Finance · State Rankings

Best US States for Tax Preparers

All 50 states + DC ranked by Tax Preparer salary. State tax structure noted for take-home math.

Top 10 states by salary
#StateEstimated salaryCost mult.State tax
1New York$63,1001.15×~5% effective
2New Jersey$62,4001.13×~5% effective
3Massachusetts$62,1001.12×~5% effective
4Delaware$61,1001.00×~5% effective
5Florida$61,1001.00×No state tax
6Illinois$61,1001.00×~5% effective
7District of Columbia$61,0001.20×~5% effective
8California$60,4001.18×~5% effective
9Hawaii$59,5001.15×~5% effective
10North Carolina$59,1000.94×~5% effective
All 51 states + DC, ranked
#StateSalaryAfter state tax (rough)
1New York$63,100$46,284
2New Jersey$62,400$45,770
3Massachusetts$62,100$45,550
4Delaware$61,100$44,817
5Florida$61,100$47,872
6Illinois$61,100$44,817
7District of Columbia$61,000$44,744
8California$60,400$44,303
9Hawaii$59,500$43,643
10North Carolina$59,100$43,350
11Alaska$58,900$46,148
12Minnesota$58,300$42,763
13Connecticut$58,000$42,543
14Washington$58,000$45,443
15Missouri$57,700$42,323
16Maryland$57,400$42,103
17Pennsylvania$57,300$42,030
18Utah$57,300$42,030
19Colorado$56,500$41,443
20New Hampshire$56,500$44,268
21Oregon$56,500$41,443
22Georgia$56,400$41,369
23Michigan$56,100$41,149
24Wisconsin$56,100$41,149
25Rhode Island$55,900$41,003
26Virginia$55,900$41,003
27Nevada$55,600$43,563
28Indiana$55,400$40,636
29Nebraska$55,400$40,636
30Ohio$55,400$40,636
31Arizona$55,000$40,343
32Vermont$54,700$40,122
33Alabama$54,500$39,976
34Maine$54,100$39,682
35Texas$54,100$42,387
36Idaho$52,900$38,802
37Montana$52,900$38,802
38Wyoming$52,900$41,447
39New Mexico$52,600$38,582
40North Dakota$52,600$38,582
41South Carolina$52,600$38,582
42Tennessee$52,600$41,212
43Kansas$52,300$38,362
44South Dakota$52,300$40,977
45Iowa$52,000$38,142
46Louisiana$52,000$38,142
47Kentucky$51,400$37,702
48Oklahoma$51,400$37,702
49Arkansas$50,800$37,262
50West Virginia$50,800$37,262
51Mississippi$50,200$36,822
After-state-tax estimate uses federal ~14% + FICA 7.65% + state ~5% (or 0% in no-tax states).

What moves with you and what does not

Because Tax Preparer is a licensed occupation (IRS PTIN required; EA/CPA credential optional, not mandatory), the pay differences between states persist in a way they would not otherwise. Workers cannot freely move to the highest-paying state, so the gap does not close. That is worth knowing both as a barrier and, once you hold the license, as protection.

Tax and what the numbers are worth

Income tax reshuffles this ranking. Florida appears in the top ten and levies no state income tax, so the gross figures understate take-home there by roughly 3–6% relative to a taxing state at the same salary. Against a high-tax state, that is worth several thousand dollars a year at this occupation's median of $55,000.

The offset is usually property tax. States without an income tax recover the revenue elsewhere, so the advantage is largest for renters and narrows considerably for homeowners. Run both if you plan to buy.

The spread from Mississippi ($50,200) to New York ($63,100) is 26%. Cost of living explains most of it — a state paying 25% above the national median for this role usually costs proportionally more to live in, which is why cost-adjusted rankings look different from nominal ones.

Where the field is heading

Nationally, Tax Preparer employment is projected to grow — 5% through 2034, with roughly 10,400 openings a year counting replacements. Growth is rarely evenly distributed: states with the industry concentration driving that growth will feel it first, and the ranking above is a reasonable proxy for where.

Salaries are modelled from BLS national medians adjusted for local price level at a wage elasticity below 1 — pay rises with local costs but not proportionally. See our methodology.

Frequently Asked Questions

Which state pays the most for Tax Preparers?
Based on cost-of-living-adjusted estimates, New York pays the most with an estimated median of $63,100/year for Tax Preparers. High-cost states (CA, NY, MA, HI) tend to top the list because employers compensate for local cost of living.
Do no-state-tax states pay better effective?
Often yes after taxes. Florida, Alaska, Washington, New Hampshire, Nevada have no state income tax. A 5% state tax savings on $100K = $5,000 more take-home. But verify cost of living too — Texas pays well and has no tax, but Houston/Austin housing has risen dramatically.
Why do some states pay so much more?
Three factors: (1) cost of living — coastal states cost 15-25% more, employers adjust pay; (2) employer concentration — CA dominates tech, NY finance, MA biotech; (3) regulatory environment — some states have higher unionization or licensing requirements that increase wages.
Are these salaries net or gross?
Gross — before federal income tax (~14% effective at this income), FICA (7.65%), state income tax (varies), and local taxes if applicable. Use our state-specific Paycheck Calculator for exact take-home in any state.
How does experience affect these numbers?
These are medians — entry-level often runs 25-35% below median, senior roles 40-60%+ above. A senior Tax Preparer in New York can easily exceed $94,650, while an entry-level role in a low-cost state might be $35,140.