Deal alert! Northwest will form your LLC for $39 (60% discount). See details.
Note: Some fees mentioned in the video above have changed. Make sure to reference the table below for the most up-to-date information for your Limited Liability Company.
The table below shows LLC annual fees by state.
As of 2025, the average LLC annual fee in the US is $91.
Most states call the LLC annual fee requirement the Annual Report, however, it has many other names:
- Annual Certificate
- Annual List of Members
- Annual Registration Fee
Biennial Report- Biennial Statement
- Business Privilege Tax Return
- Franchise Tax Report
- Periodic Report
- and more
Important: Just because certain states are cheaper than others doesn’t mean you should form an LLC there. It could end up costing you a lot more money. And you could end up illegally “transacting business” in your home state and having to file 2 LLCs (a Domestic LLC and a Foreign LLC). If you haven’t seen our “best state” video yet, make sure to check it out: What’s the best state to form an LLC?
What’s the LLC Filing Fee?
The LLC filing fee is a one-time fee paid to the state to form an LLC. You can think of your LLC filing fee as being one of your LLC startup costs.
What’s the LLC Annual Fee?
The LLC annual fee is an ongoing fee paid to the state to keep your LLC in compliance and in good standing. You can think of Annual Fees as being part of your LLC maintenance costs.
It’s usually paid every 1 or 2 years, depending on the state.
These ongoing fees are required, regardless of your LLC’s income or activity.
Said another way: you have to pay this even if your LLC does nothing at all or makes no money. Failure to pay the annual fee will result in the state dissolving (shutting down) your LLC. This is the case in over 90% of the states.
Need to save time? Hire a company to form your LLC:
Northwest ($39 + state fee) or LegalZoom ($149 + state fee)
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LLC Annual Fees (as of 2025):
| State LLC | LLC Filing Fee | LLC Annual Fee | Due | Payable To & Form Name |
|---|---|---|---|---|
| Alabama LLC | $200 | $50 minimum | 2.5 months after formation and annually by April 15 | AL Department of Revenue, Initial Business Privilege Tax Return |
| Alaska LLC | $250 | $100 | Biennial, January 2 | AK Department of CCED, Biennial Report |
| Arizona LLC | $50 | $0 | No annual fee + no report due | N/A, N/A |
| Arkansas LLC | $45 | $150 | Annual, May 1 | AR Secretary of State, Franchise Tax Report |
| California LLC | $70 | $800 + $20 | Various | CA Franchise Tax Board, Annual LLC Franchise Tax + Stmt. of Information |
| Colorado LLC | $50 | $25 | 5 month window surrounding anniversary month | CO Secretary of State, Periodic Report |
| Connecticut LLC | $120 | $80 | Annual, March 31 | CT Secretary of State, Annual Report |
| Delaware LLC | $110 | $300 | Annual, June 1 | DE Dept. of State, Annual Franchise Tax |
| Florida LLC | $125 | $138.75 | Annual, May 1 | FL Department of State, Annual Report |
| Georgia LLC | $100 | $50 | Annual, April 1 | GA Secretary of State, Annual Registration Fee |
| Hawaii LLC | $50 | $15 | During quarter of anniversary date | HI Business Registration Division, Annual Report |
| Idaho LLC | $100 | $0 (must file an information report, no fee though) | Annual, anniversary month | ID Secretary of State, Annual Report |
| Illinois LLC | $150 | $75 | Annual, anniversary month | IL Secretary of State, Annual Report |
| Indiana LLC | $95 | $30 | Biennial, anniversary month | IN Secretary of State, Business Entity Report |
| Iowa LLC | $50 | $30 | Biennial, April 1 of odd years | IA Secretary of State, Biennial Report |
| Kansas LLC | $160 | $50 | Annual, April 15 | KS Secretary of State, Annual Report |
| Kentucky LLC | $40 | $15 | Annual, June 30 | KY Secretary of State, Annual Report |
| Louisiana LLC | $100 | $35 | Annual, anniversary month | LA Secretary of State, Annual Report |
| Maine LLC | $175 | $85 | Annual, June 1 | ME Secretary of State, Annual Report |
| Maryland LLC | $100 | $300 | Annual, April 15 | MD State Dept. of Assessments, Personal Property Tax |
| Massachusetts LLC | $500 | $500 | Annual, anniversary month | MA Secretary of the Commonwealth, Annual Report |
| Michigan LLC | $50 | $25 | Annual, February 15 | MI Dept. of LARA, Annual Report |
| Minnesota LLC | $155 | $0 (must file an information report, no fee though) | Annual, December 31 | MN Secretary of State, Annual Report |
