8 months ago · Updated 2 days ago
The cost to form an LLC in the U.S. ranges from $35 to $500 for the initial filing fee alone — and that's before annual report fees, franchise taxes, or registered agent costs. Without a clear breakdown, it's easy to budget wrong and get hit with surprise expenses in year two.
This free LLC cost calculator compares state filing fees, annual or biennial report fees, and a practical first-year planning total for all 50 states. State fees and tax rules can change, and some states add county, publication, tax, or licensing costs that do not fit neatly into one table. Use the state-specific guide and official filing source before you pay. Kentucky's figures were rechecked on September 21, 2026.
LLC Costs by State — Complete 2026 Table
The table below shows reference filing fees, recurring fees and a planning subtotal for all 50 states. It is not an all-inclusive quote. Three-year figures assume formation plus two following calendar years and standard recurring payments; filing methods, dates, taxes and local charges can change the total. The costs are divided into three groups so you can quickly identify where your state falls.
Cheapest States — Under $100 Year 1
If you want to minimize startup costs, these states offer the lowest combined filing and annual fees. However, remember that you should only form in a cheap state if you actually live and do business there. Otherwise, you will end up paying fees in two states instead of one.
| State | Filing Fee | Recurring State Fee | Frequency | Year 1 (state) | 3 Years (state) |
|---|---|---|---|---|---|
| Montana | $35 | $0 if filed on time | Annual (free) | $35 | $35 |
| Kentucky | $40 | $15 | Annual | $40 + county recording | $70 + county recording |
| Arkansas | $45 | $150 (franchise tax report) | Annual | $45 | $345 |
| Arizona | $50 | $0 | None | $50 + publication if required | $50 + publication if required |
| Colorado | $50 | $25 | Annual | $50 | $100 |
| Hawaii | $50 | $12.50 online / $15 paper | Annual | $50 | $75 online |
| Iowa | $50 | $30 | Every 2 years | $50 | $80 |
| Michigan | $50 | $25 | Annual | $50 | $100 |
| Mississippi | $50 | $0 | Annual (free) | $50 | $50 |
| Missouri | $50 | $0 | None | $50 | $50 |
| New Mexico | $50 | $0 | None | $50 | $50 |
| Utah | $59 | $18 | Annual | $59 | $95 |
| Kansas | $85 | $90 online / $110 paper | Every 2 years | $85 | $175 online |
| Indiana | $95 | $32 | Every 2 years | $95 | $127 |
| Ohio | $99 | $0 | None | $99 | $99 |
Mid-Range States — $100 to $200 Year 1
Most states fall into this category. Although the initial filing fee is moderate, the ongoing annual report fees vary significantly within this group. As a result, it is worth comparing not just the year 1 total but also the year 2+ ongoing cost before making a final decision.
| State | Filing Fee | Recurring State Fee | Frequency | Year 1 (state) | 3 Years (state) |
|---|---|---|---|---|---|
| Idaho | $100 | $0 | Annual (free) | $100 | $100 |
| Nebraska | $100 | $30 | Every 2 years | $100 + publication | $130 + publication |
| New Hampshire | $100 | $100 | Annual | $100 | $300 |
| New Jersey | $100 | $75 | Annual | $100 | $250 |
| Oklahoma | $100 | $25 | Annual | $100 | $150 |
| Oregon | $100 | $100 | Annual | $100 | $300 |
| Virginia | $100 | $50 (annual registration) | Annual | $100 | $200 |
| West Virginia | $100 | $25 | Annual | $100 | $150 |
| Wyoming | $100 | $60 minimum | Annual | $100 | $220 |
| Georgia | $110 | $60 | Annual | $110 | $230 |
| South Carolina | $110 | $0 | None | $110 | $110 |
| Connecticut | $120 | $80 | Annual | $120 | $280 |
| Florida | $125 | $138.75 | Annual | $125 | $402.50 |
| Louisiana | $125 | $35 | Annual | $125 | $195 |
| Pennsylvania | $125 | $7 | Annual | $125 | $139 |
| Wisconsin | $130 | $25 | Annual | $130 | $180 |
| North Dakota | $135 | $50 | Annual | $135 | $235 |
| Illinois | $150 | $75 | Annual | $150 | $300 |
| Rhode Island | $150 | $50 | Annual | $150 | $250 |
| South Dakota | $150 | $55 | Annual | $150 | $260 |
| Minnesota | $155 | $0 | Annual (free) | $155 | $155 |
| Vermont | $155 | $45 | Annual | $155 | $245 |
| Maine | $175 | $85 | Annual | $175 | $345 |
| Washington | $180 + $10 | $70 | Annual | $190 | $330 |
Most Expensive States — $200+ or High Ongoing Costs
These states are either expensive to start in, expensive to maintain, or both. Several of them have hidden costs that are not immediately obvious. For instance, California's $70 filing fee looks cheap, but the mandatory $800/yr franchise tax makes it one of the most expensive states in the long run. Similarly, New York's $200 filing fee does not reflect the $300–$1,500 publication requirement.
