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Perhaps you are hoping to form an LLC in Washington State. People assume that starting an LLC is difficult and costly. However, it’s generally not difficult, and the cost would vary across states. We have all the info you need to know about the cost of forming an LLC, particularly the LLC cost in Washington State.
On this page, you’ll learn about the following:
Washington State LLC Cost of Filing
Here are the costs involved in forming an LLC in Washington State.
Cost of Filing Formation Certificates
The Washington State Certificate of Formation is responsible for the majority of the cost, which could also vary depending on whether you’re forming a domestic LLC or a foreign LLC. Still, you can file both at the Washington State Secretary of State.
Washington State Domestic LLC
- Online Filing costs $200.
- Annual Report filing costs $60
- Name Reservation fee costs $30
- By Mail: Fill out the application form, and send it to Secretary of State Corporation Division 801 Capitol Way S P.O. Box 40234 Olympia, Washington 98504-0234. Costs $180.
Washington State Foreign LLC
- Online Filing costs $200.
- Annual Report filing costs $60
- Name Reservation fee costs $30
- By Mail: Fill out the application form, and send it to Secretary of State Corporation Division 801 Capitol Way S P.O. Box 40234 Olympia, Washington 98504-0234. Costs $180.
Note that filing online is ideal, not only because you need to go to the Secretary of State office, but also it would be faster. You won’t have to wait in a queue in doing so.
Washington State LLC Formation Service or Registered Agent Fee
You need a registered agent to form an LLC in Washington State, hence, added costs for service fees. Here are three of the best LLC services on our list that will provide you with registered agents to ease your worries.
LLC Service | Our Rating & Pricing | Top Features | Learn More |
#1 TOP PICK  | $0 + State Fees |
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Business Permits and Licenses
The business licenses depend on your business’s activity and location and are renewed yearly. As such, the cost will vary. Check the Washington State Department of Revenue for regulatory boards or agencies requiring licensing.
Taxes Payable to the Washington Department of Revenue
To incorporate and register an LLC in Washington, one has to pay taxes to State & Federal Government. Some of the essential business taxes are enlisted below.
State Income Tax
As the LLC owner, you don’t have to pay state tax on any amount you earn via your LLC. Businesses may have to pay a Business & Occupation tax on all the earnings in Washington. Some companies are also subjected to the public utility tax. The gross receipts drawn by the businesses define the amount of tax they have to pay.
State Sales & Use Tax
Any seller of tangible goods such as cars, electronics, etc. & any service provider company has to collect taxes at the time of the purchase and then has to pay those to the Washington Department of Revenue. The state sales & use tax rate on LLC in Washington is 6.5%.
Federal Self-Employment Tax
The Federal Self Employment Tax is often called Social Security or Medicare tax, is paid by all the LLC Business members or managers. The self-employment tax caters to the well-being of the members of the company. The Federal self-employment tax rate in Washington is 15.3%.
Federal Income Tax
The rate of the Federal Income Tax is calculated after carefully observing: your earnings, the income tax bracket your LLC falls, the deductions, & the manner/ mode of filing. Federal Income Tax is paid on all the profits your LLC makes in a year.
Employee & Employer Taxes
LLCs that have appointed several employees have to pay Employee & Employer Taxes too. The tax rate is calculated on the basis of the amount they earn, the number of employees, etc.
Cost Comparison between states
Washington shares its border with the Pacific Ocean, British Columbia, Canada. It has only two American states that share the same boundaries, namely Idaho & Oregon. Each of these states has a different rate of taxes levied on LLCs. Let us take a look at this comparative chart.
| States | Filing Fee | Annual/Biennial Fee | Sales Tax |
| Washington | $200 | $60 | 6.5% |
| Idaho | $100 | None | 6% |
| Oregon | $105 | $30 | None |
Based on the kind of industry you LLC operated in, your LLC will be liable to some other taxes & duties. You should seek regional help to verify the tax rates or business costs of registering an LLC in Washington.
Other Costs
- Washington State Name Reservation: $30 for by mail
- Doing Business As (DBA): $24 for online filling or if filing by mail
- Certified Document Copies: $20
- Certified of Good Standing: $20
- Business Domain Name and Website: depend on your preference, but domain name could be as low as $2.99/yr at NameCheap, and web hosting is at least $30/mo at Kinsta.
- Online workspace: at least $4.20/mo for GSuite.
- Business Insurance: would vary depending on insurance type–whether general liability insurance or professional liability insurance–and coverage.
- Dissolution of Washington State LLC: No fee
F.A.Qs
It is possible to form an LLC without professional help, but forms still have associated costs, regardless of where your LLC is formed.
It is difficult to say whether forming an LLC is expensive. Nevertheless, the cost could be anywhere from $40 to $500. If you refuse to hire professionals, you’ll still have expenses like form fees to cover.
The need to separate personal money from business funds, thus necessitating the creation of a business bank account for your LLC.
How Much Does It Cost to Maintain an LLC in Washington
To maintain an LLC in Washington you will need to pay an annual fee of $60 along with sales & use tax at 6.5%, and federal taxes.
One of the primary costs associated with maintaining an LLC in Washington is the annual report fee. All LLCs in Washington are required to file an annual report with the Secretary of State’s office by the anniversary date of the LLC’s formation. The fee for filing an annual report can vary depending on the type of entity and whether the report is filed online or by mail. This annual report fee is essential for ensuring that the LLC’s information is up to date and that the state has accurate records of the business.
In addition to the annual report fee, Washington LLCs are also required to pay a state business license renewal fee. This fee must be paid on an annual basis and can vary depending on the nature of the business and the revenue generated by the LLC. The state business license renewal fee is essential for maintaining the LLC’s legal standing in Washington and ensuring that the business operates within state regulations.
Other costs associated with maintaining an LLC in Washington may include fees for obtaining necessary permits or licenses, as well as fees for hiring professionals to help with tax and legal compliance. While these costs can vary depending on the specific needs of the business, they are essential for ensuring that the LLC operates efficiently and remains in good standing with the state.
Business owners must also consider the cost of annual compliance requirements such as holding annual meetings and keeping accurate records of the LLC’s financial transactions. These activities are important for maintaining the LLC’s liability protection and preserving the separation between the business and the owners’ personal assets.
Overall, the cost of maintaining an LLC in Washington can vary depending on the size and nature of the business, as well as the level of professional assistance required. While the costs of running an LLC may seem daunting, they are essential for protecting the business and ensuring it remains compliant with state regulations.
In conclusion, maintaining an LLC in Washington comes with various costs that are necessary for protecting the business and its owners. Understanding these costs and budgeting for them is essential for any business owner looking to operate in compliance with state regulations and protect their personal assets. By staying informed and proactive about the costs of running an LLC in Washington, business owners can ensure the long-term success of their business ventures.
In Conclusion
The cost of Washington is much lower compared to other forms of business. Apart from the state filing fees and annual taxes, you might bear the cost of the registered agent. Compare the price of professional LLC services and choose the most affordable one.
Hello! What are the procedures for foreigners to register a limited company in the United States? thank you!