LLC costs vary dramatically by state — from $40 (Kentucky) to $500 (Massachusetts) for the initial filing, with annual costs that can add hundreds more.
Quick answer: The cheapest states to form an LLC are Kentucky ($40), Colorado ($50), and Arizona ($50 + no annual fee). The most expensive are Massachusetts ($500 + $500/year), California ($70 + $800/year), and New York ($200 + $300–$1,500 publication). Most states fall in the $50–$200 range for filing fees.
LLC Costs for All 50 States
State
Filing Fee
Annual/Biennial Cost
State Income Tax
Notes
Alabama
$200
$10/year (privilege tax minimum)
2%–5%
$100 business privilege tax minimum
Alaska
$250
$100/2 years
None
Biennial report
Arizona
$50
$0
2.55%–2.98% (flat 2.5% in 2026)
No annual report required
Arkansas
$45
$150/year
2%–4.7%
Annual franchise tax
California
$70
$800/year (franchise tax)
1%–13.3%
LLC fee up to $11,790 on revenue over $250K
Colorado
$50
$10/year
4.4% (flat)
Very low ongoing cost
Connecticut
$120
$80/year
3%–6.99%
Annual report
Delaware
$90
$300/year
2.2%–6.6%
Popular for out-of-state formations
Florida
$125
$138.75/year
None
Annual report by May 1
Georgia
$100
$50/year
1%–5.49%
Annual registration
Hawaii
$50
$15/year
1.4%–11%
Annual report
Idaho
$100
$0
5.695% (flat)
No annual report fee
Illinois
$150
$75/year
4.95% (flat)
Annual report
Indiana
$95
$31/2 years
3.05% (flat)
Biennial report
Iowa
$50
$60/2 years
4.4%–6%
Biennial report
Kansas
$160
$55/year
3.1%–5.7%
Annual report
Kentucky
$40
$15/year
4.5% (flat)
Lowest filing fee in the country
Louisiana
$100
$35/year
1.85%–4.25%
Annual report
Maine
$175
$85/year
5.8%–7.15%
Annual report
Maryland
$100
$300/year
2%–5.75%
Annual report + personal property return
Massachusetts
$500
$500/year
5% (flat)
Most expensive filing + annual cost
Michigan
$50
$25/year
4.05% (flat)
Annual statement
Minnesota
$155
$0
5.35%–9.85%
No annual renewal fee
Mississippi
$50
$0
4.7% (flat)
No annual report fee
Missouri
$50
$0
4.8% (flat)
No annual report fee
Montana
$70
$20/year
1%–6.75%
Annual report
Nebraska
$100
$10/2 years
2.46%–5.84%
Biennial report
Nevada
$75
$350/year
None
Business license + annual list
New Hampshire
$100
$100/year
None (income tax on interest/dividends ending)
Annual report
New Jersey
$125
$75/year
1.4%–10.75%
Annual report
New Mexico
$50
$0
1.7%–5.9%
No annual report fee
New York
$200
$9/2 years + publication ($300–$1,500)
4%–10.9%
Publication requirement unique to NY
North Carolina
$125
$200/year
4.5% (flat)
Annual report
North Dakota
$135
$50/year
0%–2.5%
Annual report
Ohio
$99
$0
None (CAT on gross receipts)
No annual report fee
Oklahoma
$100
$25/year
0.25%–4.75%
Annual certificate
Oregon
$100
$100/year
4.75%–9.9%
Annual report
Pennsylvania
$125
$0
3.07% (flat)
Decennial report only (every 10 years)
Rhode Island
$150
$50/year
3.75%–5.99%
Annual report
South Carolina
$110
$0
0%–6.5%
No annual report fee
South Dakota
$150
$50/year
None
Annual report
Tennessee
$300 per member ($50 min)
$300 per member/year ($300 min)
None (Hall Tax phased out)
Per-member fee unique to TN
Texas
$300
$0 (franchise tax: $0 under $2.47M)
None
Must file franchise tax report
Utah
$54
$20/year
4.65% (flat)
Annual renewal
Vermont
$125
$35/year
3.35%–8.75%
Annual report
Virginia
$100
$50/year
2%–5.75%
Annual registration
Washington
$200
$60/year
None
Annual report
West Virginia
$100
$25/year
3%–6.5%
Annual report
Wisconsin
$130
$25/year
3.54%–7.65%
Annual report
Wyoming
$100
$60/year (or based on assets)
