How Much Does It Cost to Form an LLC? Fees by State

Quick answer

Forming an LLC costs $35 to $500 in state filing fees. Most states charge between $50 and $200. Montana is the cheapest at $35. Massachusetts is the most expensive at $500.

The filing fee is only part of the cost. Most states also charge an annual or biennial report fee, from $0 to $500 a year. California adds an $800 annual tax, which makes it one of the most expensive states to keep an LLC.

Optional costs include a registered agent service ($100 to $300 a year) and a formation service ($0 to $300). The EIN from the IRS is free.

LLC fees by state (2026)

The table below lists state formation fees and recurring report or franchise fees for a domestic LLC. States marked with * show different amounts in different compiled sources, often because of online convenience fees or a recent change. Always confirm on your Secretary of State’s website before filing, because fees change.

State Filing fee Annual or biennial fee How often
Alabama $200 $50 minimum business privilege tax Annual
Alaska $250 $100 Every 2 years
Arizona $50 $0 No annual report
Arkansas $45 $150 franchise tax Annual
California $70 $800 annual tax, plus $20 Statement of Information Annual tax; statement every 2 years
Colorado $50 $25 Annual
Connecticut $120 $80 Annual
Delaware $110 $400 annual tax Annual
District of Columbia $99 $300 Every 2 years
Florida $125 $138.75 Annual
Georgia* $110 $60 Annual
Hawaii $50 $15 Annual
Idaho $100 $0 (report required) Annual
Illinois $150 $75 Annual
Indiana* $95 $30 Every 2 years
Iowa $50 $30 Every 2 years
Kansas* $160 $50 Annual
Kentucky $40 $15 Annual
Louisiana* $125 $35 Annual
Maine $175 $85 Annual
Maryland $100 $300 Annual
Massachusetts $500 $500 Annual
Michigan $50 $25 Annual
Minnesota $155 $0 (renewal required) Annual
Mississippi $50 $0 (report required) Annual
Missouri $50 $0 No annual report
Montana $35 $20 Annual
Nebraska* $100 $13 Every 2 years
Nevada $425 $350 (annual list plus business license) Annual
New Hampshire $100 $100 Annual
New Jersey $100 $75 Annual
New Mexico $50 $0 No annual report
New York $200 (plus publication) $9 Every 2 years
North Carolina $125 $200 Annual
North Dakota $135 $50 Annual
Ohio $99 $0 No annual report
Oklahoma $100 $25 Annual
Oregon $100 $100 Annual
Pennsylvania $125 $7 Annual
Rhode Island $150 $50 Annual
South Carolina $110 $0 No annual report
South Dakota $150 $55 Annual
Tennessee $300 minimum $300 minimum Annual
Texas $300 $0 for most (Public Information Report) Annual
Utah* $59 $18 Annual
Vermont $155 $45 Annual
Virginia $100 $50 Annual
Washington* $200 $60 Annual
West Virginia $100 $25 Annual
Wisconsin $130 $25 Annual
Wyoming $100 $60 minimum Annual

Fees shown are standard state fees as compiled by LLC University in 2026. Online filing may add a small card or portal fee. Expedited processing costs extra in most states.

The fees that don’t show up in the table

Publication requirements

A few states require you to publish a notice of your new LLC in newspapers. New York is the costly one: publication often runs from under $100 to over $1,000 depending on the county, plus a $50 certificate of publication fee. Arizona and Nebraska also have publication or notice rules.

State taxes on LLCs

  • California: $800 minimum annual tax every year, plus an LLC fee once California income reaches $250,000.
  • Tennessee: franchise and excise taxes can apply to LLCs.
  • Texas: franchise tax, but most small LLCs owe $0 because revenue is under the $2.65 million no-tax-due threshold for 2026 and 2027 reports. They still file an information report.
  • Delaware: flat annual LLC tax, due June 1.

Registered agent

Every LLC needs a registered agent. You can serve as your own if you have a street address in the state. Services usually charge $100 to $300 a year. Our article Do I Need a Registered Agent for My LLC? explains the trade-offs.

Local licenses and DBA

Your city or county may require a business license. See Do Freelancers Need a Business License?. A DBA filing typically costs $10 to $100.

What’s free

  • EIN: free from the IRS. Avoid sites that charge for it.
  • BOI report: US-formed LLCs no longer file one. FinCEN’s March 2025 interim final rule exempted domestic companies, and an August 2026 final rule made the exemption permanent.

Worked example: five-year cost in five states

This compares state fees only for a freelancer who forms an LLC in January 2026 and keeps it five years. It assumes you act as your own registered agent.

State Formation Recurring fees over 5 years 5-year total
Arizona $50 $0 $50
Texas $300 $0 franchise tax (below threshold) $300
Florida $125 4 annual reports × $138.75 = $555 $680
Massachusetts $500 4 annual reports × $500 = $2,000 $2,500
California $70 5 × $800 annual tax + 3 × $20 statements = $4,060 $4,130

California’s $800 tax applies from the first year, so a California LLC costs more than 80 times as much as an Arizona LLC over five years. Add $125 to $300 a year if you hire a registered agent.

Is the fee deductible?

Yes. State filing fees, annual report fees and registered agent fees are business expenses. Formation costs are start-up or organizational costs: you can generally deduct up to $5,000 of organizational costs in the first year, with the rest amortized over 15 years. For a single-member LLC, these go on Schedule C. See Self-Employed Tax Deductions: The Complete List.

How to keep costs down

  1. File yourself on the state website instead of paying a service markup.
  2. Form in your home state. Forming elsewhere usually means paying a second state to register as a foreign LLC.
  3. Put report deadlines on your calendar. Late fees and administrative dissolution cost far more than the report.
  4. Skip the S-corp election until your profit justifies the payroll costs.

Frequently asked questions

What is the cheapest state to form an LLC?

Montana has the lowest filing fee at $35. Arizona, Missouri, New Mexico and Ohio have low filing fees and no annual report fee. But you usually need to form where you live and work.

Do I have to pay the California $800 tax in my first year?

Yes. The first-year exemption only applied to tax years beginning in 2021 through 2023. For 2026, the $800 is due by the 15th day of the fourth month after you form the LLC.

Are LLC fees the same every year?

No. States change fees, and many add online convenience fees. Check the state website before you file.

Do I have to pay for an EIN?

No. The IRS issues EINs for free online, usually in minutes.

This article is general information, not legal or tax advice. Fees change often: confirm current amounts with your state before filing.

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About this guide

Written by the Freelancer Tax HQ editorial team, based on our professional experience, official US government sources (IRS, SSA and other agencies) and reputable informational articles listed in the sources below. Last reviewed on . Tax rules change often, and we update this guide when they do. Read our editorial policy or report an error.

Sources

LLC University: LLC Annual Fees by State; LLC Compass: LLC Filing Fees by State 2026; New Jersey Division of Revenue fee schedule; California Secretary of State: LLC fees; California FTB: Limited Liability Company; Texas Comptroller: Franchise Tax; FinCEN: BOI reporting. Example figures are FreelancerTaxHQ illustrations.

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