| State | Filing Fee | Recurring State Fee | Frequency | Year 1 (state) | 3 Years (state) |
|---|---|---|---|---|---|
| Maryland | $100 | $300 | Annual | $100 | $700 |
| Delaware | $110 | $400/yr tax (no report) | Annual tax | $110 | $910 |
| North Carolina | $125 | $200 | Annual | $125 | $525 |
| Alabama | $200 + $25 | $0 | None | $225 | $225 |
| Alaska | $250 | $100 | Every 2 years | $250 | $350 |
| New York | $200 + $50 | $9 | Every 2 years | $250 + publication | $259 + publication |
| Tennessee | $300 | $300+ ($50/member) | Annual | $300 (1-6 members) | $900 (1-6 members) |
| Texas | $300 | $0 (Public Information Report) | Annual (free) | $300 | $300 |
| Nevada | $75 + $350 | $350 (list + business license) | Annual | $425 | $1,125 |
| Massachusetts | $500 | $500 | Annual | $500 | $1,500 |
| California | $70 + $20 | $20 every 2 yrs + $800/yr tax | Every 2 years | $890 | $2,510 |
LLC cost calculator: formation and three-year planning
Reference figures for an ordinary domestic LLC. These are a planning scenario, not a filing quote or a bill. Choose a state, then edit the amounts to match your filing method and actual quotes. A zero optional amount means not budgeted, not necessarily free.
Scope, assumptions and sources
Formation year plus the next two calendar years; no individual due-date calculation. Default counts are two annual payments or one biennial payment. Dates, short tax years, waivers and filing methods can change the actual cash flow. Verify your entity record and change the count if necessary. California includes its general $800 annual LLC tax from year one and a later $20 statement. Kentucky includes a typical $33 county recording charge for a short filing. Tennessee uses $50 per member with a $300 minimum and $3,000 maximum. Wyoming uses its $60 minimum, which can increase with Wyoming assets. New York, Nebraska and some Arizona LLCs need separate publication quotes.
Income-based taxes, tax preparation, insurance, inventory, payroll, rent, foreign registration, expedited processing and local requirements are excluded unless you enter them. No private provider discount is assumed. Recurring references are aligned with our 50-state report tracker; formation references retained from the cost guide have not all been independently reverified in this update. Confirm the source and checkout before paying.
Required costs — every LLC pays these
State Filing Fee Required
This is the fee your state charges to process your Articles of Organization and officially create your LLC. It is non-negotiable — every state requires it. Specifically, filing fees range from $35 in Montana to $500 in Massachusetts. Most states fall between $50 and $150.
Annual Report Fee Required in most states
Most states require LLCs to file an annual or biennial report to keep records current. The fee varies widely — from $0 in Arizona, Missouri, and New Mexico to $500/yr in Massachusetts. Furthermore, this is the cost most entrepreneurs overlook when choosing a state. A state that looks cheap to start in can consequently become very expensive to maintain.
Registered Agent Required in all states
Every LLC must maintain a registered agent that satisfies the rules of its formation state. In many states, an eligible owner or another qualifying person can serve without paying a commercial-agent fee. Professional services set their own prices and may bundle document forwarding, privacy features, compliance reminders, or formation assistance, so compare the current renewal terms rather than relying on an old advertised rate.
EIN — Federal Tax ID Free
An EIN is a federal tax identification number used in many common banking, tax, and employment situations. The IRS issues EINs for free. Eligible applicants using the IRS online process can receive the number immediately after completing the application; fax, mail, and international application routes follow different timelines.
State-specific surprise costs
Several states have hidden costs that are not immediately obvious from the filing fee alone. That makes it important to check your specific state before committing to a formation location.
| State | Hidden / Extra Cost | Amount | When |
|---|---|---|---|
| Kentucky | County copy + LLET for many for-profit LLCs | $33 county + $175 minimum LLET* | Formation + taxable year |
| California | Minimum franchise tax | $800/yr | Year 1+ |
| New York | Publication requirement (2 newspapers) | $300–$1,500+ | One-time |
| Nevada | Annual List + State Business License | $350/yr | Annual |
| Delaware | Annual LLC tax (due June 1) | $400/yr | Annual |
| Maryland | Annual report fee | $300/yr | Annual |
| Tennessee | Annual report + franchise tax + 6.5% excise tax | $300+/yr | Annual |
| Massachusetts | Highest filing + annual fees in the U.S. | $500 + $500/yr | Both |
*Kentucky's LLET is a tax obligation, not a Secretary of State filing fee, and exemptions or different calculations can apply. The $175 figure is the minimum for many subject entities, not a universal charge for every LLC.
