Am I underpaid? I’m a CPA with 2 years of experience earning $78k annually, plus an $18k bonus during tax season. Although I have my CPA license, I still face challenges completing tax returns due to factors beyond my control. I’ve progressed quickly and am approaching the skill level of colleagues with 20+ years of experience. I’m proficient in writing, Excel, and more—doing well in my role, but I still consider myself relatively new.
The reason I’m raising this question is that I feel my workload might warrant a higher salary. Otherwise, I wouldn’t be asking.
Should my workload impact my pay? Writing this out has helped me realize that this is the core issue.
EDIT: I live in one of the states with the highest cost of living, and the post-tax bonus is around $13,500.
One response
It sounds like you’re in a solid position with your current salary and bonus, especially for someone with just two years of experience as a CPA in a high cost-of-living area. The base salary of $78k, combined with an $18k tax season bonus, brings your total compensation to around $96k, which is quite competitive for early-career CPAs, particularly in the Northeast.
That said, your workload and the responsibilities you’re taking on do play a crucial role in how you should assess your compensation. If you’re consistently handling a heavier workload or delivering results that exceed expectations, it’s reasonable to feel you deserve more.
It’s important to consider a few factors:
Market Rates: Research what other CPAs with similar experience and roles in your area are making. Websites like Glassdoor, PayScale, or even talking to recruitment agencies can give you a clearer picture.
Workload & Responsibilities: If you feel your workload is significantly higher than that of your peers at your level, this is definitely something to discuss with your supervisor during performance reviews or salary negotiations.
Skill Development: Since you mentioned you’re still figuring out some aspects of tax preparation, consider how your growth trajectory might affect your future earning potential. With your strong skills in writing and Excel, you might also want to explore roles that leverage these strengths, potentially leading to higher pay.
Performance Reviews: Use your upcoming reviews as an opportunity to express your contributions and workload challenges, and to advocate for a salary adjustment based on that.
Ultimately, don’t hesitate to advocate for yourself if you believe your workload warrants it. A well-prepared case highlighting your contributions and the market rates can strengthen your position when discussing a raise. Good luck!