Listen, forming an LLC is just the opening act. The real show? That’s keeping your LLC breathing year after year without bleeding your bank account dry. I’m Jake Lawson, and after helping over 1,200 entrepreneurs navigate the maze of LLC maintenance costs, I’m going to show you exactly what you’ll pay to keep your business legally compliant in all 50 states.
Here’s the kicker: these fees are non-negotiable. Your LLC makes millions? You pay. Your LLC sits dormant collecting dust? You still pay. Skip these payments? Your state will happily dissolve your LLC faster than you can say “administrative dissolution.”
The Two-Fee Reality Check Every LLC Owner Needs
Before we dive into the numbers, let’s clear up the confusion between formation fees and annual fees—because mixing these up is like confusing your wedding costs with your anniversary expenses.
Formation Fees: Your One-Time Entry Ticket
Think of formation fees as your LLC’s birth certificate cost. You pay once when creating your LLC, and you’re done. These range from $40 in Kentucky to a wallet-crushing $500 in Massachusetts. But that’s ancient history once your LLC exists.
Annual Fees: Your LLC’s Subscription Service
Now here’s where things get interesting (and expensive). Annual fees are your LLC’s ongoing membership dues to Club Legal Entity. Miss a payment? Your state isn’t sending a friendly reminder—they’re preparing dissolution paperwork.
These recurring fees go by more aliases than a international spy:
- Annual Reports (the most common name)
- Franchise Tax Reports (Texas and Nevada’s favorite)
- Business Privilege Tax (Pennsylvania’s creative terminology)
- Periodic Reports (Washington state keeping it vague)
- Biennial Statements (for states that bill every two years)
- Annual Registration Fees (when states want to be straightforward)
The Complete 2025 LLC Fee Table: Every State, Every Cost, No Surprises
After analyzing all 50 states plus DC, the national average sits at $91 annually. But averages lie—some states charge nothing while others treat your LLC like a cash machine. Here’s the complete breakdown:
State | Formation Fee | Annual/Biennial Fee | When It’s Due | What They Call It | Jake’s Notes |
Alabama | $200 | $100 | Every year by anniversary | Business Privilege Tax | Minimum $100, can increase based on net worth |
Alaska | $250 | $100 | Every 2 years by Jan 2 | Biennial Report | Biennial = every 2 years, not annual |
Arizona | $50 | $0 | No report required | N/A | Zero fees, but don’t forget city licenses |
Arkansas | $50 | $150 | Every year by anniversary | Franchise Tax | Due date = month you formed |
California | $75 | $800 minimum | Every year by 15th day of 4th month | Franchise Tax + Statement of Information ($20 biennial) | The $800 hits even if you make $0 |
Colorado | $50 | $10 | Every year by anniversary | Periodic Report | Cheapest annual fee in the nation |
Connecticut | $120 | $80 | Every year by anniversary | Annual Report | Straightforward and reasonable |
Delaware | $140 | $300 | Every year by June 1 | Franchise Tax | The “business haven” isn’t cheap |
$125 | $138.75 | Every year by May 1 | Annual Report | Due May 1 regardless of formation date | |
Georgia | $100 | $50 | Every year between Jan 1 – April 1 | Annual Registration | Same window for everyone |
Hawaii | $51 | $15 | Every year by quarter ending anniversary | Annual Report | Quirky quarterly system |
Idaho | $100 | $0 | No report required | N/A | No annual fees at state level |
Illinois | $150 | $305 | Every year by anniversary | Annual Report | Plus $75 franchise tax |
Indiana | $90 | $50 | Every 2 years by anniversary | Business Entity Report | Biennial saves you hassle |
Iowa | $50 | $45 | Every 2 years by anniversary | Biennial Report | Another biennial state |
Kansas | $165 | $50 | Every year by 15th day of 4th month | Annual Report | Tax month, not anniversary |
Kentucky | $40 | $15 | Every year by June 30 | Annual Report | Everyone files June 30 |
Louisiana | $100 | $35 | Every year by anniversary | Annual Report | Reasonable and predictable |
Maine | $175 | $85 | Every year by June 1 | Annual Report | Fixed date for all LLCs |
Maryland | $100 | $300 | Every year by April 15 | Personal Property Return | Yes, April 15 like taxes |
Massachusetts | $500 | $500 | Every year by anniversary | Annual Report | Tied for most expensive |
Michigan | $50 | $25 | Every year by Feb 15 | Annual Statement | Everyone files same date |
Minnesota | $155 | $0 | No report required | N/A | No recurring state fees |
Mississippi: | $50 | $0 | No report required | N/A | Zero annual obligations |
Missouri | $50 | $0 | No report required | N/A | Completely fee-free ongoing |
Montana | $70 | $20 | Every year by April 15 | Annual Report | Tax day filing |
Nebraska | $120 | $26 | Every 2 years by anniversary | Biennial Report | Odd amount but biennial |
Nevada | $75 | $350 | Annual by last day of anniversary month | State Business License ($200) + Annual List ($150) | Two separate fees = $350 total |
New Hampshire | $100 | $100 | Every year by April 1 | Annual Report | Clean $100 across the board |
