LLC in New Jersey (2025 Guide): Costs, Taxes & Requirements
Forming an LLC in New Jersey? We break down the $125 filing fee, $75 annual report, and New Jersey specific taxes for 2025.
Table of Contents
Table of Contents
Should you form your LLC in New Jersey?
If you are a non-resident founder, the internet probably told you to choose Wyoming or Delaware. But maybe you have a specific reason to look at New Jersey (like buying real estate in New Jersey or hiring local employees).
This guide breaks down the real costs, taxes, and requirements for a New Jersey LLC in 2025.
Cost Breakdown: Is New Jersey Expensive?
It's not just about the $125 to start. It's about how much it costs to keep the company alive.
| Expense | Cost | Frequency | Notes |
|---|---|---|---|
| LLC Formation Fee | $125 | One-time | Paid to Secretary of State |
| Registered Agent | ~$125 | Annually | Required by law |
| Annual Report | $75 | Annually | Mandatory compliance filing |
| Franchise Tax | Varies | Annually | $500 min per member (Partnerships) |
Compare this: Wyoming charges $100 to start and $60/year. Delaware charges $90 to start but $300/year. Check our full comparison: Best LLC Services for Non-Residents.
The Tax Reality
Many founders forget about state taxes.
1. Income Tax
New Jersey has a personal income tax rate of Top 10.75%.
- If you live abroad: You usually only pay this if you are "doing business" physically in New Jersey (e.g., you have a warehouse or store here).
- If you are remote: You might be exempt, but New Jersey is stricter than Wyoming.
2. Corporate / Franchise Tax
New Jersey has a corporate tax rate of 11.5% (Highest in US). Warning: You must also pay the $500 min per member (Partnerships).
Privacy & Anonymity
Does New Jersey allow you to hide your name from the public record? NO. New Jersey generally requires you to list a Manager or Member on the public Articles of Organization. If privacy is your goal, look elsewhere.
Is New Jersey Right for You?
The Pros
- ✅ Good for local businesses in New Jersey
- ✅ Close to NYC/Philly markets.
The Cons
- ❌ Extremely high taxes
The Verdict
Verdict: Only form an LLC in New Jersey if you have a physical office or employees here. For remote businesses, consider Wyoming or Delaware instead.
If you are just selling on Amazon or running a digital agency, stick to Wyoming or New Mexico. They are cheaper and more private. However, if you are buying a rental property in New Jersey, you must form the LLC in New Jersey to comply with local laws.
graph TD
A[Start: Do you have a physical office in New Jersey?] -->|Yes| B[Form LLC in New Jersey]
A -->|No| C[Are you buying Real Estate in New Jersey?]
C -->|Yes| B
C -->|No| D[Are you a remote Non-Resident?]
D -->|Yes| E[Choose Wyoming or New Mexico]
Next Steps
- Need a Registered Agent? See our review of Northwest Registered Agent.
- Need a Bank Account? Read Best US Business Bank Accounts.
- Need an Address? Read How to Get a US Business Address.
Fact Checked & Verified
This article was reviewed by our editorial team for accuracy. Strategies regarding LLC formation and credit building are based on current 2025 regulations.