Skip to main content

Delaware vs Kentucky LLC Cost (2026): $390 vs $55

Side-by-side LLC formation cost comparison for Delaware and Kentucky: filing fees, annual report costs, processing time, and tax implications.

No signup No tracking Last updated March 2026

Forming an LLC in Kentucky costs $55 in year one — $335 cheaper than Delaware ($390).

Delaware

State filing fee $90
Annual report fee $300 per year
Processing time 1–2 days
State income tax Yes
First-year total $390

Kentucky

Lower Cost
State filing fee $40
Annual report fee $15 per year
Processing time 1–2 days
State income tax Yes
First-year total $55

Full LLC Cost Comparison: Delaware vs Kentucky

Factor Delaware Kentucky
State filing fee (one-time) $90 $40
Annual report fee $300 / per year $15 / per year
Processing time 1–2 business days 1–2 business days
State income tax Yes Yes
First-year total $390 $55

Kentucky saves you $335 in year one compared to Delaware.

Delaware LLC Notes

Delaware is a top choice for startups due to business-friendly courts, though annual franchise taxes can be high.

Kentucky LLC Notes

Kentucky has one of the lowest LLC filing fees and annual report costs.

Which State Should You Actually Use?

For most small businesses, form your LLC where you actually do business — not where the filing fee is cheapest. If you operate in Delaware, form there. If you operate in Kentucky, form there.

  • Forming in your home state: Simpler compliance, no registered agent needed in another state, no foreign qualification fees.
  • Forming in Wyoming or Delaware: Makes sense for investor-backed startups, multi-member LLCs with complex ownership structures, or businesses operating in multiple states.
  • Key cost trap: If you form in Delaware but operate in Kentucky, you'll pay both states' fees — eliminating any savings.
Estimates only. These results are based on publicly available data and standard formulas. Actual costs may vary based on your specific circumstances. This calculator does not constitute financial, tax, or legal advice. Consult a qualified professional for advice on your situation.

Was this calculator helpful?

Your feedback helps us improve CostCrunch

Save Your Results

Download a professional PDF report with your complete analysis, charts, and key insights.

Get notified when tax rates change

We monitor payroll tax rates, SUTA, and cost-of-living data across all 50 states. When rates change, we'll let you know. Free, no spam.

We respect your privacy. Unsubscribe with one click.