Last Updated August 28, 2025
An employer identification number (EIN) is required for many businesses, including all corporations and any business that wants to hire employees. Also called a tax ID number, this identifier is used for tax reporting, hiring, opening business bank accounts, and much more.
Thankfully, getting an EIN is pretty simple. You can easily obtain one by applying for one (for free) at IRS.gov. Still, there are important considerations before and while applying, such as cost, processing times, and information required to apply.
In this guide, you’ll learn whether you actually need one, the information you need handy when applying, and how to get an EIN number for your business.
Does Your Business Need an EIN?
Your business needs an EIN if:
- You want to start hiring employees
- You structured your business as a corporation or partnership
- You want to open a business bank account
- You want to apply for a business loan
- You want to build your business credit score
- You want to protect your personal Social Security number
- A business license or permit requires you to have one
If none of these factors apply to you, you likely don’t need a tax ID number.
Still, just because it isn’t required doesn’t mean you shouldn’t get one. The most common reason sole proprietors get EINs is to separate their business and personal finances, which is essential for simpler tax reporting and business budgeting. Having a tax ID number also makes your business look more trustworthy and legitimate to potential customers.
What You Need to Get an EIN
The IRS provides a free online EIN application wizard that will walk you through the steps to get your number. However, you’ll save time and hassle by collecting the required information before starting your application.
Have this information on hand before applying:
- Your legal business name and mailing address.
- The responsible party’s name, Social Security number (SSN), or individual taxpayer identification number (ITIN). You’re likely the responsible party, as the founder or sole proprietor.
- Your business structure (sole proprietorship, corporation, partnership, etc.).
- The reason you’re applying (starting a business, hiring employees, opening a bank account, etc.).
- The date you founded your business. This will be on your business entity documents filed with your state.
- The number of employees you expect to hire in the next 12 months.
- Your industry or type of business activity.
- Any applicable state or local licenses or permits. This applies mostly to regulated businesses, like restaurants or medical clinics.
Double-check all information for accuracy. Incomplete or incorrect applications could result in the IRS kicking back your application.
How to Get Your EIN (Tax ID Number)
After collecting information about your business, follow these simple steps to get your EIN:
- Go to IRS.gov. It will route you to the EIN Assistant online wizard.
- Fill out the requested information in the portal. Be sure to double-check all information for accuracy, missing data, or typos.
- If your application is accepted, the IRS will immediately issue you an EIN. It will also mail you a separate copy, which you should store somewhere safe for future reference.
It’s best to get your tax ID number before starting a business. This way, all of your documentation features your EIN instead of your personal SSN.
If you would prefer to mail in your application instead, download the IRS Form SS-4. Fill it out and mail it to the IRS. If you aren’t sure whether you need an EIN, the second page includes a helpful table clarifying who needs one, as well as instructions for which items to fill out on the form.
How Much Does an EIN Cost?
Getting an EIN is always free if you’re submitting your own application.
With that said, there are third-party services that will apply on your behalf for a fee. While some businesses choose to pay for convenience or assistance navigating the EIN application process, you can avoid the unnecessary expense by applying directly through the IRS online system.
How Long Does It Take to Get Your EIN?
The time it takes to get an EIN depends on how you apply. If you apply for an EIN online through the IRS, you’ll usually receive it immediately after completing the application.
Fax applications typically take about four business days, while mail-in applications can take four to five weeks. International applicants who obtain an EIN by phone may also need to wait several weeks to receive their number.
If you need an EIN quickly, applying online is the best option. If you need to apply via fax or mail, adjust your plans accordingly. You may need to delay hiring employees, requesting a loan, or getting a business bank account until you have a tax ID number.
In-Summary: Applying for an EIN (Tax ID Number)
Whether you’re starting a new business, hiring employees, or simply separating your personal and business finances, knowing how to get an EIN is an important first step to founding a legitimate business. The EIN application process is straightforward and free through the IRS, so there’s no hidden cost to apply for an EIN unless you go with a paid service.
While not every business is required to have an EIN, it can help future-proof your business. Even if you start out small, you may want to hire employees or request a loan to support your big plans—and getting an EIN number today lays the foundation for all of this. If you haven’t already, take the time to get an EIN now so your business is set up for smooth operations from day one.
How to Get an EIN FAQs
How do you get an EIN outside of the U.S.?
If your business is based outside the United States, you can apply for an EIN by calling the IRS at its international number, 267-941-1000. You’ll still need to provide the same details as domestic applicants, but you can’t apply online. This is the only way to obtain a tax ID number if you don’t have a U.S. address or Social Security number.
What can delay the process of getting an EIN?
Incomplete applications and incorrect information can delay getting your EIN. Opting to send your application via fax or mail can also delay the process, as well as applying internationally.
When do you need a new EIN?
You can use the same EIN for as long as your business remains unchanged. However, you’ll need to get a new number if your business changes structure (for example, from a sole proprietorship to a corporation) or if you’re subject to a merger, bankruptcy, or a new partnership.
What happens if you’ve lost or misplaced your EIN?
Look at your IRS paperwork first, such as past tax statements or bank documents. If you can’t find it, call the IRS to retrieve your number.
Are employer identification numbers free to get?
Yes, an EIN is free if you obtain it directly from the IRS. Any fees you see online are charged by third-party companies that will do the paperwork for you, not the IRS.
Michael McCareins is the Content Marketing Associate at altLINE, where he is dedicated to creating and managing optimal content for readers. Following a brief career in media relations, Michael has discovered a passion for content marketing through developing unique, informative content to help audiences better understand ideas and topics such as invoice factoring and A/R financing.
