After forming an LLC company in Usa, you may have monthly or annual expenses that vary depending on the situation. We will divide the costs into monthly and annual and evaluate each option separately. Generally, your company's expenses are annual. If you only purchased a phone number (if you bought a number with a US area code) and worked with an accountant, you would have a monthly expense, all other expenses are usually annual.
By the way, if your company or the e-commerce you do through your company has a very high sales volume and turnover, you may have accountant expenses on a monthly / quarterly basis. Otherwise, there is no requirement to hire an accountant and pay a fee every month. If you do not have a very intense trading volume, you can easily keep your own preliminary accounting with the help of software, instead of hiring and paying a monthly accountant.
Having accounting software for preliminary accounting and bookkeeping makes your job easier. Suite Books , you will reduce your accountant costs and keep your income and expenses under control.
Since this type of cloud-based software works with a monthly subscription system, it varies depending on your trading volume (how many transactions you make monthly).
Annual Expenses
1.Registered Agent Expenses
Depending on the registered representative (agency) you choose when forming your company, the agency fee is usually free for the first year. If you have formed an llc with Northwest, you will receive service within the registered agent fee for the first year. However, the registered agent service must be renewed one year after forming an llc.
Annual Registered Agent renewal fee:
Northwest Registered Agent: $125
2. Annual fees paid to the state
Each state's annual report or franchise tax is different. In some states it does not exist. These fees are generally paid after one year. If it is not paid, your company will be marked as in bad condition, and if it is still not paid after a certain period of time, the company will be terminated.
Below you can see the annual fees to be paid for some states. For a list of all states this link .
| STATES | ANNUAL PAYMENT |
| Delaware | 300$ |
| Florida | 139$ |
| New Jersey | 75$ |
| New Mexico | $0 (No Annual Fee) |
| wyoming | 62$ |
| Kentucky | 15$ |
3. Annual Tax Return (Forms 5472 and 1120)
Single-member LLC company owners who do not live in the United States must fill out this form the year after they form their company and every year thereafter. It is a report submitted to the Internal Revenue Service on the amount of income generated by single-owner U.S. LLCs and where that income goes.
These forms do not involve tax reporting, only reporting activities during the year to the IRS. The US Internal Revenue Service (IRS) does not charge any fees etc. just to know the amount earned and where it goes. It obliged the company owner to fill out the form every year without requesting it.
An accountant who is an expert in his field can fill out this form, which is free of charge under normal circumstances. At this stage, you only need to pay the service fee to the accountant.
Accounting companies may charge a service fee of $500 to $5,580 However, you can also have this declaration made more economically on freelancer sites.
You can request an offer to receive this service from different accounting companies. a complete list of accounting firms here .
Monthly Expenses
As we mentioned at the beginning of the article, the costs are generally annual. But an llc may also have monthly expenses. These monthly expenses arise in the following cases.
- If you have a trading volume with a lot of current transactions
- If you have a phone number with a US area code
- accounting software (recommended)
1.Monthly Accounting Expenses
If your company has a structure that generates a lot of turnover, your place of income is the USA, and your turnover exceeds state limits, you may need to both collect sales tax and pay different taxes. At this stage, your accountant can continue the transactions on a monthly, quarterly or annual basis.
Depending on the work performed, accounting companies charge you a service fee. This service fee usually varies depending on your company's business volume.
The accounting costs of an llc that issues an average of 5-10 invoices per month and an llc that issues 200-300 invoices cannot be the same. Generally, accounting companies or accounting software determine their prices based on your transaction volume.
In summary, your transaction volume, geography of sales, sales amount, and turnover determine your monthly accounting fee and accounting software fee.
2. Monthly Telephone, Accounting Software and Fax Expenses
It is not necessary to have a telephone number subscription to form an llc in Usa. However, you may need a phone with a US area code when opening an account with Stripe, Paypal or similar platforms. At this point, since the phone number works with a subscription system, you may have a monthly fee of $2 to $10 depending on the company you choose. The same applies to the fax number, but it is not necessary to get a fax number.
You actually set your own expenses for all of these expenses (it varies for each state).
Preliminary Accounting Software Expenses:
You can keep your preliminary accounting yourself or use software designed for this. At the stage of your year-end tax declaration, your accountant will ask you for your preliminary accounting records (income and expenses). It is useful to use a pre-accounting software so that you can quickly access these records and get reports.
You can review Suite Books, the most preferred cloud-based accounting and invoicing software in Turkish. Suite Books is a bookkeeping and invoicing software that is capable enough to meet your basic needs.
Click for more details and pricing about Suite Books Pre-Accounting Software
Sample Table
Here are the annual expenses for a single-member foreign LLC formed in the state of Wyoming that does not exceed state sales tax limits.
| Payment Item | Amount to be Paid Annually |
| Wyoming state filing fee | 62$ |
| Annual Registered Agent Fee (Northwest) | 125$ |
| Filling out Form 5472 -1120 | 300$ |
| Pre-Accounting Software | $30-50/Year |
| Total | 537$ |
8 Comments . New Comment
Hello, what are the expenses for an LLC with 2 partners? What are the declaration fees for each partner? I think the costs increase when there is a partnership. Thanks
Hello, for a multi member LLC with 2 partners, you will have an accounting expense of around 900 USD, including 2 tax returns. To get more detailed information and prices, you can contact our contracted business partner Turkotaxacc and clarify.
Hello,
when you establish a sole proprietorship company in Turkey, the owner of the company is obliged to pay monthly Bagkur premium. I think it is around 1400 TL per month for 2022.
From what you have explained, I understand that the owner of an LLC company is not obliged to pay Social Security or Health Premium in the USA.
Is it true? Can you confirm?
If you are not a true US citizen, you do not have such an obligation.
Hello, if we have no sales in 2021 and no amount has been deposited to our bank account, do we need to fill out an annual tax return (even if it is empty)? The US company was formed in August 2021. Thanks. I heard that Trump passed a law to reduce congestion at the IRS and that companies with no income would not have to file annual returns.
Thank you, good work.
Hello,
Even if you have no activity, you need to fill out form 5472 and form 1120. Even though this law has been issued for foreign and single-member LLCs, these forms are already a law issued for their own citizens. By the way, these forms are not a tax declaration, but just a report of your income and expense situation. It's a procedure that the Internal Revenue Service introduced a few years ago to prevent money laundering.
First of all, thank you very much for this good information. I want to ask something, what happens in Close LLC? Are there any advantages over regular LLC? Does Close mean that it consists of 2 close relatives or family members? Or is it the anonymity of the information / confidentiality?
Hello,
Close LLC is a type of LLC that emerged in the state of Wyoming in 2002.
It has nothing to do with anonymity, the anonymous structure already exists in the state of WY, but agencies such as Northwest Registered Agent provide full anonymity. They do the installation this way, your name is not mentioned anywhere. In summary, Close LLC is something else, so let's explain it briefly :)
Close LLC is mostly formed by family businesses. The reason for choosing this structure is to transfer its values from generation to generation.
For example, think of a family business that manufactures boutique handmade shoes. An LLC with 4 partners is formed in which all members are members, and none of the members can transfer their shares outside the family. The company always remains and is passed on to the next generations. As soon as the brand remains within the family, it cannot be transferred to other hands.
Roughly speaking, you can think of it this way; of course, it has different regulations and purposes of use. In short, we can say that it is a building used for this purpose.