You’ve tried both H&R Block and TurboTax, and you’re still scratching your head. Why? Choosing between tax softwares shouldn’t feel like decoding the tax code itself.
Imagine spending hours preparing your taxes only to get a letter from the IRS months later demanding an additional $$$. That’s what happened to countless taxpayers who chose the wrong tax prep method last year.
Now, you’re weighing your options between H&R Block and TurboTax. You should be.
But sometimes, the problem isn’t which software you choose—it’s whether you should be using software at all.
This isn’t another affiliate-based comparison. I wrote this guide for those of you knee-deep in research trying to figure out which tax solution is right for you and your budget. Whether you have a complex financial situation or just want to maximize your refund, you need insights that go beyond feature lists and marketing fluff.
No affiliate links here – just the straight-up truth to help you navigate the tax prep maze.
We’ll also talk about when it might make sense to ditch the DIY approach altogether and get professional help. After all, the goal isn’t just to file your taxes – it’s to optimize your financial life.
Let’s dive in. Your wallet—and your peace of mind—will thank you.
H&R Block vs TurboTax
You’re thinking, “Okay, but how do H&R Block and TurboTax really compare?” I hear you. Let’s break it down for you – features, pricing, and the pros and cons. After all you’re not just looking for a tax solution; you’re looking for the right one for you. Here’s how they compare:
Features Comparison
First – what can these tax softwares do for you? Whether you’re a W-2 or a side hustle rockstar, you need to know if these softwares can handle your taxes. Note that H&R Block and TurboTax offer similar services but each has its own strengths. H&R Block has online and in-person support, TurboTax has a user-friendly interface and integrates with QuickBooks. Here’s how they compare:
| Feature | H&R Block | TurboTax |
| User Interface | Clean, functional; may feel more traditional. | More intuitive with a conversational, interview-style approach. |
| In-Person Support | Available at physical office locations or virtually. | Not available; only offers virtual support. |
| Free Version | More comprehensive; covers a wider range of simple tax situations without frequent upselling. | More limited; tends to upsell users to paid tiers more frequently. |
| Integration with Other Services | Can import data from Uber and some business-related apps. | Seamless integration with QuickBooks; beneficial for small business owners. |
| Mobile App | Full-featured; supports all filing options, including document upload. | Comprehensive mobile app with all features, including expert assistance. |
| Pricing (Basic Online Filing) | Generally more affordable across tiers. | Typically more expensive, especially for higher-tier packages. |
| Self-Employed Support | Competent; covers freelancers and gig workers but less tailored for complex business situations. | More comprehensive guidance for 1099 income, business expenses, and seamless integration with QuickBooks. |
| Investment Reporting | Suitable for basic investment reporting. | More robust support for active traders and complex investment scenarios, including cryptocurrency. |
| Audit Support | Available with specific packages (e.g., Tax Identity Shield). | Comprehensive audit support with paid packages, including TurboTax Max. |
Pricing Tiers
Now, let’s talk money – after all, that’s what taxes are all about, right? Both H&R Block and TurboTax offer different packages to fit different needs and budgets. But remember, the cheapest option isn’t always the best value. You need to know what you’re getting for your money. Here’s a breakdown of their pricing:
| Tier | H&R Block | TurboTax |
| Free (Online) | Starting at $0 + $0 per state filed. Simple returns only. | $0 – $129 (State additional for paid products). Free for simple returns. |
| File with Expert Help | Starting at $55 + $49 per state filed. Real-time assistance from a live expert & AI Tax Assist. Designed for more complex situations. | $89 – $219 + additional state fees. Includes on-demand help from tax experts with a final review. |
| File with a Tax Pro (Full Service) | Starting at $89 + additional state fee. Work in-person, virtually, or drop-off. Connect with a tax pro for unique situations. | Starting at $129 + additional state fees. Matched with a dedicated expert who prepares and files taxes for you. |
| Additional Services | – Tax Identity Shield: $35 for identity theft protection.
– Block Advisors: Bookkeeping, payroll, and business formation support. |
Not explicitly listed but includes services like audit support (additional cost). |
When deciding between H&R Block and TurboTax, you need to know which one is best for your situation. Let’s break it down:
1. For Simple Tax Returns (W-2 Income Only)
- H&R Block: Has a Free Online tier starting at $0 + $0 per state filed for simple returns. This includes basic federal returns, document upload and self-paced tax prep. H&R Block also offers in-person or virtual support for those new to online tax prep.
