The Real Cost of Forming an LLC in Every US State (2026)
Skip to main content<br>All articlesDeep Dive7 min readJuly 16, 2026<br>By Alexander Stylianoudis
The Real Cost of Forming an LLC in Every US State (2026)
Here is the number most incorporation guides bury: for an owner-operator, choosing Delaware adds roughly $2,235 over five years on top of what you would pay anyway. That is $110 to form plus about $425 every year in franchise tax and a registered agent.
What that $2,235 means depends entirely on who you are. For a venture-backed SaaS startup it is a rounding error, and Delaware is genuinely the smart choice: investors and their lawyers expect a Delaware entity, the Court of Chancery and two centuries of case law make disputes predictable, and the financing paperwork is standardized down to the template. Trying to save it by forming elsewhere usually costs more than it saves once you have to convert later.
For a company with real complexity, co-founders, equity to divide, or a genuine privacy need, it can still be money well spent. But for a solo consultant or a bootstrapped e-commerce store running everything from home, that same $2,235 buys a court system you will never set foot in, and the financial and operational cost of keeping a corporation in a state you do not live in can quietly turn into an expensive tangle. Delaware is not a scam. It is just priced for a company you are probably not running yet.
And $2,235 is a floor, not a total. It counts Delaware's own fees only, before the home-state registration and the extra bookkeeping that maintaining a company in a state you do not live in adds, including a higher tax-prep bill for a business filing in two places. The real number runs higher, which only sharpens the point.
The wider pattern is stranger. The states the internet tells you to form in to "save money" or look legitimate, Delaware, Wyoming, Nevada, are usually the ones that cost you more, once you count a fee almost nobody mentions until the bill arrives. The table below has the real numbers for all 50 states and DC. Search your state, then read why the cheapest-looking option often is not.
All-in cost to run an LLC, per year<br>Annual state fee plus a typical registered agent (about $125/yr). Most-searched states, cheapest first.<br>New Mexico$125<br>Missouri$125<br>Texas$125<br>New York$129.5<br>Wyoming$185<br>Florida$263.75<br>Delaware$425<br>Nevada$475<br>California$925<br>Formation is a one-time fee and is shown separately in the table below. Figures reviewed July 2026; verify current rates before filing.
Look up any stateSort byAnnual cost (low to high)Formation fee (low to high)State name (A to Z)<br>StateFormationAnnual state feeAll-in / yrSourceAlabamaThe Business Privilege Tax is fully exempt when the tax due is $100 or less, so most small LLCs owe $0 and need not file.$200$0 for most (Business Privilege Tax)$125✓ verifiedArizonaPublication requirement adds ~$60 to $120 outside Maricopa and Pima counties.$50$0 (no annual report)$125✓ verifiedIdaho$100$0 (annual report required but free)$125✓ verifiedMinnesota$155$0 (annual renewal free in good standing)$125✓ verifiedMississippi$50$0 (annual report free for domestic LLCs)$125✓ verifiedMissouri$50$0 (no annual report)$125✓ verifiedNew MexicoLowest ongoing cost in the country, with no public member disclosure.$50$0 (no annual report, ever)$125✓ verifiedOhio$99$0 (no annual report)$125✓ verifiedSouth Carolina$110$0 (no annual report unless taxed as a corp)$125✓ verifiedTexasNo annual fee, but a Public Information Report and franchise filing are required each year.$300$0 fee (franchise report required; most small LLCs owe $0)$125✓ verifiedNew YorkPublication requirement is the real cost: often $600 to $1,200+ one time, depending on county.$200$9 biennial (~$4.50/yr)$129.5✓ verifiedNebraska$100$13 biennial report (~$6.50/yr)$131.5✓ verifiedPennsylvania$125$7 annual report (new from 2025)$132✓ verifiedHawaii$50$15 annual report ($12.50 online)$140✓ verifiedIowa$50$30 biennial report (~$15/yr)$140✓ verifiedKentucky$40$15 annual report$140✓ verifiedIndiana$95$32 biennial report (~$16/yr)$141✓ verifiedUtah$59$18 annual renewal$143✓ verifiedMontanaFormation fee cut from $70 in 2023.$35$20 annual report$145✓ verifiedColorado$50~$25 periodic report$150✓ verifiedMichigan$50$25 annual statement$150✓ verifiedOklahoma$100$25 annual certificate$150✓ verifiedWest Virginia$100$25 annual report$150✓ verifiedWisconsin$130$25 annual report$150✓ verifiedLouisiana$100$35 annual report ($30 online)$160✓ verifiedVermont$125$45 annual report (online)$170✓ verifiedKansasFormation fee cut from $160 to $85 online in 2026; annual report switched to biennial, amount still settling.$85report moved to biennial in 2026 (~$50/yr, verify)$175listedNorth Dakota$135$50 annual report$175listedVirginia$100$50 annual registration$175✓ verifiedSouth Dakota$150$55 annual report (online; $70 paper)$180✓ verifiedGeorgiaService fee added effective September 2025.$100$60 annual registration ($50 plus $10...