New Mexico's zero annual fee structure means a shelf LLC costs almost nothing to keep alive for years, making it useful as a holding layer or placeholder entity in a multi-LLC stack where Wyoming handles the operational or high-exposure piece.
Wyoming LLC
Wyoming charges $100 to file and a $60 annual report fee, making it affordable, though not the cheapest option. The real draw is its single-member charging order protection, codified since 2010, which means a creditor who wins a judgment against you personally cannot seize or force a sale of your LLC interest. Wyoming also has no state income tax and no franchise tax on LLCs. For anyone running crypto assets or high-value holdings through a domestic structure, Wyoming's layered LLC structures for crypto are worth reviewing before you file.
New Mexico LLC
New Mexico has the lowest formation cost of any U.S. state at roughly $50 to file, and it has no annual report and no annual fee after formation. The privacy angle is real: New Mexico does not require member or manager names on the Articles of Organization, so your name never appears in the public record. The weakness is that New Mexico's charging order statutes are less tested in court than Wyoming's and are generally considered weaker protection for single-member LLCs. If you want the lowest cost, lowest maintenance, anonymous holding shell and you are not anticipating serious creditor exposure, New Mexico delivers that cleanly.
Things people ask first.
Which state offers better privacy, Wyoming or New Mexico?
New Mexico is stronger on paper because it never requires member or manager names in any public filing. Wyoming requires a registered agent and does collect member information, though it is not displayed in a public searchable database. For maximum name-off-record anonymity, New Mexico wins at formation.
Which state has better asset protection?
Wyoming has significantly more developed case law and an explicitly codified single-member charging order statute. New Mexico's charging order protections are newer and less tested, which matters if a creditor actually litigates. For serious asset protection, Wyoming is the more defensible choice.
Do I need to pay taxes in Wyoming or New Mexico if I live in another state?
Neither state imposes a state income tax on LLC pass-through income. You owe income tax in your state of residence regardless of where the LLC is formed, and you still owe federal taxes. The LLC state is largely irrelevant for your personal tax bill.
Can I use a New Mexico LLC as an anonymous holding company?
Yes. A New Mexico LLC with a registered agent and no named members on the public record is one of the cleanest domestic anonymous holding vehicles available. It works well as a real estate title holder or as a layer within a larger structure.
Is there a reason to use both a Wyoming LLC and a New Mexico LLC together?
Yes, and it is a common structure. A New Mexico LLC holds the high-value asset anonymously, while a Wyoming LLC acts as the managing member and absorbs liability exposure. This separates the ownership record from the operating risk.
Do I need a registered agent in Wyoming and New Mexico if I live in another state?
Yes, both states require a registered agent with a physical in-state address. Registered agent services typically cost between $50 and $150 per year per state, and this is the main ongoing cost difference between the two options.
Want the full domestic and offshore LLC stack, not just two states?
The Offshore Playbook covers how Wyoming and New Mexico LLCs connect to offshore holding companies, trust layers, and banking setups that the Wyoming vs. New Mexico comparison only scratches. Gramps.chat can walk you through which structure fits your asset profile today.
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