Note: Some fees mentioned in the video above have changed. Make sure to reference the table below for the most accurate information.
The table below shows LLC annual fees by state.
As of 2023, 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 have lower fees does not mean you should form there! It could end up costing you a lot more money. You could end up illegally doing 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 your LLC.
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. It’s usually paid every 1 or 2 years, depending on the state.
This fee is required, regardless of your LLC’s income or activity.
Said another way: you have to pay this. 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.
LLC Annual Fees (as of 2023):
|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||$10||5 month window surrounding |
|CO Secretary of State, Periodic Report|
|Connecticut LLC||$120||$80||Annual, March 31||CT Secretary of State, Annual Report|
|Delaware LLC||$90||$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 No Tax Due Report and Public Information Report must be filed every year)||Annual, May 15||TX Comptroller, Public Information Report + Franchise Tax|
|Utah LLC||$54||$18||Annual, anniversary month||UT Department of Commerce, Annual Report|
|Vermont LLC||$125||$35||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, |
|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:
- New Mexico
- South Carolina (unless you file as an S-Corp. However, this is rare.)
Note: Most Texas LLCs don’t have to pay an annual fee. This is because most Texas LLCs make less than $1,230,000 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 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 income taxes. Instead, the profits “pass through” to the LLC Members. And the Members report and pay the taxes on their personal 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 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, step-by-step.