Nevada vs California: what an LLC really costs
Nevada charges $75 to form an LLC and California charges $70, but over 5 years the totals are $1,825 and $4,120. Both figures computed from each state's own fee schedule, plus what forming in one while operating in the other actually costs.
Estimate only — not tax, legal, or accounting advice. This is the published math for Nevada and California LLC costs. Confirm final figures with your payroll provider, accountant, or the state agency before acting on them.
Figures assume you act as your own registered agent, which is lawful in most states and costs nothing — so this compares STATES rather than service purchases.
The ranking flips. California is cheaper to form, but Nevada is cheaper by year 5. Comparisons that stop at the filing fee give the opposite answer to the one your bank account will.
| Nevada | California | |
|---|---|---|
| Filing fee | $75 | $70 |
| Annual report | $150 annual | $20 biennial |
| Report due | Annual List of Managers or Members, $150.00, filed on the combined "Amended/Annual List of Managers or Members/Business License Application" form — the $200 State Business License renewal rides on the same filing, so the true annual cost is $350.00. Late fee $75.00. NRS 225.085 governs timing: "all Annual Lists must be in the care, custody and control of the Secretary of State by the close of business on the due date. (Postmark date is not accepted as receipt date.) Lists received after the due date will be rejected, and will require the associated fees and penalties." The Secretary of State does not publish the due date itself on any page reachable on 2026-08-05 — the fee schedule, the form instructions and the State Business License page all state the consequence without stating the date — so this pack does not assert an anniversary-month rule it did not read. See the batch retry queue. | Statement of Information, Form LLC-12 ($20.00, or Form LLC-12NC at $20.00 when nothing has changed). The first one is due within 90 days of filing the Articles of Organization, then biennially. The filing window is the six-month period ending on the last day of the anniversary month of formation. Filing an amended statement between periods to report a change costs nothing. |
| Other yearly obligations | State Business License (NRS Chapter 76) $200 | Annual LLC Tax (franchise tax) $800; LLC Fee (total California income) (formula) |
| Per year, total | $350 | $810 |
| Year one | $425 | $880 |
| Year 5 total | $1,825 | $4,120 |
| Be your own agent? | yes, $0 | yes, $0 |
Forming in Nevada while operating in California
+$2,075 to +$3,325
over 5 years, against simply forming in California.
- Forming in Nevada while operating in California costs $2,075 to $3,325 MORE over 5 years than simply forming in California — and it cannot come out cheaper, because you carry the home state either way.
- Operating in California means registering there whichever state you formed in, so the Nevada structure adds a second filing, a second annual report, and a second registered agent rather than replacing the first.
- It also does not move your tax: state income and franchise tax follow where the money is earned and where the business operates, not where the articles were filed.
- Failing to register in the state you actually operate in carries penalties and can cost you the right to bring a lawsuit there — the downside is not only the fees below.
Cheap to start, expensive to keep
Nevada charges $75 to form an LLC and about $350 every year afterwards — 4.67× the filing fee, annually. The number most comparisons quote is the one that matters least.
California charges $70 to form an LLC and about $810 every year afterwards — 11.57× the filing fee, annually. The number most comparisons quote is the one that matters least.
Frequently asked
- Is it cheaper to form an LLC in Nevada or California?
- Over 5 years, Nevada — $1,825 against $4,120, acting as your own registered agent. That is the opposite of the filing-fee answer: California is cheaper to form, which is the number most comparisons stop at.
- Should I form in Nevada if my business operates in California?
- On fees, no — and it is not close. Operating in California means registering there as a foreign LLC whichever state you formed in, so the Nevada structure adds a second filing, a second annual report and a registered agent you must rent, on top of everything California charges anyway. Over 5 years that is $2,075 to $3,325 more than simply forming in California.
- Does forming in Nevada lower my taxes?
- No. State income and franchise taxes follow where the business earns and operates, not where the articles were filed. That is why the fee comparison on this page is the whole of the fee argument — and the fee argument does not favour the two-state structure either.
Verified 2026-08-05 against Nevada Secretary of State — Formation: Limited-Liability Company (Articles of Organization packet, including the Limited-Liability Company Fee Schedule, Rev. 8/1/2023) (effective 2026-01-01)
Verified 2026-08-04 against California Secretary of State, Business Programs Division — Business Entities Fee Schedule (BE FEES, Rev. 06/2018) (effective 2026-01-01)
Full detail: Nevada · California · Or compare any two verified states.