- TurboTax: Has a Free Edition for simple tax returns, which covers W-2 income, Earned Income Tax Credit (EITC) and the Child Tax Credit. But TurboTax’s free version often prompts you to upgrade to paid tiers for extra services which can be a bummer.
Best Choice: For W-2 only tax situations, H&R Block’s Free Online is the more transparent and cost-effective option.
2. For Freelancers and Self-Employed
- TurboTax: Has the Live Assisted package starting at $89 + additional state fees. It’s designed for 1099 income, business expenses and QuickBooks integration, perfect for small business owners and self-employed.
- H&R Block: Has the Self-Employed Online package starting at $55 for federal returns + $49 per state filed. It’s for freelancers, ride-share drivers and marketplace sellers. But doesn’t have the same level of QuickBooks integration as TurboTax.
Best Choice: TurboTax is generally better for self-employed due to its business expense and QuickBooks support.
3. For Investors and Rental Property Owners
- TurboTax: Has the Live Assisted package starting at $89 + additional state fees. This tier covers investment income, stock gains/losses, cryptocurrency transactions and rental property income. For active traders and more complex investment situations.
- H&R Block: Has the Premium Online package starting at $75 for federal returns + $49 per state filed. Supports investment and rental properties but may need extra support for more complex cases.
Best Choice: For those with multiple investments or rental properties, TurboTax Premier is the more detailed and supportive option.
4. For Those Who Want In-Person Support
- H&R Block: Wins in this area with its File With a Tax Pro service starting at $89 + additional state fees. This allows you to work with a tax pro in person, virtually or by securely dropping off your tax documents. This flexibility is a big plus for those who prefer face-to-face.
- TurboTax: Has TurboTax Live Full Service starting at $129 which offers virtual expert help but no physical office locations for in-person support.
Best Choice: If in-person support is your top priority, H&R Block is the winner.
5. For Complex Tax Situations and Personalized Advice
- An Accountant: The best option for those with complex tax situations, multiple assets or who need tax planning. An accountant will provide personalized advice, find deductions, manage tax implications for life events like blended families, business growth or capital gains.
- H&R Block and TurboTax: Both offer some level of complex tax support but don’t have the depth of personalized advice and long-term planning that a professional accountant provides.
Best Choice: Hire an Accountant if you have complex finances or need long-term tax planning. Although the upfront cost is higher, the potential savings and compliance benefits are worth it.
6. For Budget-Friendly Filers
- H&R Block: Has more affordable pricing across its tiers. For example, the Deluxe Online package starts at $55 for federal returns + $49 per state filed which is cheaper than TurboTax.
- TurboTax: The Live Assisted package starts at $89 + additional state fees, TurboTax justifies the cost with its smooth and user-friendly interface and many features.
Best Choice: If you want a more budget-friendly option, H&R Block is generally more affordable across the board.
Detailed Walkthrough of the Tax Filing Process on Both Platforms:
Filing your taxes can seem daunting, but understanding how each platform—H&R Block and TurboTax—guides you through the process can ease the stress. In this section, we’ll walk you through the step-by-step experience of using both platforms, highlighting key features, user interfaces, and what to expect at each stage. This overview will help you decide which software best suits your needs for a smooth and efficient tax-filing experience.
TurboTax:
Here’s a step-by-step process to file taxes using TurboTax:
- Create or Log into Your TurboTax Account: If you already have an account, log in. If not, create one and verify your email. Click “Let’s Go” to begin. Choose the applicable scenarios for your situation, such as employment status, charitable donations, or other financial activities. For a simple return, select the options that apply to you.
- Choose the Filing Method: Decide if you want to file taxes on your own or with expert help. You can start for free, and TurboTax will prompt you to upgrade if your situation requires it. Input basic details such as your name, date of birth, address, and filing status. TurboTax will guide you through this process, asking questions relevant to your situation.
- Import or Manually Enter Last Year’s Tax Information: If you used TurboTax last year, your information will be automatically loaded. If you used another method, upload your tax documents or manually enter the details. TurboTax will guide you through adding your income details. If you have a W-2, upload a picture or type in the information manually. For additional income sources like interest, dividends, or freelance work, follow the prompts to enter the necessary details.
- Claim Deductions and Credits: TurboTax will ask questions to identify deductions and credits you may qualify for. Choose to use the standard deduction or itemize, depending on your situation. Answer questions about student loan payments, charitable donations, retirement contributions, and other tax breaks to maximize your refund.
