Tax Industry Update: July 2015

Enrolled Agent salaries:

• In 2013, enrolled agents made an average of $75,000 per year.

• Enrolled agents with one to three years of work experience can make up to $85,000.

• Enrolled agents with more experience or at the senior level can make over $110,000 per year.

• Tax resolution expert Jaseen Bowman quotes client fees in the $3,000 to the $5,000 range per month.

Accountant/CPA salaries:

• Those with a CPA license can make about $50,000 to $80,000 a year, with higher salaries ranging around $125,000.

Recent Trends for the Accounting Industry:

• 76% of accounting firms feel that technology changes their services and can add value to their customers over the next 5 years.

• 72% of accounting clients between the ages of 18 to 34 would replace their CPA if they did not use a cloud-based system.

• 85% of accountants think that time spent on electronic data analysis in the next year will increase.

• Increased use of social media - Tax professionals are using social media sites to connect with their existing clients and build out their clientele. LinkedIn is the most popular B2B social media site.

• Starting salaries for accountings are predicted to rise by 3.5% in 2015.

• 60% of the universities predict higher enrollment in both MBA in accounting and MA in taxation.

• 15% of universities receive more applications from qualified students for their accounting programs than they can accept - as there are limited spaces in the classroom.