Home · Guides · What is an EIN
Taxes
What is an EIN, and do you need one?
An EIN — Employer Identification Number — is basically a Social Security number for your business. It’s a free, nine-digit ID the IRS uses to identify your company. Here’s when you need one and how to get it.
What an EIN is for
Your EIN identifies your business to the IRS the way your SSN identifies you. You’ll use it to file business taxes, open a business bank account, hire employees, and apply for licenses or credit.
Do you need one?
You generally need an EIN if any of these are true:
- Your business is a multi-member LLC or a corporation.
- You have (or plan to hire) employees.
- You want to open a business bank account — most banks require one.
- You want to keep your SSN off vendor and client paperwork.
Even a single-member LLC with no employees often gets one, simply because banks ask for it and it keeps your personal SSN private.
How to get an EIN
The IRS issues EINs for free. You can apply directly at irs.gov in a few minutes once your business is formed, and you’ll usually get the number immediately. Be wary of sites that charge a large fee for “EIN registration” — the number itself never costs anything.
If you’d rather not deal with the form, Filerra requests your EIN from the IRS for you as part of forming your business on the Pro plan, so it’s handled alongside your filing.
After you get it
Store your EIN confirmation letter (the IRS calls it a CP-575) somewhere safe — banks and lenders will ask for it. You’ll reuse the same EIN for the life of the business.
We’ll get your EIN for you
On the Pro plan, Filerra requests your EIN from the IRS as part of forming your business.
General information, not tax advice. EIN rules and IRS processes can change — confirm details at irs.gov. Filerra is not a law firm or accounting firm.