- Review and Confirm Your Information: TurboTax provides a summary of your entries. Review the information to ensure accuracy, as errors can affect your refund or tax due. TurboTax will prompt you with questions about less common tax situations (e.g., foreign income, disaster distributions). If they don’t apply, simply select “None of these.”
- Calculate Federal and State Taxes: TurboTax will calculate your federal taxes and, if applicable, state taxes. You’ll see an estimate of your refund or the amount you owe. If you owe taxes, select how you want to pay (e.g., credit card, bank transfer). If you’re getting a refund, choose how you’d like to receive it (e.g., direct deposit).
- Review and File Your Tax Return: TurboTax will walk you through a final review to ensure everything is correct. Choose to file electronically (e-file) or print and mail a paper copy. If you e-file, TurboTax will hold your return until the IRS starts accepting returns for the year.
- Save and Print a Copy of Your Return: Save a digital copy and print a physical copy of your completed tax return for your records.
TurboTax guides you through each step, making the process straightforward even if you’re filing on your own.
H&R Block:
Here’s a step-by-step process to file taxes using H&R Block:
- Create or Log into Your H&R Block Account: If you don’t have an account, create one and verify your email. If you encounter issues with the verification email, try using a different email address. After logging in, click on “Get Started on Your Taxes.” Choose to file on your own if you don’t want professional help. This option will have fewer fees.
- Answer Preliminary Questions: Go through H&R Block’s questionnaire about your tax situation (e.g., dependents, savings accounts, charitable donations). Select the options that apply to you. Choose the package that’s right for you. H&R Block offers packages like the “Deluxe” version which may include fees for state and federal filing. The pricing is shown upfront.
- Import or Manually Enter Last Year’s Tax Information: If you filed with another company last year, you can import your previous tax return or enter the information manually.
- Enter Personal Information: Enter your name, social security number, address and filing status (e.g., single, married filing jointly). Enter information for any dependents you may have, such as children or other household members.
- Enter Income Information: Start by adding your W-2 details. You can import it directly from your employer, upload a PDF, take a picture or manually input the information. If applicable, add income details for your spouse or other income sources.
- Add Deductions and Adjustments: H&R Block will provide a list of potential deductions and credits (e.g., charitable contributions, student loan interest). Select and enter the relevant information. If the standard deduction is the best option for you, H&R Block will guide you through that choice. H&R Block will ask you to claim credits, such as the Child Tax Credit. Answer the questions about your eligibility.
- Review and Summarize Your Information: H&R Block will summarize your income, deductions and credits for you to review. Make any necessary corrections before moving on. Answer questions about your health insurance coverage for the year.
- Finalize Federal Taxes: H&R Block will walk you through a final review to make sure everything is correct. You’ll also see an estimate of your refund or the amount you owe.
- Complete State Tax Filing (If Required): If your state requires a tax return, H&R Block will guide you through this process. State requirements vary, so follow the prompts for your state.
- Review, Pay and File: After reviewing all your information, you’ll have the option to upgrade for additional services. Pay any fees for the H&R Block services you used. Set up how you want to receive your refund (e.g., direct deposit) or make payment arrangements if you owe taxes. Download a PDF of your completed tax return for your records.
H&R Block has a guided process so you can complete your tax return with step-by-step instructions tailored to your situation.
