The four recurring costs
- Registered agent: required for as long as the LLC exists. $45 a year with us.
- State annual report or franchise tax: from nothing (New Mexico, Arizona, Missouri, Ohio, South Carolina) to $800 (California).
- Federal filings: Form 5472 with a pro forma 1120 for a foreign-owned single-member LLC, or a partnership return for a multi-member LLC.
- Bookkeeping: the records behind those filings.
Cheapest states to keep
New Mexico has no annual report and no fee, so the state cost is zero. Wyoming's annual report starts at $60. Colorado charges $10, Michigan $25. At the other end, California charges an $800 franchise tax every year whatever the income, Massachusetts $500, and Delaware, Maryland and Tennessee $300.
A realistic yearly budget
For a Wyoming LLC: $45 registered agent plus $60 annual report is $105 to the state and agent. Add bookkeeping and the yearly IRS filing; with CORA that is $30 a month. For New Mexico the first number drops to $45.
Costs people forget
Bank fees are usually zero with the fintech banks. A US mailing address or mail forwarding is optional. Changing the company name, address or owners later means an amendment with a state fee. And closing the company properly takes a dissolution filing; an LLC that is simply abandoned keeps accruing state fees and penalties.
This guide is general information, not legal or tax advice. Rules and fees change; check your own situation with a professional.