Only around 70% of the REG material relates directly to the EA exam, while the rest covers other topics such as business law. Most people consider Part 1 (Individuals) and Part 3 (Representation, Practices, and Procedures) to be the easiest. The CPA certification is also a license to practice, whereas the EA is simply a designation, not a license.
You will not receive an offer or employment contract from EA without first being in contact with an EA representative from one of the above email addresses. EA employees will never ask you for money or to provide personal financial information during our recruiting process. We nurture environments where our teams can always bring their best to what they do.
- Passing the exam is much easier once you have several years of tax experience.
- Please notify us of any fraudulent representation by sending an email to
- A CPA’s expertise is based on accounting and auditing, but most CPAs provide tax filing services as well.
- To qualify for high-level positions, EAs must typically have a minimum of 5 years experience in tax consulting, planning and training.
- Additionally, as we saw above, the process of earning an EA designation is substantially less expensive upfront.
- While this position is commonly filled by a CPA, the Enrolled Agent designation is a great way to secure your tax specialization.
From the perspective of the IRS, CPAs and EAs are on the same level. They actually have their https://eduardoandere.iexe.mx/which-of-the-following-accounts-usually-has-a/ own clients and can, therefore, work at home with flexible hours. For a more detailed look at the EA versus CPA Exams and a direct comparison of CMA vs CPA vs EA exams, check out our post on the difficulty of the EA exam.
Why are EA and CPA salaries different?
To take the enrolled agent exam, you must pay a testing fee for each exam part. If your path to the IRS enrolled agent credential runs through the EA exam, you don’t need to meet an experience requirement. If you start with the CPA Exam and struggle with the REG section, you can temporarily change course by passing the EA exam and earning the EA designation. To become an enrolled agent, you must either take the EA exam, also known as the Special Enrollment Exam (SEE), or have previous work experience at the IRS. But while the EA certification doesn’t sound quite as prestigious as the CPA license, don’t fret; people recognize and greatly respect enrolled agents. EAs, or enrolled agents, are tax preparers authorized to represent taxpayers before the IRS.
To become a CPA you must first ea accountant salary complete the education requirements of the state in which you plan to practice. When deciding whether to work with an EA or a CPA, you can rest assured that both types of professionals can offer a high level of tax-related expertise. While CPAs commonly represent clients in federal tax matters, their broader authority depends on maintaining an active state license and meeting state-specific requirements. CPAs, however, are more adept at meeting financial planning and accounting needs. Their expertise can be particularly beneficial for individuals and businesses seeking specialized tax advice. In general, CPAs can provide a much wider scope of tax services than an EA can.
Recent Salary Records For Enrolled Agent
This means that you can prepare and file taxes, represent clients in an audit, and appeal audits before the IRS, without restriction on which taxpayers you can represent, what matters you can handle, and where in the country you work. Your level of professional experience, and the expertise you’ve accumulated with it, plays a deciding role in your salary. The average Enrolled Agent salary in the US is just over $72,000 annually,1 although this number ranges from about to $54,000 to $82,000,2 with some sources citing as high as $174,000 per year.3
Create your account and connect with a world of communities. CPAs, on the other hand, are integral to businesses and also work in the public sector in more traditional capacity. Depending on your state, you may also have to complete a work experience requirement. The third part of the exam covers Representation, Practice and Procedures. The EA exam, also known as the Special Enrollment Examination (SEE), is a 3-part exam. They have a vast knowledge of anything that pertains to income tax, inheritance tax, gift tax, estate, payroll, retirement, and non-profit taxation.
EA or CPA: Which Will You Choose?
EAs provide specialized tax expertise that is essential for individuals and businesses navigating complex tax situations. As of October 2021, the Bureau of Labor Statistics (BLS) recorded the national median salary for CPAs in the U.S. as $73,560. The commitment to ongoing education ensures that both EAs and CPAs maintain the highest level of expertise and ethical standards. For EAs, the IRS mandates the completion of 72 hours of continuing education courses every three years. Unlike the SEE, the CPA exam is administered by each state’s board of accountancy and is universally recognized as one of the most rigorous professional exams.
A mid-level enrolled agent with between five and 10 years of experience can generally expect to earn an average salary of $50,000. A senior-level enrolled agent with between 10 and 20 years of experience can typically expect to earn an average salary of $55,000. Mid-level enrolled agents who have 1-2 years of experience typically earn between $37,000 and $50,000 and upward (hourly pay ranging between $12-$55). However, enrolled agents have the opportunity to earn extra money during tax season.
For help passing the CPA exam, visit Surgent CPA Review. CPAs are elite accounting professionals that can work in every sector of the profession, from tax to audit to consulting and advisory. The Certified Public Accountant license is a state-level credential offered by each State Board of Accountancy. They work in accounting firms of all types and sizes, with many EAs starting their own businesses.