Real User Analysis
We went through feedback from hundreds of real users across multiple platforms including Consumer Affairs and Trust Pilot. Our analysis of these user reviews gives you the inside look on how H&R Block and TurboTax perform in real life. Here’s what we found:
| Category | TurboTax | H&R Block |
| Pricing Transparency | Poor (frequent complaints about hidden fees) | Good (clearer pricing structure) |
| User Interface | Excellent (highly rated) | Good (functional but less polished) |
| Customer Support | Fair (long wait times, difficult to reach) | Good (in-person option available) |
| Free Version | Limited (many restrictions) | Better (fewer restrictions) |
| Professional Help | Virtual only | Both virtual and in-person |
| Accuracy | Good (some issues with state taxes) | Good (some issues with complex returns) |
| Value for Money | Fair (expensive but feature-rich) | Good (better pricing for basic needs) |
| Technical Reliability | Good (few technical issues) | Fair (more reports of glitches) |
TurboTax
What Users Love:
- Intuitive Interface: The step-by-step guidance consistently receives praise, with users comparing it to “having a smart friend walk you through taxes”
- Comprehensive Features: Particularly strong for handling multiple income streams, investments, and self-employment income
- Smart Technology: Automatic form recognition, photo upload capabilities, and seamless integration with financial institutions
- Live Support Quality: When available, the live chat experts receive high marks for knowledge and helpfulness
Common Frustrations:
- Aggressive Upselling: The most frequent complaint (42% of negative reviews) mentions constant pressure to upgrade
- Price Creep: Users often report starting with the free version but ending up paying $100-300 after required upgrades
- Support Delays: During peak season (February-April), wait times for support regularly exceed 1-2 hours
- Hidden Requirements: Many users discover mid-process that they need to upgrade to file certain common forms
H&R Block
What Users Love:
- Transparent Pricing: Most frequently praised aspect (mentioned in 35% of positive reviews)
- Physical Presence: The option for in-person support provides peace of mind
- Free Version Value: Notably more inclusive than competitors, handling many common tax situations without forcing upgrades
- Consistency: Long-term users report reliable experiences year after year
Common Frustrations:
- Technical Issues: The most common complaint (38% of negative reviews) relates to platform glitches or slowdowns
- Inconsistent Expertise: In-person experiences vary significantly by location
- Interface Learning Curve: First-time users often find the platform less intuitive than TurboTax
- Communication Gaps: Users report difficulties reaching their assigned tax professionals or getting timely responses
Best Suited For
- TurboTax:
- Tech-savvy users
- Self-employed individuals
- Investors with complex portfolios
- Those willing to pay more for a smoother experience
- H&R Block:
- Budget-conscious filers
- Those who prefer in-person support options
- Users with straightforward tax situations
- Those who value pricing transparency over cutting-edge features
Switching to an Accountant
Interestingly, we noticed a trend of users switching from DIY software to professional accountants as their tax situations become more complex. Here’s what we found:
- Personalized Service: Many users who switched to an accountant praised the personalized attention they received. A TrustPilot reviewer noted, “After years of using TurboTax, I switched to an accountant. The difference in personalized advice was night and day.”
- Cost-Benefit Analysis: Some users found that the cost of an accountant was offset by the additional deductions they found. On Consumer Affairs, a user shared, “My accountant’s fee was higher than TurboTax, but she found deductions I had missed for years. It more than paid for itself.”
- Complex Situations: Users with complicated tax situations, such as owning a business or having multiple income streams, often found greater value in using an accountant. A TrustPilot user commented, “Once I started my own business, H&R Block couldn’t keep up. My accountant has saved me thousands in taxes.”
- Peace of Mind: Many users cited increased confidence in their tax filing as a reason for switching to an accountant. A Consumer Affairs reviewer stated, “The peace of mind knowing a professional is handling my taxes is worth every penny.”
While accountants offer a valuable alternative for those with more complex tax needs. TurboTax is often praised for its user-friendly interface and comprehensive feature set, while H&R Block is commended for its transparent pricing and in-person support options.
However, as tax situations become more complex, many users find the personalized service and expertise of an accountant to be invaluable. Your choice among these options might depend on your specific tax situation, budget, and the level of personalized support you require. Remember, what works best for one taxpayer might not be the ideal solution for another. Consider your unique needs when making your decision.
The Accountant Option
The elephant in the room – hiring an accountant. I know what you’re thinking: “Isn’t that just for rich people or big businesses?” Well, not necessarily. In fact, you might be surprised to learn that an accountant could be your secret weapon for taxes, especially if your financial life is getting a bit… complicated.
Sometimes your tax situation outgrows TurboTax or H&R Block. It’s like trying to fix a leaky pipe with duct tape; it might work for a while but eventually you’re going to need a professional.
Still on the fence? Here are some specific scenarios where an accountant’s knowledge can make a big difference:
- Complex Business Structures: If you have a business with a complex structure, such as an S-corporation or a partnership with multiple owners, an accountant is essential. For example: You have an S-corporation with several shareholders and recently expanded into a new state. An accountant can navigate multi-state taxation, ensure proper allocation of income among shareholders and help you understand the tax implications of your business expansion.
- Investment and Rental Property Portfolios: If you have multiple investment properties or rental properties, the tax implications can get complicated fast. If you have several rental properties across different states and a mix of long-term and short-term rentals (like Airbnb). An accountant can help you maximize deductions for each property, navigate state tax laws and ensure you’re correctly reporting income from various rental arrangements.
- International Income or Assets: If you have income from foreign sources or assets held abroad, the tax reporting requirements can be particularly tricky. Let’s say you’re a U.S. citizen working for a foreign company, with investments in overseas markets and a foreign bank account. An accountant can guide you through complex reporting requirements like the Foreign Bank and Financial Accounts (FBAR) report and help you navigate tax treaties to avoid double taxation. They can also advise on the Foreign Earned Income Exclusion and foreign tax credits.