New Jersey | $125 | $50 | Every year by anniversary | Annual Report | Simple anniversary system |
New Mexico | $50 | $0 | No report required | N/A | No state annual fees |
New York | $200 | $9 | Every 2 years by anniversary | Biennial Statement | Cheapest fee, but watch NYC taxes |
North Carolina | $125 | $200 | Every year by April 15 | Annual Report | Tax deadline strikes again |
North Dakota | $135 | $50 | Every year by Nov 15 | Annual Report | Unique November deadline |
Ohio | $125 | $0 | No report required | N/A | Zero ongoing state fees |
Oklahoma | $100 | $25 | Every year by anniversary | Annual Certificate | Very reasonable |
Oregon | $100 | $100 | Every year by anniversary | Annual Report | Consistent $100 theme |
Pennsylvania | $125 | Varies | Every year | Capital Stock Tax | Usually $250-500 depending on assets |
Rhode Island | $150 | $50 | Every year by anniversary | Annual Report | Standard anniversary filing |
South Carolina | $110 | $0 | No report required | N/A | Free unless S-Corp election |
South Dakota | $150 | $50 | Every year by anniversary | Annual Report | Simple and predictable |
Tennessee | $300 | $300 minimum | Every year by 15th day of 4th month | Franchise Tax | Can hit $3,000+ for larger LLCs |
Texas | $300 | Usually $0 | Every year by May 15 | Franchise Tax | Only if revenue > $2.47M |
Utah | $72 | $15 | Every year by anniversary | Annual Renewal | Very affordable |
Vermont | $125 | $35 | Every year by anniversary | Annual Report | Low annual, but watch other taxes |
Virginia | $100 | $50 | Every year by last day of anniversary month | Annual Registration | End of formation month |
Washington | $200 | $73 | Every year by end of anniversary month | Annual Report | Specific to formation month |
Washington DC | $220 | $300 | Every 2 years by April 1 | Biennial Report | Expensive for the capital |
West Virginia | $100 | $25 | Every year by June 30 | Annual Report | All LLCs file June 30 |
Wisconsin | $130 | $25 | Every year by end of anniversary quarter | Annual Report | Quarterly anniversary system |
Wyoming | $100 | $52 minimum | Every year by anniversary month | Annual Report | Can increase based on assets |
How to Read This Table Like a Pro
Formation Fee: One-time cost to birth your LLC. Pay once, done forever.
Annual/Biennial Fee: Your recurring membership dues. “Annual” = every year. “Biennial” = every 2 years.
When It’s Due: Miss these dates at your own risk. Late fees range from annoying to devastating.
What They Call It: Every state’s creative naming convention for essentially the same thing.
Jake’s Notes: My real-world observations after seeing thousands of these filings.
The Zero-Fee Reality Check
Those states showing $0 annual fees? Before you rush to form there, understand this: “no state annual fee” doesn’t mean “no costs ever.” Local business licenses, city permits, and county fees still apply. I’ve seen entrepreneurs save $50 on state fees only to pay $500 in local compliance costs.
When Are These Fees Actually Due? (Spoiler: It’s Complicated)
Every state has its own payment calendar, and missing deadlines means penalties, interest, and potential dissolution. Here’s what I’ve learned after tracking thousands of LLC deadlines:
Anniversary-Based States
Most states tie your due date to your LLC’s formation anniversary. Form in March? File in March every year. Simple, clean, predictable.
Examples: Colorado, Florida, Georgia, Hawaii, Oregon
Calendar Year States
These states don’t care when you formed—everyone files at the same time.
Examples: Delaware (March 1), Wyoming (anniversary of formation month), Nevada (last day of formation month)
Biennial Filers (Every Two Years)
Some states give you a break—sort of. You file every other year, but the fee is usually double.
Examples: Alaska, Indiana, Iowa, Nebraska, New York, DC
The Oddball: Texas
Texas requires an annual Public Information Report (no fee) but charges franchise tax only if revenue exceeds $2.47 million. Translation: most Texas LLCs pay nothing.
The Hidden Costs Nobody Talks About
Here’s where I save you from nasty surprises. These sneaky expenses catch even experienced business owners off guard:
1. Registered Agent Fees ($50-$300/year)
Every LLC needs a registered agent. DIY? Sure, if you never leave your state and love receiving legal documents at home. Most entrepreneurs pay $100-$200 annually for professional service.
2. Business License Renewals ($50-$500/year)
State fees are just the appetizer. Cities and counties feast on business license fees. I’ve seen coffee shops pay $50 to the state and $400 to the city.
3. Professional License Renewals (Varies Wildly)
Contractor? Real estate agent? Consultant? Add professional licensing fees on top of everything else.
4. Foreign LLC Fees (Double Trouble)
Operating outside your formation state? You’ll pay annual fees in both states. That cheap Wyoming LLC suddenly costs more when you add California foreign registration.
5. Late Payment Penalties (25%-100% extra)
Miss a deadline? States charge penalties ranging from $25 to hundreds of dollars. California adds $250 just for being late.