| Mississippi LLC | $50 | $0 (must file an information report, no fee though) | Annual, April 15 | MS Secretary of State, Annual Report |
| Missouri LLC | $50 | $0 | No annual fee + no report due | N/A, N/A |
| Montana LLC | $35 | $20 | Annual, April 15 | MT Secretary of State, Annual Report |
| Nebraska LLC | $100 | $13 | Biennial, April 1 of odd years | NE Secretary of State, Biennial Report |
| Nevada LLC | $425 | $350 | Annually, anniversary month | NV Secretary of State, Annual List of Members + Business License |
| New Hampshire LLC | $100 | $100 | Annual, April 1 | NH Secretary of State, Annual Report |
| New Jersey LLC | $125 | $75 | Annual, anniversary month | NJ Department of Treasury, Annual Report |
| New Mexico LLC | $50 | $0 | No annual fee + no report due | N/A, N/A |
| New York LLC | $200 | $9 | Biennial, anniversary month | NY Department of State, Biennial Statement |
| North Carolina LLC | $125 | $200 | Annual, April 15 | NC Secretary of State, Annual Report |
| North Dakota LLC | $135 | $50 | Annual, November 15 | ND Secretary of State, Annual Report |
| Ohio LLC | $99 | $0 | No annual fee + no report due | N/A, N/A |
| Oklahoma LLC | $100 | $25 | Annual, anniversary month | OK Secretary of State, Annual Certificate |
| Oregon LLC | $100 | $100 | Annual, anniversary month | OR Secretary of State, Annual Report |
| Pennsylvania LLC | $125 | $7 | Annual, September 30 (starting in 2025) | PA Department of State, Annual Report |
| Rhode Island LLC | $150 | $50 | Annual, February 1 - May 1 | RI Secretary of State, Annual Report |
| South Carolina LLC | $110 | $0 | No report due unless LLC files taxes as an S-Corp | N/A, N/A |
| South Dakota LLC | $150 | $50 | Annual, anniversary month | SD Secretary of State, Annual Report |
| Tennessee LLC | $300 | $300 minimum | Annual, April 1 | TN Secretary of State, Annual Report |
| Texas LLC | $300 | $0 for most LLCs (however a Public Information Report must be filed every year) | Annual, May 15 | TX Comptroller, Public Information Report + Franchise Tax |
| Utah LLC | $59 | $18 | Annual, anniversary month | UT Department of Commerce, Annual Report |
| Vermont LLC | $155 | $45 | Annual, March 15 | VT Secretary of State, Annual Report |
| Virginia LLC | $100 | $50 | Annual, anniversary month | VA Corporation Commission, Annual Registration Fee |
| Washington LLC | $200 | $60 | Annual, anniversary month | WA Secretary of State, Annual Report |
| Washington DC LLC | $99 | $300 | Biennial, April 1 | DCRA, Biennial Report |
| West Virginia LLC | $100 | $25 | Annual, July 1 | WV Secretary of State, Annual Report |
| Wisconsin LLC | $130 | $25 | Annual, anniversary quarter | WI Secretary of State, Annual Report |
| Wyoming LLC | $100 | $60 minimum | Annual, anniversary month | WY Secretary of State, Annual Report |
LLC Annual Fees FAQs
Which state has the lowest LLC fees?
The following states don’t have Annual Report fees:
- Arizona
- Idaho
- Minnesota
- Mississippi
- Missouri
- New Mexico
- Ohio
- South Carolina (unless you file as an S-Corp. However, this is rare.)
- Texas
Note: Most Texas LLCs don’t have to pay an annual fee. This is because most Texas LLCs make less than $2.47 million per year.
However, many states require other ongoing fees to conduct business in the state – like annual business license filing fees.
Additionally, local requirements at the city, state, and county levels may also mean your LLC has ongoing costs separate from any annual report fee requirements.
We recommend checking with your local municipality to see if your Limited Liability Company needs to pay for business licensing – or any other associated fees – at the local level.
Do I have to update my Operating Agreement annually?
No, you don’t have to update your Operating Agreement annually.
An Operating Agreement is an internal document, meaning that you simply keep it with your business records. You don’t have to file your Operating Agreement with the Secretary of State or any other state or federal agency.
That said, you should update your Operating Agreement if you change any of the processes that it governs, like how your business will distribute profits, rules around adding a new LLC Member, and who will be the responsible party for any payroll or state and federal tax purposes.
If you need an Operating Agreement for your Limited Liability Company, we offer free LLC Operating Agreement templates.
What are the benefits of an LLC?