An EA’s salary is primarily influenced by their level of professional experience, geographic location, and the industry they work in. Answer how much do Enrolled Agents make, and if it’s worth becoming credentialed to increase your earning potential. Learn https://humairagift.com.my/death-spiral-noun-definition-pictures/ more about the benefits of the designation, including the Enrolled Agent salary and the opportunities you gain as an EA. With his help, countless students and professionals have passed certification exams and achieved their dreams. If you decide to pursue this career path, check out these study materials for passing the EA exam today! Other tasks include preparing tax returns, performing tax accounting reconciliations, teaming up with the different departments regarding any tax issues, etc.
This means there is a far greater need for EAs today than in the past. EA candidates are not allowed to have any outstanding tax liabilities. However, the salary of a CPA will quickly exceed the salary pace of an EA. This could depend on where the individual is on the career ladder. Additionally, anyone who is interested in becoming an EA will need to pass a background check.
Enrolled Agent Salaries for Senior Level
- About 70% of EA candidates pass rates Part 1 (Individuals) and over 80% pass Part 3 (Representation, Practices and Procedures,).
- An entry-level Enrolled Agent salary will look different than that of a tenured professional, with the starting annual EA salary around $52,0004, while EAs that move into senior tax positions or grow a solid base of clients often earn well over $100,000.
- First, it is important to understand the difference between an enrolled agent and a CPA.
- Another factor to consider as you choose your career path is the earning potential for both the EA credential and CPA license.
- CPAs may also represent clients in state tax matters, which can matter when dealing with multi-state filings or audits.
The figures above are based on data from December 2024, but it’s a no-brainer that the figures will go up this year, in 2026, and beyond. This is particularly true if they work in a reputable accounting firm or the private sector. Mid-level agents can expect their salaries to be between $50,000 and $70,000 annually. Below, you’ll find Zip Recruiter’s average Enrolled Agent salaries. Be sure to consider additional factors alongside salary when planning your professional path.
Both certified public accountants (CPAs) and enrolled agents (EAs) must adhere to strict ethical standards. Additionally, enrolled agents must possess a thorough understanding of IRS documentation, as the documentation must be filed with the IRS. Since an enrolled agent has a number of responsibilities, the salary tends to be fairly lucrative. 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. Individuals who are considering becoming enrolled agents should enjoy working with people and have high ethical standards.
Enrolled Agents are also well-versed in tax-related issues like determining tax liability and providing tax advice. The role of an Enrolled Agent primarily revolves around tax matters like tax returns, tax planning, and representing taxpayers in IRS office reviews or audits. EAs are federally-licensed tax professionals who are specifically licensed by the IRS to represent taxpayers before the federal government. CFA Institute does not endorse, promote or warrant the accuracy or quality of ais-cpa.com. Given the current rising number of examinations, more citizens have found themselves in need of representation.
Generally, the amount of experience you have is the single https://api.eeslamparast.host.webr.ir/adp-payroll-pricing-and-fees-2026-guide/ most important factor when determining your salary. Enrolled agents are typically employed by businesses specializing in handling income tax resolutions or preparing tax returns. The Internal Revenue Service, in an effort to satisfy legal requirements, confers the status of enrolled agent to qualified candidates. At the mid-level, you will be preparing and reviewing tax returns, following up with tax invoices, preparing bank reconciliations, providing information to external auditors, and much more.
Their clients are individuals, partnerships, corporations, estates, trusts, and any entities with tax-reporting requirements. Plus, they each have pros and cons and distinct effects on your long-term career. Which one you choose will depend on your areas of interest and expertise. You only need to pass the Enrolled Agent exam and obtain your PTIN to get started.
If either of these don’t look like the right fit, there’s more information about other tax jobs we have available. EAs are tax specialists with unlimited rights to represent taxpayers before the IRS. EAs and CPAs are highly qualified professionals with expertise in financial matters. According to the BLS, the annual salary for accountants (including CPAs) ranges from $50,440 to $137,280. CPAs also must meet a continuing education requirement, which varies by state.
According to payscale.com, EAs make between $29,236 – $74,047 a year, with a median income of $46,134, while CPAs make between $41,676 – $98,448 a year, with a median income of $59,824. Since mid-level EAs have different tasks that require more responsibility, their salaries will obviously be more than those of entry-level EAs. They can set their own hours and work independently for individuals or business all over the United States. The average female Senior Accountant at companies similar size to Electronic Arts (EA) reported making $93,750, while the average male Senior Accountant at similar sized companies reported making $93,574. The Finance Department averages $31,035 more than the Admin Department, and $5,455 less than the IT Department