What is an EIN?

EIN stands for “employee identification number” and it’s the number assigned to your startup for tax purposes. Think of it like your company’s social security number. The EIN is also known as a Federal Tax Identification Number.

The EIN is nine digits in this format: XX-XXXXXXX.

Does my business need an EIN?

Most businesses do need an EIN — they’re necessary for filing taxes and for payroll. EINs are needed by employers, sole proprietors, corporations, partnerships, non-profit associations, trusts, estates of decedents, government agencies, some individuals, and some business entities. Some businesses are exempt from having an EIN, but may choose to get one anyway as having an EIN can make certain government processes simp...