How to Get an EIN for Free (And Why Some Sites Charge You $250 for It)

An EIN, or Employer Identification Number, is the tax ID for your business. It is what you give a bank to open a business account, what goes on tax filings, and what a client asks for on a W-9. It is issued by the IRS and it is free.

The part that costs people money

Search “get an EIN” and the paid results are companies that will happily charge you a few hundred dollars to type your information into the IRS form on your behalf. There is no faster tier, no better EIN, and no advantage. Apply directly at IRS.gov and you pay nothing.

Do you actually need one?

You need an EIN if you have employees, if your business is a partnership or corporation, or if you have a multi-member LLC. A single-member LLC with no employees can technically use the owner Social Security number, but most banks will still ask for an EIN to open a business account, and handing out an EIN instead of your SSN on client paperwork is worth the ten minutes on its own.

How to apply

The online application runs during IRS business hours and issues the number immediately at the end of the session. Have your legal business name exactly as registered, your business address, and the responsible party details ready. Do not start the application until you have those, because the session times out and does not save.

After you have it

Save the confirmation letter somewhere permanent. You will be asked for it by banks, payment processors, and occasionally by larger clients setting you up as a vendor. Re-requesting it later is possible but slower than filing it properly today.

One caution

Your EIN is not secret in the way your Social Security number is, but it is not something to publish either. Give it to banks, tax filings, and legitimate clients who need a W-9. Be skeptical of anyone else asking.