How to Get an EIN: A Complete Guide for Your Business

If you're starting a business, you've probably heard that you'll need an EIN. But what exactly is an EIN, who needs one, and how do you get one?

An Employer Identification Number, or EIN, is a federal tax identification number issued by the Internal Revenue Service (IRS). It identifies a business or other entity for federal tax purposes.

For many businesses, getting an EIN is one of the first steps after forming the business entity.

The good news is that getting an EIN is generally straightforward—and the IRS does not charge a fee to obtain one. Eligible businesses can apply directly through the IRS and receive an EIN online.

In this guide, we'll explain exactly how to get an EIN, what you'll need before applying, who needs one, and what you should do after receiving it.

What Is an EIN?

An Employer Identification Number (EIN) is a nine-digit federal tax identification number assigned by the IRS.

Despite the word "Employer" in the name, you don't necessarily need employees to have an EIN.

EINs are used to identify businesses and other organizations for federal tax and reporting purposes.

An EIN may be used when you:

• Open a business bank account
• Hire employees
• File certain federal tax returns
• Apply for certain business licenses
• Apply for business credit
• Handle certain tax payments or filings
• Operate a partnership or corporation

The IRS identifies EINs as federal tax IDs for businesses and other entities.

Do I Need an EIN?

Whether you need an EIN depends on how your business is structured and how it operates.

You generally need an EIN if your business:

• Has employees
• Operates as a corporation
• Operates as a partnership
• Is an LLC that is required to have an EIN under its federal tax classification
• Is subject to certain employment, excise, or other federal tax requirements
• Is a tax-exempt organization or certain other types of entities

Even when an EIN isn't strictly required for federal tax purposes, a business may still choose to obtain one for banking or state-related purposes.

What about a sole proprietor?

A sole proprietor may not always be required to obtain an EIN if they have no employees and don't otherwise meet the IRS requirements.

However, some sole proprietors choose to obtain one for business or banking purposes.

The important point is that having an EIN and being required to have an EIN are not always the same thing.

If you're unsure whether your business needs an EIN, consider the requirements that apply to your specific business structure and tax situation.

When Should You Get an EIN?

In most cases, you should get your EIN after your business has been legally formed if you're creating an LLC, corporation, partnership, or another entity that requires formation.

This is an important distinction.

You generally don't want to apply for an EIN for an entity that hasn't been legally created yet.

For example, if you're forming an LLC:

• Choose your business structure.
• Choose and verify your business name.
• Form the LLC with the state.
• Obtain your EIN from the IRS.
• Complete any applicable state tax registrations, licenses, and permits.

If you haven't formed your LLC yet, see our guide:

→ How to Form an LLC

If you're still deciding which structure is right for you:

→ LLC vs. Corporation

How to Get an EIN Online

For most eligible U.S.-based businesses, the easiest way to get an EIN is through the IRS online application.

The IRS provides the online EIN application free of charge.

Step 1: Make sure your business is eligible

The IRS online application is generally available to organizations that:

• Were formed in the United States or U.S. territories
• Have their principal place of business in the United States or U.S. territories
• Have an eligible responsible party
• Have the responsible party's Social Security number or Individual Taxpayer Identification Number

The IRS online application must be completed in one session and cannot be saved for later. The session expires after 15 minutes of inactivity.

Step 2: Identify the responsible party

The EIN application requires you to identify a responsible party.

The responsible party is generally the individual who owns, controls, or has effective control over the business and its funds or assets.

The IRS requires the responsible party to be a person rather than an entity, with limited exceptions for government entities.

You'll generally need the responsible party's:

• Name
• Taxpayer identification number
• Other information requested by the application

Step 3: Gather your business information

Before starting the application, have your business information available.

Depending on your circumstances, you may need information such as:

• Legal business name
• Trade name, if different
• Business address
• Type of business entity
• Responsible party information
• State where the business was formed
• Reason for applying
• Date the business was started or acquired
• Information about employees, if applicable
• Expected first date wages will be paid, if applicable

Having this information ready makes the application much easier.

Step 4: Complete the IRS application

Complete the EIN application through the IRS.

You'll answer questions about your business and its structure, provide the responsible party information, and submit the application.

If you're eligible to use the online system and the application is successfully completed, the IRS can issue your EIN immediately.

Step 5: Save your EIN confirmation

Once your EIN is issued, save the confirmation information immediately.

Keep it with your permanent business records.

You'll likely need your EIN again when dealing with:

• Banks
• Payroll providers
• Tax filings
• Business licenses
• Accounting software
• Government agencies
• Business vendors

Don't assume you'll be able to easily find the number later.

How Much Does It Cost to Get an EIN?

An EIN is free when obtained directly from the IRS.

This is important because there are third-party websites that charge fees to assist with EIN applications.

You do not have to pay someone to obtain an EIN for you.

The IRS provides the EIN application directly at no charge.

Be careful with EIN services

If you search online for "get an EIN," you may encounter companies offering to obtain one for you for a fee.

Some businesses may legitimately provide assistance, but the EIN itself does not have a government application fee.