- Major Life Changes with Tax Implications: Certain life events have significant and complicated tax implications that are hard to navigate with software alone. Like going through a divorce and needing to divide assets, including a business, retirement accounts and real estate. An accountant can provide guidance on the tax implications of asset division, alimony payments and changes in filing status. They can help structure the divorce settlement in a tax-efficient manner and ensure you’re aware of potential tax pitfalls.
- Estate Planning and Inheritance: Dealing with estates and inheritances often involves complex tax situations that require professional expertise. If you’ve inherited a large estate that includes a mix of assets like real estate, stocks and a family business. An accountant can help value inherited assets, advise on the tax implications of different inheritance scenarios and help with estate tax returns if necessary. They can also provide guidance on strategies to minimize estate taxes for future generations.
- Catching Up on Back Taxes: If you’re behind on your taxes or have unfiled returns from previous years, an accountant is crucial in resolving the situation. An accountant can help you gather necessary documentation, prepare past-due returns and negotiate with the IRS if needed. They can also advise on payment plans or other options to resolve tax debt.
In these situations, an accountant’s expertise goes beyond what tax software can do. While the upfront cost may be higher, the long-term benefits in terms of tax savings, compliance and peace of mind can be big. An accountant doesn’t just fill out forms; they provide strategic advice, help you plan for the future and ensure you’re making the most tax-efficient decisions possible.
Remember, tax laws are complicated and changing. If you find yourself in any of these situations or unsure of the complexity of your tax situation, consulting with a professional accountant can be a smart investment in your future.
DIY Software vs. Hiring an Accountant
| DIY Software (H&R Block, TurboTax) | Professional Help (Accountant) | |
| Cost | Cheaper upfront. Ranges from free to about $120 for federal returns, with additional costs for state returns or live assistance. | Pricier. Typically $40 to $400 per hour, depending on complexity and accountant’s expertise. |
| Benefit | Quick and easy for simple returns. Convenient to do from home, and suitable for basic tax situations. | Potential long-term savings. Accountants can catch deductions, plan strategically, and help avoid costly mistakes. |
If your taxes are straightforward, DIY software might be just fine. But if your financial life is complex, or you want to make sure you’re not leaving money on the table, an accountant could be worth every penny.
Common Mistakes Made by DIY Filers
When you’re filing your taxes on your own, it’s easy to make mistakes that could cost you money or cause headaches down the road. Let me walk you through some common pitfalls you’ll want to watch out for:
- Missing Deductions: You might be leaving money on the table without even realizing it. Maybe you forgot about that home office setup you invested in or those charitable donations you made throughout the year. Software can only work with what you tell it, so if you’re not aware of all the deductions you’re eligible for, you could miss out on some serious savings.
- Miscalculating Complex Income: If your financial life is a bit more complicated – say you’re juggling a side gig along with your day job, or you’ve got investments bringing in extra cash – things can get tricky fast. It’s not just about adding up numbers; it’s about understanding how different types of income are taxed. One small slip-up here could mean paying more than you need to, or worse, catching the IRS’s attention in a way you didn’t intend.
- Filing Incorrect Forms: Choosing the right tax forms can feel like navigating a maze, especially if you’re self-employed or have investments. The software might not always catch if you’ve picked the wrong form, and before you know it, you could be filing incorrect information without even realizing it.
- Lack of Strategic Tax Planning: Here’s something crucial that DIY methods often can’t give you: a solid tax strategy. Think about it – taxes aren’t just a once-a-year headache. With some smart planning throughout the year, you could be setting yourself up to pay less, save more, and work towards your financial goals more effectively. It’s about playing the long game, not just scrambling to fill out forms come tax season.
Remember, while DIY tax software can be great for straightforward situations, don’t be afraid to call in reinforcements if things start feeling overwhelming. Sometimes, chatting with a pro can save you more than just money – it can save you stress and set you up for success in the long run.
Now, What Next?
H&R Block or TurboTax is just the start. Knowing your needs, budget and the complexity of your situation is key to making a smart decision.
Remember, it’s not just about filing your taxes, it’s about your financial future. While DIY software like H&R Block and TurboTax are convenient and affordable, they don’t always provide the personalized guidance and planning a professional accountant can.
Don’t let tax season stress you out. By carefully considering your options and weighing the pros and cons of each, you can choose the tax preparation method that best suits your needs and helps you achieve your financial goals.