LLC Costs

How Much Does an LLC Cost in 2026? Every State Compared

Updated July 2026. Fees verified against state sources.

The honest answer: anywhere from $35 to over $1,000 in year one, depending on where you form and what you add on. State filing fees range from $35 (Montana) to $500 (Massachusetts), and the ongoing costs are where states really differ, from nothing at all to California's $800 minimum annual franchise tax. Here is every state in one table, sortable, followed by the costs the fee tables never mention.

All 51 jurisdictions, one table

Click a column header to sort. Click any state for its full step-by-step guide.

Ongoing fees shown as filed (some states bill every 2 years). Fees last reviewed July 2026; always confirm with the state before filing.

The five cheapest states to form in 2026

1. Alabama: $200 to file, ongoing: $50+ business privilege tax/yr
2. Alaska: $250 to file, ongoing: $100 every 2 years
3. Arizona: $50 to file, ongoing: none
4. Arkansas: $45 to file, ongoing: $150 franchise tax/yr
5. California: $70 to file, ongoing: $800 franchise tax + $20 report every 2 years/yr

States with zero ongoing state fees

Five states require no annual report and no annual fee at all for standard LLCs: Arizona, Missouri, New Mexico, Ohio, South Carolina. Three more require a report but charge nothing for it: Idaho, Minnesota, Mississippi, Texas. If you live in one of these, your total recurring state cost can be $0.

The costs the fee tables don't show

Registered agent: $0 or $100-$200/year

Every state requires one. Free if you use your own in-state address, but that address becomes public record, and you must be available during business hours. Most founders who care about privacy, or don't live in the state, pay for a service.

The $800 outlier: California 2026

Every California LLC pays a minimum $800 franchise tax annually, profitable or not. The COVID-era first-year exemption is long gone; new California LLCs pay from year one. LLCs over $250,000 in gross receipts pay an additional fee on top. If you live in California and operate there, forming in Nevada or Wyoming does not escape this, California taxes you for doing business in the state regardless of where the LLC is registered.

Publication requirements: $50 to $1,500+

Three states make new LLCs publish newspaper notices: New York (6 weeks, two papers, can top $1,000 in NYC), Arizona (3 weeks, waived in Maricopa and Pima counties) and Nebraska (3 weeks). Budget for this if you're forming in one of them.

What changed for 2026 2026

Two updates that older cost guides still get wrong: Pennsylvania scrapped its once-a-decade filing and now requires a $7 annual report (LLC deadline: September 30), and the federal BOI report is off the table, US-formed LLCs are currently exempt from FinCEN beneficial ownership reporting under the March 2025 interim rule, so ignore services still charging to "file your BOI".

What you should never pay for

An EIN. The IRS issues them free at irs.gov in minutes. Any service charging $50-$100 for an "EIN filing" is charging you for a free government form.

Frequently asked questions

What is the cheapest state to form an LLC in 2026?

Montana has the lowest filing fee at $35, followed by Kentucky at $40 and Arkansas at $45. For total cost of ownership, states with no annual report, like Missouri, New Mexico, Ohio, Arizona and South Carolina, are often cheaper over time even with a slightly higher filing fee.

What is the most expensive state for an LLC?

Massachusetts, at $500 to form and $500 every year. California is the most expensive to maintain: even with a $70 filing fee, every California LLC owes a minimum $800 annual franchise tax regardless of income.

Are there states with no annual LLC fees?

Yes. Missouri, New Mexico, Ohio, Arizona and South Carolina require no annual report and no annual fee for standard LLCs. Idaho, Minnesota and Mississippi require a report but charge nothing for it.

Does forming in a cheap state save money if I live elsewhere?

Usually not. If you live and operate in another state, you must register there as a foreign LLC anyway, which means paying two sets of state fees plus two registered agents. For most people, the cheapest state is their home state.

Fees last reviewed July 2026 and change frequently; always confirm with the relevant state authority before filing. General information only, not legal or tax advice.