My formal educational background is in computer science (a bazillion years ago) and business management (almost a bazillion years ago). I happen to be a tax geek who's been reading IRS publications since my early 20s when I realized how much was getting deducted from my already-tiny paychecks, LOL. I have been a CFO of a small company, and done basic accounting for small businesses, but it's not my first love, by any means. Taxes have a different vibe to them, for me. More like sticking it to the Fed, haha. So I can get fired up about them easier.
A few years ago, I signed up for an H&R Block course to be held in our local town, but was unable to attend due to health issues. So the whole idea got shelved until this year, now that my health is back on track.
THis time, I went in and talked to the owner of our local H&R Block (friend from high school, he's been trying to get me to come work for him since we were in our 20s). He said the H&R courses are much more about utilizing the proprietary software than actual tax prep knowledge. The graduates he was hiring were making mistakes when actually preparing returns and he wasn't pleased. He has since stopped offering the H&R BLock course.
He recommended an online course, by Platinum. I live in Oregon, so to prepare taxes here, I am required to do an Oregon-approved course (80-hours) and pass the Oregon Licensing Exam. California has similar requirements, and I think one other state (not a western state) does too. Here in Oregon, I will have to spend a certain number of hours preparing "under supervision" of a licensed preparer with more experience.
I looked at a few different courses online, and Platinum was WAY less expensive than the others - $200 compared to $1600. The others look fancier, and like lots more hand-holding and visually appealing student interface.
I signed up with Platinum and have completed the first of 15 units so far. It's intense, no doubt. No hand-holding. The reading assignments seem to be brief excerpts from the IRS publications and instructions. The quizzes are long (16 pages, total of 80 questions for the first unit) and I had to look almost every single one up in the publications and instructions. I spent about 2 hours on the first quiz.
So, if you're good at learning directly from the IRS materials, and/or have prepared your own 1040 from the written forms and instructions, the Platinum course will probably suit you. And if it won't, you'll know right off the bat and I Think they give a refund.
The other courses looked nice, but there was no way I was going to pay that much more if the cheap one could get it accomplished, LOL.
Eventually, within the next 12-18 months, I intend to test for the EA designation - IRS Enrolled Agent. I will need to take more review courses, probably, and Platinum offers one for a few hundred dollars. I should add that the $1600 courses I priced elsewhere included the EA reviews, so that's probably not a straight-across comparison. As an EA, I will be very similar level to a CPA, but with focus on income tax preparation versus public accounting and auditing. I can also represent taxpayers in tax court, which is appealing to me. To test for the EA, it's about $700, I think, after any review courses you choose to take.
First year out, I intend to probably work in a franchise tax prep office - H&R Block or Liberty, etc. According to my H&R buddy, it's basically a little over minimum wage plus overtime and bonuses, from January 2nd to end of April. I may be working here in Oregon, or we may be moving to the Spokane / Couer D'Alene area, in which case I wouldn't be under the oregon requirement to work "under supervision", as far as I understand at this point, anyways. Still have more research to do on that possibility. I do know that the Liberty tax folks in CDA intend to be hiring for next tax season, so that is an option open to me.
Liberty tax does offer a free oregon-approved online preparers course, but you can't register, or begin, until late July, and I wanted to get rolling asap. So I didn't wait to check theirs out.
Ultimately, I intend to build my own client list, and work this as a home-based business. I am even considering pitching my H&R Buddy to hire me as a 1099 consultant, and let me work from home "under supervision" - ie he reviews the returns I prepare, and we come to an agreement on the split of the fees, instead of me working as a W2 employee. I could potentially do that with several local tax prep places. If we move out of state, I will network with the tax prep offices up there, and feel the waters for working with a few of them, meeting clients at their offices, then preparing the returns at home. And I will be actively creating my own client list from friends, family, and husband's co-workers, as well.
Eventually, I think I can pull in $10k-$30k per tax season, and potentially expand my offerings to tax strategy planning and perhaps retirement planning / financial planning for the off-season.
Between income and tax benefits of having a small business, I am really excited about this!
MouseBandit
