How Much Does Tax Preparation Cost?
Last updated: April 8, 2026 by the How Much Does That Cost? editorial team. Estimates are informational - see our methodology.
Tax preparation costs $200 to $600 for most filers, averaging around $320, depending on how complex your return is and whether you use software, a tax preparer, or a CPA. A simple W-2 return can be filed for free or a low fee using tax software, while a small business return with multiple schedules and a CPA can run $900 to $2,500 or more.
The two biggest factors are the complexity of your filing (a simple W-2 return versus self-employment income versus a small business return) and who prepares it. Additional state returns, rental income, and prior-year catch-up filing are usually billed as add-ons.
Quick Answer
Typical range: $200 – $600
Low end
$0
High end
$2,500+
Actual pricing varies by location, project size, materials, labor rates, and job complexity. Use the calculator below for an estimate tailored to your project.
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Estimated Project Cost
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Typical estimate: —
This is an estimate, not a quote. Actual pricing depends on your specific project details and local contractor pricing.
Cost Breakdown
How a typical project budget breaks down by category.
| Category | Estimated Cost |
|---|---|
| Data entry & document review | $60 – $180 |
| Preparer / CPA time | $100 – $300 |
| E-filing & form preparation | $20 – $60 |
| Software / tools & overhead | $20 – $60 |
What Affects the Cost
Filing complexity
A simple W-2 return costs far less than a return involving self-employment income, rental property, or a small business, since each additional income type requires its own schedule and analysis.
Who prepares it
Software is the cheapest option, a tax preparer or Enrolled Agent is mid-priced, and a CPA costs the most but offers the deepest expertise and represents you if you are audited.
Number of income sources and forms
Each additional W-2, 1099, K-1, or investment statement adds time to review and enter, which raises the preparation fee.
State filings
Each additional state tax return typically carries its own separate fee, which matters most for people who moved, worked remotely across states, or have multi-state business income.
Itemizing deductions
Itemized returns with mortgage interest, charitable giving, medical expenses, and other deductions take longer to prepare than a return using the standard deduction.
Timing
Filing close to the April deadline can sometimes cost more than filing earlier in the season, and requesting an extension may add a separate fee with some preparers.
DIY vs. Hiring a Professional
Doing it yourself
Tax software like TurboTax or H&R Block costs $0-$150 for federal filing plus a separate state filing fee, and works well for a simple W-2 return, but self-employment income, rental property, or multiple states increase the software tier needed and raise the risk of missed deductions.
Hiring a professional
A tax preparer or CPA costs more but can find deductions software might miss, answers questions specific to your situation, and represents you if the IRS ever has questions about your return.
Bottom line: A simple W-2 return is usually fine with software; self-employed filers, small business owners, and anyone with a complex financial picture typically come out ahead by hiring a preparer or CPA.
Ways to Save
- File early in the season — many preparers charge less before the March and April rush and some offer early-filer discounts.
- Gather and organize all your tax documents (W-2s, 1099s, receipts) before your appointment to reduce billable prep time.
- Use tax software for a straightforward W-2 return and save the CPA fee for years when your situation is genuinely more complex.
- Ask about flat-fee pricing instead of hourly billing, especially for a fairly standard return.
- E-file instead of mailing a paper return to avoid added processing fees some preparers charge.
- Check whether you qualify for the IRS Free File program if your income is below the annual threshold.
How We Estimated This Cost
We model each calculator from public price ranges, labor data, material pricing, industry surveys, and the regional adjustment method explained in our methodology. Estimates are reviewed for consumer usefulness, then shown as ranges because local quotes, site conditions, materials, and timing can change the final price.
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Frequently Asked Questions
How much does it cost to get your taxes done?
Most people pay $200 to $600 for tax preparation, averaging around $320, though a simple return filed with software can cost much less and a small business return with a CPA can cost $900 to $2,500 or more.
Is it worth paying a CPA to do your taxes?
For a simple W-2 return, software is usually enough. Once you have self-employment income, own a business, or have a complicated financial situation, a CPA often finds deductions and avoids errors that more than offset the higher fee.
How much does TurboTax cost?
TurboTax federal filing typically ranges from free for very simple returns to around $130-$180 for self-employed or business filers, plus a separate state filing fee in most cases.
How much more does a self-employed tax return cost?
Self-employment income (Schedule C) typically increases the preparation fee by 60-80% compared to a simple W-2 return, due to the added business income, expense, and deduction calculations involved.
Do tax preparers charge per form or a flat fee?
Both models exist. Many preparers quote a flat fee based on your overall complexity, while others charge per form or schedule added to your return, plus a separate fee for each additional state.