Strategic Fee Planning: How Smart Entrepreneurs Minimize Costs
After 15 years in this business, here’s my proven approach to managing LLC fees:
Choose Your State Wisely (But Not Based on Fees Alone)
Don’t do this: “Delaware has no sales tax, so I’ll form there!” Do this instead: Form where you actually do business, unless you have legitimate multi-state operations.
I’ve watched too many entrepreneurs form in Nevada to “save taxes” only to pay double fees when their home state requires foreign registration. That $325 Nevada fee plus $800 California foreign LLC fee equals $1,125 annually. Forming directly in California? Just $800.
Set Up Automatic Reminders
States won’t babysit you. Create calendar reminders 60 days before due dates. I use three reminder systems:
- Google Calendar (60, 30, and 7 days out)
- Phone alarms (30 and 7 days)
- Email scheduling (45 days out)
Paranoid? Maybe. But I’ve never paid a late fee.
Budget Annually, Pay Immediately
When that renewal notice arrives, pay it immediately. Don’t “wait until next week.” I’ve seen successful businesses dissolved because the owner forgot about a $50 fee during a busy season.
Consider Professional Help for Complex Situations
Multi-state operations? Elected S-Corp taxation? Sometimes paying a professional $500 saves you $5,000 in penalties and headaches.
State-Specific Gotchas That’ll Bite You
Every state has quirks. Here are the expensive surprises I’ve encountered:
California: That $800 minimum franchise tax? Due within 75 days of forming, even for your first partial year. Form in November? You pay $800 for two months of existence.
Delaware: Everyone talks about Delaware’s business benefits. Nobody mentions the $300 annual franchise tax plus registered agent requirements. Your “prestigious” Delaware LLC costs $400+ yearly.
Nevada: Requires both a State Business License ($200) and Annual List filing ($150). Miss one? Your LLC gets suspended.
New York: Publishing requirements cost $1,000-$2,000 upfront, plus biennial statements forever.
Illinois: $305 franchise tax sounds reasonable until you realize it’s due regardless of income, activity, or profitability.
Tennessee: Minimum franchise tax of $300, but it scales with revenue. Successful businesses pay thousands.
Your Action Plan: Making Smart Fee Decisions
Here’s your roadmap to managing LLC fees like a pro:
Step 1: Calculate Your True Annual Cost
Don’t just look at state annual fees. Factor in:
- State annual report/franchise tax
- Registered agent service
- Local business licenses
- Professional licenses
- Potential foreign LLC fees
Step 2: Evaluate Your Formation State
Already formed? Calculate whether dissolving and reforming elsewhere saves money long-term. Usually it doesn’t, but sometimes the math surprises you.
Step 3: Set Up Your Payment System
- Create a dedicated business checking account
- Set aside monthly reserves (annual fee ÷ 12)
- Automate reminders
- Pay fees immediately when due
Step 4: Keep Impeccable Records
Screenshot every payment confirmation. Save every receipt. When states claim you didn’t pay (it happens), you’ll need proof.
FAQs: Your Burning Fee Questions Answered
Q: Can I avoid annual fees by keeping my LLC inactive? A: Nope. Inactive, active, profitable, or losing money—fees are due regardless. The only escape? Formal dissolution.
Q: What happens if I don’t pay? A: States follow a predictable pattern: late fees → “not in good standing” status → administrative dissolution. Timeline varies from 60 days to 2 years.
Q: Can I deduct annual fees on taxes? A: Yes, these are legitimate business expenses. Keep those receipts.
Q: Do single-member LLCs pay less than multi-member LLCs? A: Same fees regardless of ownership structure. States don’t offer member discounts.
Q: Can I pay multiple years in advance? A: Few states allow this. Most want annual payments to ensure current information.
The Bottom Line: Plan, Budget, and Stay Compliant
LLC annual fees aren’t optional suggestions—they’re mandatory costs of maintaining your business’s legal existence. Whether you’re paying California’s brutal $800 or enjoying Missouri’s $0, staying compliant keeps your liability protection intact and your business operational.
The entrepreneurs who succeed aren’t the ones who find the cheapest state—they’re the ones who understand their total cost structure and plan accordingly. Your LLC is an investment in legal protection and business credibility. Treat these fees as insurance premiums for your professional future.
Ready to Form Your LLC the Right Way?
Stop googling conflicting advice and wondering if you’re missing something crucial. At llciyo.com, we’ve guided over 1,200 entrepreneurs through LLC formation and maintenance—from choosing the right state to managing ongoing compliance.
Need formation help? We’ve vetted every major formation service. Skip the research and check out our unbiased comparisons of Northwest ($39 formation special), ZenBusiness, LegalZoom, and others.
Already formed? Our free compliance calendar tool tracks your deadlines across all 50 states. Never miss another annual fee.
Remember: The best LLC is a compliant LLC. And compliance starts with understanding exactly what you’ll pay, when you’ll pay it, and why it matters.
Jake Lawson has helped form over 1,200 LLCs across all 50 states. When he’s not dissecting state fee structures or calling out overpriced formation services, he’s probably explaining to another entrepreneur why forming in Delaware isn’t magical. Follow llciyo.com for straight-shooting LLC advice that actually saves you money.