At what income level should I ditch TurboTax and hire a real tax professional?

My partner and I have both seen our salaries grow substantially this year, and I'm wondering if I should reconsider my tax prep approach. Combined we're now making around $170k, which is way up from about $80k last year. I've always done our taxes with TurboTax and it seemed fine when we made less, but now I'm not sure if we're leaving money on the table. We don't have anything super complicated - just regular W-2 jobs, but it's definitely more income than I've ever dealt with before. Are there specific benefits to working with a professional tax preparer once you hit certain income thresholds? Any guidance on when it makes sense to switch from turbo tax to a real tax pro would be really helpful!

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18 comments

Rosie Harper

•8M

You're asking a great question! There's no specific income threshold where you absolutely must switch from TurboTax to a professional, but there are some factors worth considering. At $170k combined income, you're likely still in a situation where TurboTax can handle your taxes adequately if you only have W-2 income and standard financial situations. The software is designed to handle most common tax scenarios, even at higher income levels. That said, a tax professional might be worth considering if: 1) You want someone to review deductions you might be missing, 2) You're approaching the threshold for alternative minimum tax, 3) You're concerned about tax planning strategies to reduce your liability, or 4) You simply want the peace of mind that comes with professional review. Given your significant income increase, this might be a good year to consult with a tax professional at least once, even if you ultimately decide to continue with TurboTax in the future.

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Rosie Harper

•8M

The cost difference can be significant. TurboTax might cost you $100-200 for premium versions, while a professional tax preparer typically starts around $300-400 for relatively simple returns and can go up from there depending on complexity. Finding a reputable tax professional is important - look for enrolled agents (EAs), certified public accountants (CPAs), or tax attorneys with good reviews. Ask friends for recommendations, check professional association directories, or use the IRS's directory of federal tax return preparers. Interview potential preparers about their experience with situations similar to yours before deciding.

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Demi Hall

•8M

I was in a similar situation last year when my income jumped significantly. After years of using TurboTax, I tried this AI tool called taxr.ai (https://taxr.ai) which was a game-changer. It's like having a tax pro look over your shoulder while still maintaining control of the process yourself. What I really liked is that it analyzed my past returns and suggested deductions I had completely missed with TurboTax. Especially with your income increase, there might be new tax strategies available that the basic software doesn't proactively suggest. It gives personalized insights rather than just filling in boxes.

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Demi Hall

•8M

It works alongside whatever tax software you're already using. You can upload your previous returns and current tax documents, and it will analyze them to find potential issues or opportunities, then give you specific guidance you can apply in TurboTax or whatever system you use. Privacy is definitely a valid concern! They use bank-level encryption and don't store your documents after analysis. You can also manually block out sensitive info like SSNs before uploading if you're extra cautious. I was hesitant at first too but their security measures are pretty robust.

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Kara Yoshida

•8M

Just wanted to follow up about my experience with taxr.ai since I mentioned being skeptical earlier. I decided to try it with my 2024 taxes (I had similar income jump from $75k to $140k) and it actually found nearly $3,200 in deductions I would have missed. The analysis highlighted several work expenses I didn't realize were deductible and a retirement contribution strategy that reduced my taxable income. What surprised me most was how it explained everything in plain English rather than tax jargon. It gave me the confidence to still use TurboTax but with much better information. So for me, it was the perfect middle ground between software and hiring a full tax professional.

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Philip Cowan

•8M

If you're really concerned about maximizing deductions at your new income level, you might want to talk directly with an IRS agent for clarification on what applies to your situation. I tried for weeks to get through to someone at the IRS last year about a similar question and it was impossible until I found Claimyr (https://claimyr.com). They have this service that somehow gets you through the IRS phone maze and gets an actual agent on the line with you. You can see how it works here: https://youtu.be/_kiP6q8DX5c. It saved me literally hours of hold time and frustration. The IRS agent I finally spoke with gave me incredibly specific guidance about deductions at my income level that no software ever mentioned. Best decision I made for my tax situation.

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Philip Cowan

•8M

It uses an automated system that navigates the IRS phone tree and waits on hold for you. Then it calls you once it reaches a human agent. It basically does the waiting for you so you don't have to sit there listening to the hold music for hours. It definitely sounds too good to be true, but it's just clever automation. The service doesn't change the IRS system - it just handles the frustrating part for you. I was connected with an agent in about 45 minutes, while I was just going about my day instead of being stuck on hold.

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Lena Schultz

•8M

Ok I feel the need to eat my words. After being super skeptical about the Claimyr thing, I tried it yesterday because I had questions about how my increased income affects my retirement contribution limits. I was literally connected to an IRS rep in 37 minutes without having to sit on hold myself. The agent walked me through exactly which retirement vehicles make sense at my income level (which is similar to yours) and clarified some deductions I was confused about. Having a direct conversation with someone who could answer my specific questions was SO much more helpful than trying to guess my way through TurboTax prompts. Definitely worth it when you're dealing with significant tax changes like a big income increase.

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