For a straightforward business, many owners can apply directly through the IRS.

Can You Get an EIN Without an LLC?

Yes.

An LLC is not the only type of business that can have an EIN.

EINs can be issued to various types of businesses and organizations, including:

• Sole proprietorships
• Partnerships
• Corporations
• LLCs
• Nonprofit organizations
• Estates
• Trusts
• Other qualifying entities

The fact that a business has an EIN does not tell you what type of business structure it is.

If you're deciding how to structure your business, see:

→ LLC vs. Corporation

How to Get an EIN for an LLC

If you've formed an LLC, you may need an EIN depending on how the LLC is classified for federal tax purposes.

For example, an LLC can have different federal tax classifications.

The EIN application will ask questions about your entity and its tax classification.

The key is to make sure the information you provide matches the business you've actually formed and the way you're treating the business for federal tax purposes.

If you haven't formed your LLC yet, start here:

→ How to Form an LLC

What Is Form SS-4?

Form SS-4 is the IRS form used to apply for an Employer Identification Number.

For many U.S.-based businesses, the online EIN application is the simplest option.

However, the IRS also provides methods for applying by fax or mail, and certain international applicants have additional options.

If you use Form SS-4, make sure the information matches your actual business and entity records.

How Long Does It Take to Get an EIN?

For eligible applicants using the IRS online application, an EIN can generally be issued immediately online after successful completion of the application.

Other application methods can take longer.

The IRS currently provides online, fax, and mail options for qualifying applicants, while international applicants may have additional procedures.

For most U.S.-based small businesses, the online application is the fastest and simplest option.

What Should You Do After Getting Your EIN?

Getting an EIN is an important milestone, but it doesn't mean your business is completely set up.

Your EIN is one piece of the larger business compliance picture.

After receiving your EIN, you may need to:

1. Open a business bank account

Many banks request your EIN when establishing a business account.

Keeping business finances separate from personal finances is also an important part of maintaining clean business records.

2. Register for state taxes

Depending on your business and state, you may need to register for state income, sales, employer, or other applicable taxes.

An EIN does not automatically complete your state tax registrations.

3. Obtain required licenses and permits

Your business may need state, county, or city licenses and permits.

The requirements depend on your industry, location, and activities.

→ Do I Need a Business License?

4. Set up payroll if you have employees

If you hire employees, you'll have additional federal, state, and local requirements.

These can include payroll tax registrations, withholding, reporting, and filing obligations.

5. Track your ongoing compliance requirements

This is the part many new business owners overlook.

Getting your EIN is a one-time setup task.

But your business may have ongoing deadlines after formation.

Those can include:

• Annual reports
• Tax filings
• License renewals
• Permits
• Registered agent requirements
• State filings
• Federal filings
• Local requirements

This is where business compliance becomes an ongoing process rather than a one-time setup task.

Start Tracking Your Business Compliance →

Startup to Corporate helps business owners organize important business requirements and deadlines in one place so that important obligations are easier to track as the business grows.

What If You Lose Your EIN?

It happens.

If you've forgotten your EIN, you don't necessarily need to apply for another one.

The IRS provides options for businesses to confirm an EIN that has already been assigned. These can include obtaining certain IRS transcripts or contacting the IRS.

Don't automatically apply for a second EIN just because you can't find the first one.

Can You Get a New EIN If Your Business Changes?

Not necessarily.

A change to your business doesn't automatically mean you need a new EIN.

Whether a new EIN is required depends on the specific change and the entity's circumstances.

For example, changes involving ownership, structure, or business organization can have different consequences.

If you're unsure, check the IRS rules before applying for another EIN.

What Happens If Your Responsible Party Changes?

The IRS requires businesses to keep responsible-party information current.

If the responsible party changes, the IRS generally requires the change to be reported using Form 8822-B within 60 days.

This is a good example of why getting an EIN isn't the end of your compliance responsibilities.

Your business information can change over time, and some changes require action.

EIN Checklist

Before you finish setting up your business, make sure you've completed these steps:

• Determine whether your business needs an EIN
• Legally form your business entity, if applicable
• Identify the responsible party
• Gather your business information
• Apply directly through the IRS
• Save your EIN confirmation
• Provide your EIN to your bank or other providers when required
• Complete applicable state tax registrations
• Obtain required licenses and permits
• Set up payroll requirements if you have employees
• Track ongoing business filing and renewal deadlines

The Bottom Line

Getting an EIN is one of the simpler steps involved in starting a business.

For eligible U.S.-based businesses, you can apply directly through the IRS online, for free, and generally receive your EIN immediately.

But an EIN is only one part of setting up and maintaining a business.

After formation, businesses may have state registrations, licenses, tax requirements, annual filings, renewals, and other ongoing obligations.

The challenge isn't necessarily completing one more form.

It's remembering everything that comes after it.

Get Your Business Organized →

Startup to Corporate helps you keep track of the registrations, licenses, deadlines, and compliance requirements that come with running a business—so you can spend less time wondering what you're supposed to do next.