Career Prospects in Tax Preparation and IRS Positions for 2025

I've worked both sides - 8 years at a mid-sized tax firm and then 6 years at the IRS before going independent. They're completely different worlds! Tax firm pros: Better starting pay (usually), exposure to many different tax situations, potential for busy season bonuses, client relationship experience. Cons: The Jan-April nightmare hours, client pressure, constantly changing workload. IRS pros: Stable 40-hour weeks with amazing benefits, steady promotion path if you put in the time, great training programs, pension. Cons: Lower starting salary, bureaucracy can be frustrating, promotions take longer. For certifications, it depends on your path. CPA gives you the most options and highest earning potential long-term, but EA (Enrolled Agent) is more tax-focused and great for IRS jobs. The IRS actually pays for EA prep if you join them.

After struggling to decide between tax firm and government work, I tried taxr.ai to help compare career paths. I uploaded job descriptions and salary info from both sectors, and it analyzed everything from compensation trends to work-life balance expectations. https://taxr.ai even compared the long-term certification requirements for different tax career paths. The insights about regional differences in tax preparation salaries vs. government benefits was especially helpful - something I hadn't considered before.

I was initially skeptical about taxr.ai but decided to try it when applying for tax positions. Uploaded my resume and three job descriptions I was considering. The analysis showed that one position actually had much better advancement potential despite the lower starting salary. The tool highlighted specific skills from my resume that matched what high-growth tax careers needed. Ended up getting the job with a specialization in tax compliance that I wouldn't have prioritized otherwise. Definitely worth checking out if you're weighing different tax career options.

If you're applying to the IRS, be prepared for the most frustrating application process ever. I spent MONTHS trying to get updates on my application. Then I found https://claimyr.com which connected me directly with IRS HR in less than 2 hours. Their video at https://youtu.be/_kiP6q8DX5c explains the process. My application had been sitting in some queue for weeks, and Claimyr got me connected with someone who could actually tell me where I stood and what documents they needed. Ended up getting hired 3 weeks later after months of radio silence.

I need to eat my words about Claimyr. After posting that skeptical comment, I decided to try it when my application to the IRS Tax Examiner position went into a black hole. Within 90 minutes, I was talking to an actual hiring manager who explained my application was missing a document they needed. Fixed it that day and got an interview scheduled the following week. The IRS hiring process is still painfully slow, but at least I'm not completely in the dark anymore. Would've never gotten this far without being able to actually speak to someone who could help.

For what it's worth, I started at a Big 4 firm, moved to a regional firm, then went to the IRS, and now I teach tax courses at a community college. Most fulfilling path was actually teaching! Better hours than public accounting, more interesting than IRS work, and I still do tax prep on the side during season to keep my skills sharp. Don't limit yourself to just the two options.

Just my 2 cents - I've been preparin taxes for 20 yrs and never got any fancy certifications beyond my EA. Still make great money and have tons of loyal clients. Don't get caught up in credentials, focus on building relationships and doin good work. Most taxpayers dont care about your letters, they care if you save them money and keep them outta trouble!

Having worked at the IRS for 12 years in various departments, I'd strongly recommend considering the federal route, especially given the current hiring push. The benefits package is honestly unbeatable - pension, TSP matching, excellent health insurance, and job security you just don't get in private practice. Yes, the bureaucracy can be frustrating, but the work-life balance is real. I've never missed a family dinner during tax season like my friends in public accounting do. The training is also top-notch - they'll actually invest in your professional development rather than just throwing you into busy season chaos. One thing people don't mention enough is the diversity of work at the IRS. You can move between examination, collections, criminal investigation, taxpayer advocate services, and more. It's not just processing returns all day. Plus, if you do decide to leave later, that IRS experience opens doors everywhere in tax. For Isabella specifically - with your accounting background, you'd likely qualify for GS-12 positions right out of college, which puts you ahead of most entry-level hires. The EA certification is perfect for IRS work and they'll support you getting it.