hard-working tax accountants usually earn higher salaries than those who are inexperienced, and do not have a good work ethic.
Also, larger, more reputable companies pay higher salaries. As of 2011, companies with one to nine professionals pay tax accountants between £25,222 and £33,423 and companies with 10 to 49 professionals pay tax accountants between £27,520 and £35,067 each year, PayScale.com reports.