Getting a federal EIN — your employer identification number — is one of the first setup steps, and it's free straight from the IRS. The real question most new owners have is just whether they need one, and how to do it without paying a service to do it for them. You're required to have one the moment you run payroll. But even as a sole proprietor with no employees, two reasons make it worth getting: it keeps you from handing your Social Security number out all over town, which matters in an age of identity theft, and most banks want an EIN before they'll open a business account. You can apply online in a few minutes, or mail in Form SS-4 — either way, it costs nothing, and the IRS has a short questionnaire that tells you whether you even need one. One order-of-operations tip that saves a headache: reserve your business name with the Secretary of State first. I've watched owners get the EIN, then change the name — and now they're redoing the federal paperwork too. Name first, then EIN.

Snail Mail Fillable PDF: https://www.irs.gov/pub/irs-pdf/fss4.pdf 

Applying online: https://www.irs.gov/businesses/small-businesses-self-employed/get-an-employer-identification-number

Do you need an EIN: https://www.irs.gov/businesses/employer-identification-number#whoneedsanein Need help doing this for your business?

Find a local bookkeeper or use our service: https://calendly.com/coeurbridge

If you prefer to learn by video: https://youtu.be/dOxmvkiww1k

Hosted by Julie Bonner. Bookkeeping and financial help for business owners — https://coeurbridge.com