Optional costs worth considering
Formation services are optional. If you prefer not to prepare and submit the filing yourself, a private provider can handle the formation paperwork and may bundle registered-agent or compliance features. Provider pricing and renewal terms change, so keep the service charge separate from the government filing fees shown in this calculator and check the current checkout before ordering.
Should You Form Your LLC in a Different State?
Every year, thousands of entrepreneurs form LLCs in Wyoming, Delaware, or Nevada after reading that these are "the best states for business." In most cases, however, this is a costly mistake for small business owners.
The foreign LLC problem explained
For many small businesses, forming where the business is genuinely based and operated is the simplest route. A different formation state can make sense in particular legal, ownership, investment, or operational situations, but it should be chosen for a real business reason rather than a headline filing fee alone.
After you know your costs — what's next?
Once you understand the likely costs, the next step is to move through the formation tasks in a sensible order.
Check your LLC name availability
Before filing, verify your LLC name against the appropriate state records. Our free LLC name availability checker helps you locate the official state search and work through the availability check before submitting formation documents.
Follow your state's formation steps
Each state has a specific process. Find your state's complete step-by-step guide in our how to start an LLC section — all 50 states, updated 2026.
Choose your registered agent
Every LLC needs a registered-agent arrangement that satisfies its state's rules. You can compare DIY and professional options in our registered agent services comparison, including current pricing and renewal terms.
Get your EIN for free
Apply directly through the IRS when your LLC needs an EIN; the federal application itself is free. An EIN is required in several common employment and tax situations and is frequently requested for business banking.
Affiliate disclosure: If you purchase through the sponsored link below, LLCStarters may earn a commission at no additional cost to you. The calculator and state-fee information are not conditioned on using a paid provider.
LLC Cost Calculator — Frequently Asked Questions
Filing Fees and State Costs
How much does it cost to start an LLC?
The government cost depends on the state and can include more than the initial Articles filing. Some jurisdictions also add initial reports, publication, county filings, business licenses, franchise taxes, or other state taxes. Optional registered-agent and formation services are separate private costs. Use the calculator as a planning tool, then confirm the current state-specific requirements before filing.
What is the cheapest state to form an LLC?
By the headline state filing fee alone, Montana is among the lowest-cost states and Kentucky charges only $40 at the Secretary of State. That does not make Kentucky a $40 all-in formation: a typical short Articles filing also requires a $33 county-clerk recording step. More broadly, choosing a state only because its filing fee is low can backfire if your actual business activity creates foreign-registration or tax obligations elsewhere.
Are there states with no annual LLC fee?
Yes. Arizona, Missouri, New Mexico, Ohio, and South Carolina do not require LLCs to pay an annual report fee. Some of these states, however, still require filing a free annual report. For example, Mississippi and Idaho require the report but charge no monetary fee. As a result, these states are excellent options for minimizing ongoing compliance costs over time.
Can LLC fees be deducted from taxes?
Some LLC formation and ongoing business costs may be deductible, amortizable, or otherwise treated as business expenses, but the tax treatment depends on the type of cost, when the business begins, and the LLC's tax classification. Do not assume every formation fee is an immediate current-year deduction. Keep the receipts and confirm the treatment with a qualified tax professional or current IRS guidance.
California, New York, and High-Cost States
What is California's $800 franchise tax?
California generally charges an $800 annual LLC tax, and for LLCs formed or registered in 2026 the broad first-year exemption that applied to certain 2021–2023 formations no longer applies. The first-year payment is generally due by the 15th day of the fourth month after formation. This is separate from Secretary of State filing and Statement of Information charges, so the $70 formation filing does not represent the full California cost.
Why is a New York LLC so expensive?
Beyond the $200 filing fee, New York requires new LLCs to publish a formation notice in two local newspapers for six consecutive weeks. This publication requirement costs $300–$1,500+ depending on the county. Consequently, New York City LLCs face the highest publication costs in the state. In total, therefore, first-year costs can easily exceed $1,000 before you even factor in a registered agent.
Choosing the Right State for Your LLC
Is the EIN free?
Yes. The IRS does not charge a fee to issue an EIN. Eligible applicants using the IRS online application can receive the EIN immediately after completing the process, while fax, mail, and international routes use different timelines. Whether an LLC needs an EIN depends on its tax and employment situation, although banks commonly request one for business accounts.
Should I form my LLC in Wyoming or Delaware?
Not automatically. Wyoming or Delaware can make sense for particular ownership, investment, legal, or operational reasons, but forming there does not erase obligations in the state where the business actually operates. If your activities trigger foreign qualification elsewhere, you may have filings and compliance in more than one state. Compare the complete structure rather than choosing a state from the filing fee alone.