The first benefit of an LLC is LLC asset protection. Meaning, if your business is sued, your personal assets – like your home, cars, and bank accounts – are protected.
This protection applies to all LLC owners (called LLC Members). It doesn’t matter if you have a Single-Member LLC or Multi-Member LLC. All of the LLC owners are protected from the business debts and liabilities of the business.
This type of protection wouldn’t apply if you operate as a Sole Proprietorship or Partnership. With these types of informal business structures, the owners aren’t protected in the event of a lawsuit. For that reason, Limited Liability Companies (LLCs) are a much more common business structure than a Sole Proprietorship or Partnership.
Another benefit is LLC pass-through taxation. This means the LLC itself doesn’t pay federal taxes on income to the Internal Revenue Service (IRS). Instead, the profits “pass through” to the LLC Members. And the Members report and pay the taxes on their personal income tax return.
To learn more, please see How are LLCs Taxed.
How to start an LLC step-by-step:
Here are the steps to start an LLC:
Choose an LLC name and make sure it’s available- Choose who will be your Registered Agent
- File the LLC Articles of Organization
- Complete and sign an LLC Operating Agreement
- Get a Federal Tax ID Number (EIN) from the IRS
- Open an LLC bank account
- Check whether you need a business or sales tax license
We’ll walk you through it all with our step-by-step guides.
Matt holds a Bachelor's Degree in business from Drexel University with a concentration in business law. He performs extensive research and analysis to convert state laws into simple instructions anyone can follow to form their LLC - all for free! Read more about Matt Horwitz and LLC University.
I am planning on engaging in stock trading as a side business in NY. I would like to incorporate at some point this summer. I guess I am not sure which type of llc maximizes tax advantages and protects assets from lawsuits. It would only be myself (perhaps my wife as part of the llc). Is it better for a llc to be taxed as a corporation or as a sole proprietorship? I just don’t know where to start.
Hi Joshua, in general, trading is a low-risk business, since you (or your LLC) don’t engage with customers, vendors, etc. For a Single-Member LLC, the default treatment is that the LLC is taxed as a Sole Proprietorship (see LLC taxed as Sole Proprietorship). This is the most common. LLC taxed as C-Corporation isn’t uncommon or tax advantageous for most people. You can also check out how are LLCs taxed. If you decide to form the LLC yourself, please see our New York LLC course. If you prefer to hire someone to file for you, please see best LLC services. Hope that helps.
I have an LLC in MA. I had a physical store for 9 years and shut it down because of rent increases. I still have invent and sell online. Can I move my LLC to a more friendly state and (not $500 a year for reports)
Thanks.
Hi Michael, technically if you form the LLC out of state, you’re supposed to register it as a Foreign LLC in Mass. So you end up paying the $500 per year for Massachusetts LLC Annual Report plus the fees in the other state.
But let’s say you didn’t and you just form an LLC in another state. If caught (for failure to register as a Foreign LLC in MA), the Secretary of State can impose a penalty of $500/year (for every not registered; as per Section 54 of Chapter 156C). Plus you’d need to file back Annual Reports for all years not registered. In short, the penalty is about $1,000 per year (for every year not registered).
So it’s a risk-reward scenario. Just bite the bullet and pay the $500 per year (using a MA LLC), or form an LLC in another state to save money (but you run the risk that it could cost more in the long run if caught).
I need HSBC account how is possible,I am from Pakistan
As a LLC is right or any other way, kindly briefly mail me.
Hi Ubaid, we’re not familiar with the the process of opening HSCB bank accounts. Also, at this time, non-US residents are generally having a hard time opening bank accounts. Please see non-US resident LLC bank account (please see the comments).
Matt, the information you provide at the LLC University site is excellent and very well explained. Thanks you.
Hey Charu! Thanks so much, that’s so great to hear :) I appreciate your comment.
Hi Matt – I made an LLC in Michigan and sold clothing for that year in college. By the end of the year I closed the bank account to move on to a corporate role. My LLC has had no business activity or sales and I’m sitting on inventory.
Do you have any idea of Michigan late fees? I haven’t filed or done anything with the business since 2018 and just saw the business was not in good standing. Thanks in advance!
Hello, Michigan doesn’t have late fees for Annual Reports that aren’t filed, however, they do have the ability to administratively dissolve (shut down) your LLC if you don’t file for 2 or more years. So you’ll want to check on the status of your LLC, which you can do by contacting LARA and/or searching for your Michigan LLC Name in the state’s database. If the LLC is dissolved, you can pay a fee to restore (reinstate) it. Alternatively, you might be able to form a new LLC using the same name.