None
Popular for out-of-state formations
Cheapest States to Form an LLC
Lowest Filing Fees
Rank
State
Filing Fee
1
Kentucky
$40
2
Arkansas
$45
3
Arizona
$50
3
Colorado
$50
3
Hawaii
$50
3
Iowa
$50
3
Michigan
$50
3
Mississippi
$50
3
Missouri
$50
3
New Mexico
$50
Lowest Annual Costs
Rank
State
Annual Cost
1
Arizona
$0
1
Idaho
$0
1
Minnesota
$0
1
Mississippi
$0
1
Missouri
$0
1
New Mexico
$0
1
Ohio
$0
1
Pennsylvania
$0 (decennial only)
1
South Carolina
$0
10
Colorado
$10/year
Lowest Total First-Year Cost
Rank
State
Filing Fee
Year 1 Annual
Total
1
Kentucky
$40
$15
$55
2
Mississippi
$50
$0
$50
3
Missouri
$50
$0
$50
4
New Mexico
$50
$0
$50
5
Arizona
$50
$0
$50
6
Colorado
$50
$10
$60
7
Hawaii
$50
$15
$65
8
Michigan
$50
$25
$75
9
Utah
$54
$20
$74
10
Montana
$70
$20
$90
Most Expensive States to Form an LLC
Highest Filing Fees
Rank
State
Filing Fee
1
Massachusetts
$500
2
Tennessee
$300+ (per member)
2
Texas
$300
4
Alaska
$250
5
New York
$200 (+ $300–$1,500 publication)
5
Washington
$200
7
Alabama
$200
8
Maine
$175
9
Kansas
$160
10
Minnesota
$155
Highest Annual Costs
Rank
State
Annual Cost
1
California
$800/year minimum
2
Massachusetts
$500/year
3
Nevada
$350/year
4
Tennessee
$300+/year (per member)
5
Delaware
$300/year
6
Maryland
$300/year
7
North Carolina
$200/year
8
Arkansas
$150/year
9
Florida
$138.75/year
10
Wisconsin
$130/year
Highest Total 5-Year Cost
Rank
State
5-Year Total
1
California
$3,870+ ($70 + $800×5 - year 1 waiver varies)
2
Massachusetts
$2,500 ($500 + $500×4)
3
New York
$1,550–$2,750 ($200 + pub + $9×2 + LLC fee)
4
Nevada
$1,475 ($75 + $350×4)
5
Tennessee
$1,500+ ($300 + $300×4, single member)
States With No Annual Fee
These states have no annual report or renewal fee for LLCs:
State
Filing Fee
Notes
Arizona
$50
Truly $0 ongoing
Idaho
$100
No annual report
Minnesota
$155
No renewal fee
Mississippi
$50
No annual report
Missouri
$50
No annual report
New Mexico
$50
No annual report
Ohio
$99
No annual report
Pennsylvania
$125
Decennial report only (every 10 years, $7)
South Carolina
$110
No annual report
States With No Income Tax
State
Filing Fee
Annual Cost
Total First Year
Alaska
$250
$100/2 years
$300
Florida
$125
$138.75
$263.75
Nevada
$75
$350
$425
South Dakota
$150
$50
$200
Texas
$300
$0 (<$2.47M)
$300
Washington
$200
$60
$260
Wyoming
$100
$60
$160
Best Overall Value States
Considering filing fee, annual costs, taxes, and business-friendliness:
State
Why It’s Good Value
Wyoming
$100 filing, $60/year, no income tax, strong privacy
New Mexico
$50 filing, $0/year, no annual report, low cost of living
Missouri
$50 filing, $0/year, low ongoing costs
Colorado
$50 filing, $10/year, growing business environment
Texas
$300 filing, $0/year (<$2.47M), no income tax
Florida
$125 filing, $138.75/year, no income tax
Bottom Line
Form your LLC in the state where you do business — not where it’s cheapest. Forming in Wyoming to save money doesn’t help if you operate in California — you’d pay fees in both states. The state-by-state cost differences matter most for online businesses with no physical presence. For those businesses, Wyoming ($160 first year), New Mexico ($50/year), and Colorado ($60/year) offer the best value. For everyone else, your home state is the right choice.
WealthVieu researches and writes data-driven personal finance guides using primary sources including the IRS, Bureau of Labor Statistics, Federal Reserve, and Census Bureau.
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