An Employer Identification Number (EIN), also known as a Federal Tax Identification Number, is a nine-digit number assigned by the Internal Revenue Service (IRS) to business entities operating in the United States for identification purposes. Think of it as a Social Security number for your business. You'll need an EIN if you plan to hire employees, operate your business as a corporation or partnership, file tax returns for certain types of businesses, or open a business bank account. Fortunately, obtaining an EIN is a straightforward process, and it is entirely free when you apply directly through the IRS. Many third-party services offer to obtain an EIN for you, often for a fee. While some of these services can be helpful for entrepreneurs who want assistance with the entire business formation process, it's crucial to understand that the EIN itself is a free government-issued identifier. You do not need to pay any company or service to get an EIN. This guide will walk you through the official, free method of acquiring your EIN directly from the IRS, ensuring you avoid unnecessary expenses and potential scams.
Start your formation with Lovie — $29/month, everything included.