Incorporation Cost Calculator

Free incorporation cost calculator. Estimate first-year and multi-year incorporation costs including filing, service or attorney fees, registered agent, franchise tax, and setup expenses.

$
$
Required in most states
$
$
$
Free if self-filed with IRS
$
$
Total Formation Cost
$2,425.00
One-time + first year recurring
One-Time Costs
$2,075.00
Filing, legal, kit, EIN, other
Annual Recurring
$350.00
Agent + franchise tax each year
Year 2+ Annual Cost
$350.00
Ongoing maintenance only
5-Year Total Cost
$3,825.00
Formation + 5 years maintenance
Legal Share
61.9%
Attorney fees dominate cost

Formation Cost Breakdown

ComponentAmountTypeBar
State Filing Fee$300.00One-time
Attorney / Service$1,500.00One-time
Registered Agent$150.00Recurring
Corporate Kit$75.00One-time
Franchise Tax$200.00Recurring
Other (name res, etc.)$200.00One-time
One-Time vs Recurring
86% One-Time
14% Recurring
State Filing Fee Reference
StateFiling FeeFranchise TaxAgentEst. Total
Delaware$89.00$300.00$100.00$489.00
Wyoming$100.00$0.00$100.00$200.00
Nevada$75.00$0.00$125.00$200.00
California$70.00$800.00$125.00$995.00
New York$125.00$25.00$125.00$275.00
Texas$300.00$0.00$100.00$400.00
Florida$70.00$0.00$100.00$170.00
Illinois$175.00$0.00$100.00$275.00
5-Year Cost Projection
YearCostCumulative
Year 1 (Formation)$2,425.00$2,425.00
Year 2$350.00$2,775.00
Year 3$350.00$3,125.00
Year 4$350.00$3,475.00
Year 5$350.00$3,825.00
Planning notes, formulas, and examples

About the Incorporation Cost Calculator

This worksheet estimates what it may cost to form and maintain a corporation or similar entity during the first year. The live calculator combines the state filing fee, attorney or filing-service cost, registered-agent service, corporate kit or seal, initial franchise tax, EIN filing cost, and any other formation expenses you enter.

It is best used as a budgeting tool, especially when comparing a DIY filing, an online service, and attorney-led formation. The one-time and recurring outputs matter more than the label on the service package because recurring items like registered-agent service and franchise tax are often what drive the longer-term cost difference.

When This Page Helps

A low filing fee can hide a much higher first-year or five-year cost once service fees, registered-agent charges, and franchise taxes are included. This page helps you compare formation paths on the same worksheet instead of relying on headline prices alone.

How to Use the Inputs

  1. Enter the state filing fee for the entity you plan to form.
  2. Add attorney or service fees for preparation and filing.
  3. Include registered-agent and franchise-tax amounts.
  4. Add corporate kit, EIN filing, and any other setup costs you expect to pay.
  5. Review the year-one and 5-year totals before comparing formation paths.
Formula used
One-Time Cost = State Filing Fee + Attorney or Service Fee + Corporate Kit + EIN Filing Fee + Other Costs Recurring Annual Cost = Registered Agent + Initial or Ongoing Franchise Tax Year 1 Cost = One-Time Cost + Recurring Annual Cost 5-Year Cost = One-Time Cost + (Recurring Annual Cost x 5)

Example Calculation

Result: $2,225

State filing $300 + attorney fees $1,500 + registered agent $150 + corporate kit $75 + initial franchise tax $200 = $2,225 total first-year incorporation cost.

Tips & Best Practices

  • Run one scenario with zero attorney or service fees and another with the quote you actually received. The difference is often more useful than industry averages.
  • If the EIN will be requested directly from the IRS, leave the EIN fee at zero so the worksheet does not double count a service upsell.
  • The five-year view is the better comparison when one state has a low filing fee but a higher recurring tax or compliance cost.
  • Use "Other Costs" for name reservation, certified copies, publication, or internal document prep that is not already captured elsewhere in the worksheet.
  • If you are comparing corporation and LLC structures, match recurring compliance items as closely as possible before treating one option as cheaper.
  • The state reference table in the UI is only a starting point. Replace any fee with current filing-office or provider numbers before making a real decision.

What The Outputs Mean

The calculator separates one-time formation spending from recurring annual maintenance. That makes it easier to see whether the real cost driver is formation help up front or the state and agent charges that continue after the entity is formed.

When The Worksheet Is Most Useful

This page is strongest as a comparison tool: DIY versus online service, one state versus another, or corporation versus LLC using the same assumptions for agent service and internal setup. It is less useful as a legal recommendation about which entity you should choose.

Costs Outside The Worksheet

The calculator does not attempt to price accounting work, tax return preparation, payroll setup, securities-law compliance, foreign qualification, or investor-side diligence. Those items can easily exceed the basic formation budget, so treat the result here as the incorporation worksheet rather than the full business-launch cost.

Sources & Methodology

Last updated:

Methodology

This worksheet separates one-time incorporation costs from recurring annual maintenance. It adds the state filing fee, attorney or filing-service cost, corporate kit, EIN-related service cost, and any other entered setup charges into a one-time total, then layers in the registered-agent and franchise-tax amounts as recurring annual costs to show first-year and five-year comparisons.

The result is a budgeting estimate only. It does not determine whether a corporation is the right entity choice, whether an S corporation election is available or advisable, or what the live filing office and tax authority will charge in a specific state.

Sources

  • Choose a business structure (U.S. Small Business Administration) — Official overview of entity-type differences and why corporation-versus-LLC comparisons need to consider tax and governance issues alongside filing cost.
  • Register your business (U.S. Small Business Administration) — Official overview of registration steps, state filing obligations, and registered-agent requirements.
  • Forms, Samples and Fees (California Secretary of State) — Illustrative official state filing-office source for incorporation forms, copies, and fee schedules.

Frequently Asked Questions

  • A C Corp pays corporate income tax and shareholders pay tax on dividends (double taxation). An S Corp passes income through to shareholders who pay personal tax only (no double taxation). S Corp election has eligibility requirements: max 100 shareholders, one class of stock, US shareholders only.