For most Canadian-owned single-member LLCs, expect to budget roughly $300-800 per year just to keep the LLC in good standing, before any tax filings or bank fees. Wyoming sits at the low end near $60. Delaware is fixed at $300. California and Nevada push past $800. Here is what you actually pay, by state, and what most founders forget to plan for.
What "good standing" actually means
Good standing is the state's confirmation that your LLC has paid the required state-level fees and filed any required reports for the year. It is not about federal taxes, that is a separate IRS matter. A state can suspend, dissolve, or administratively cancel your LLC if you miss the annual filing or fee for long enough, often 60-90 days past the deadline.
A suspended or forfeited LLC cannot legally do business in that state, cannot enforce contracts in that state's courts, and gets red-flagged by every U.S. bank that runs a quarterly KYC check. Reinstatement is possible in most states but costs more than just the missed fee, usually $100-300 in late penalties on top of the original amount.
The two recurring costs every LLC has
Every LLC, regardless of state, has two yearly cost lines:
- State annual filing fee or franchise tax. This is the fee you pay the Secretary of State or Department of Revenue to keep your LLC active. The amount depends entirely on where you formed.
- Registered Agent fee. Every state requires a Registered Agent with a street address in that state. Commercial Registered Agents typically charge $50-200 per year. You cannot use your own Canadian address, even if you visit the U.S. regularly.
Some states bundle a third line: a publication requirement, a separate business license, or a Statement of Information. New York and Nevada are the two that surprise founders the most.
State-by-state annual cost table
These are the recurring state-side costs as of 2026. Registered Agent fees are separate.
| State | Annual Fee | Due | Notes |
|---|---|---|---|
| Wyoming | $60 minimum | Anniversary month, 1st day | Higher if in-state assets exceed $300K |
| Delaware | $300 flat | June 1 | Called franchise tax, no annual report for LLCs |
| New Mexico | $0 | None | No annual report or fee for LLCs |
| Florida | $138.75 | May 1 | Late penalty is $400 |
| Nevada | $350 | Anniversary month | $150 annual list plus $200 business license |
| Texas | $0 under threshold | May 15 | Public Information Report required, no fee if revenue under $2.65M for 2026-2027 |
| California | $800 minimum | April 15 | Plus $20 Statement of Information every 2 years |
| New York | $9 biennial | Anniversary month | One-time publication cost of $1,500-2,000 in NYC counties |
Most Canadian founders we work with land in Delaware, Wyoming, or New Mexico. Each path has tradeoffs that go beyond the annual fee, and the cheapest sticker is not always cheapest in practice.
Why "cheapest state" is the wrong question
A $60 Wyoming fee looks great next to California's $800. But the state where your LLC is formed is not always the state where your LLC actually operates. If you have a U.S.-based contractor, a leased office, or significant sales activity in California, you may be required to register your Wyoming LLC as a foreign LLC in California, which triggers the same $800 minimum.
The right question is which state matches your actual business footprint. For a Canadian who serves U.S. customers remotely, with no U.S. employees, no U.S. office, and no inventory stored in any state, Wyoming or Delaware is usually clean. For anyone with real ground presence in another state, formation-state savings can disappear quickly.
Hidden costs Canadian owners often miss
The state fee is the visible cost. The full annual budget for a foreign-owned LLC includes a few less obvious lines:
- Registered Agent renewal, $50-200 per year, typically auto-billed
- Virtual office or CMRA mail forwarding, $30-100 per month if your bank requires a real street address
- Federal Form 5472 plus pro-forma 1120, required for any foreign-owned single-member LLC, typically $400-1,000 if prepared by a U.S. CPA
- Bookkeeping, often $50-200 per month even for simple operations, needed for both U.S. and Canadian filings
- Annual report preparation, $0 if you DIY, $50-150 if you have a service file it for you
Adding it all up, a low-activity Canadian-owned Wyoming LLC typically runs $1,500-3,000 per year all-in once you include federal tax prep and Registered Agent. A Delaware LLC with a virtual office runs higher, often $2,500-4,500. The state fee is rarely the largest line.
What happens if you miss the deadline
State enforcement is automated and unforgiving. Three things happen on a typical late-filing timeline:
- Day 1 past due, the state marks the LLC as not in good standing in its public database.
- Day 30-60, late penalties begin accruing. Wyoming adds $50, Florida adds $400, Delaware adds $200 plus 1.5% interest per month.
- Day 90-180, the state administratively dissolves or forfeits the LLC. The name may also be released for someone else to claim.
Reinstatement after administrative dissolution is possible but adds friction. You file a reinstatement application, pay all back fees and penalties, and request a new Certificate of Good Standing. Some states require you to file a fresh Certificate of Formation if too much time has passed.
There is one Canadian-specific risk worth flagging. If your LLC is dissolved while you have an active U.S. bank balance or an open Stripe account, those funds can be frozen pending reinstatement, and KYC at any new bank becomes much harder once "previously dissolved" appears on your record.
How to set up a reminder system that actually works
Do not rely on the state to email you. Several states do send reminders, but the email goes to the Registered Agent, not directly to you, and forwarding is inconsistent.
What works in practice:
- A calendar reminder set 60 days before each annual deadline, with a duplicate at 14 days
- A Registered Agent that emails you at multiple addresses, including one personal email plus your accountant
- An annual review block on your calendar, ideally in February or March, where you confirm that all state filings for that year are scheduled
If you have multiple LLCs across multiple states, a small spreadsheet or a Notion task is enough. The cost of missing a single annual report is always more than the cost of staying organized.
Related reading
- Delaware vs Wyoming for Canadian founders
- When your bank rejects your Registered Agent address
- Our state comparison guide breaks down formation choices in more detail
- Our Registered Agent guide explains why every state requires one
- NY LLC publication for non-residents: Albany trick + $1K trap — the New York row of the fee table explained in depth (120-day clock, county arbitrage, authority-suspended ripple)