Delaware LLC vs Wyoming LLC (2026)

Business Climate: Delaware vs Wyoming

Sources: U.S. Bureau of Labor Statistics, Business Employment Dynamics · U.S. Census Bureau, Business Formation Statistics (BFS)

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Compare LLC Costs: Delaware vs Wyoming

Filing Fees & Formation Costs

Delaware charges $90 to form an LLC, while Wyoming charges $100. Delaware is $10 cheaper upfront. The cost that usually gets overlooked: if you form in Wyoming but operate in Delaware, you must also register as a foreign LLC in Delaware — a $200 filing — and maintain a registered agent in Wyoming (typically around $150 per year). That puts the realistic first-year cost of the Wyoming route at roughly $450, versus $90 for simply forming in Delaware. Timing differs more than cost here: Wyoming approves standard online filings in about 1 business day, while Delaware takes about 7 business days.

Taxes: Delaware vs Wyoming

Wyoming has no personal income tax while Delaware does — but forming your LLC in Wyoming will not change that. LLC profits pass through to you and are taxed where you live and operate (in Delaware), not where the LLC is registered, so a Wyoming LLC offers no income-tax savings for a Delaware-based business. Delaware LLCs owe a flat $300 annual LLC tax (no report required). Wyoming charges an annual report license tax of $60 minimum ($62 filed online), based on in-state assets; no franchise or privilege tax otherwise.

Privacy & Asset Protection

Both Delaware and Wyoming allow anonymous LLC formation — neither state requires member or manager names on routine public filings. Both states provide charging-order protection for LLC members, and for most small businesses the practical difference in asset protection between the two is minimal. Wyoming's charging-order statute (W.S. 17-29-503) makes the charging order a creditor's exclusive remedy — including for single-member LLCs — and is widely regarded as the strongest in the country.

Annual Maintenance Costs

Delaware LLCs file an annual report ($300, due June 1), and Wyoming LLCs file an annual report ($62, due in the anniversary month). If you form in Wyoming while operating in Delaware, you maintain filings in both states — Wyoming's report plus Delaware's equivalent for your foreign registration — and pay a Wyoming registered agent roughly $150 per year. That brings ongoing costs of the Wyoming route to roughly $512 per year, versus about $300 to keep a domestic Delaware LLC in good standing. There are also recurring state taxes to weigh on each side. Delaware LLCs owe a flat $300 annual LLC tax (no report required). Wyoming charges an annual report license tax of $60 minimum ($62 filed online), based on in-state assets; no franchise or privilege tax otherwise.

When Wyoming Actually Makes Sense

Forming in Wyoming makes sense in a few specific situations: you need anonymous ownership and Wyoming's privacy protections are central to your planning (typically via a holding company, since operating in Delaware still requires a public foreign registration there), your business genuinely operates in Wyoming — with a real office, employees, or property there, or you are relocating to Wyoming in the near future. For a typical small business based in Delaware, none of these usually apply — and the extra formation, foreign-registration, and maintenance costs of the Wyoming route buy little in return. When in doubt, form where you actually do business.

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