Getting your Federal Employer Identification Number (FEIN) is a crucial step when starting a business. The time it takes for the IRS to send out the FEIN paperwork can vary, but knowing the specifics can help manage expectations and keep your business operations running smoothly.
How the FEIN Application Process Works
The IRS provides several methods to apply for an FEIN:
- Online Application: The fastest method, offering an immediate response.
- Fax: Allows you to receive your FEIN by fax within four business days.
- Mail: The most time-consuming option, where you need to send the completed form SS-4 to the IRS, with processing times that can be considerably longer.
- Phone: An application method restricted to specific business structures, where you can receive your number over the phone.
Processing Times for Each Method
Online Application
If you apply online, you'll typically receive your EIN immediately after the application process is completed. However, you won't receive any physical paperwork from the IRS.
💡 Note: Keep a digital copy of your confirmation number for records.
Fax
| Day of Application | Expected Response Time |
|---|---|
| Monday through Thursday | Within four business days |
| Friday | Could take up to 7 days if submitted after 4 pm |
Mailing your application is the slowest method, taking anywhere from four to six weeks. This method is less used nowadays due to the immediacy of other options.
Phone
If you’re eligible for a phone application, you can receive your FEIN right away during the call, but no physical paperwork is sent.
Factors Affecting FEIN Processing Time
- Accuracy of Application: Mistakes or missing information can lead to delays in processing your application, particularly for fax or mail submissions.
- Volume of Applications: Busy periods like the end of the fiscal year might see delays.
- Method of Application: Online applications are typically processed the fastest.
What to Do After Receiving Your FEIN
Here's what to do once you've received your FEIN:
- Open a Business Bank Account: Having an EIN is necessary for setting up a business bank account.
- File Taxes: Use your FEIN for federal and state tax filings.
- Legal Requirements: Apply for licenses, permits, or registrations using your FEIN.
- Record Keeping: Keep your FEIN and related documents safe for future reference.
📌 Note: Always retain a copy of your EIN confirmation for your records.
In closing, understanding the timing for FEIN paperwork helps in planning your business activities efficiently. While waiting, ensure you've completed other steps towards setting up your business. Remember, the online application is the fastest, but if you require physical documents, fax or mail might be necessary. Being aware of the application process and potential delays ensures a smoother start to your business operations.
Can I receive my EIN through email?
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No, the IRS does not issue EINs via email, although some third-party providers do offer EIN services through email. For direct IRS methods, you’ll receive your EIN either online, by fax, by phone, or through the mail.
Is there an expedited service for obtaining an FEIN?
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The online and phone application methods are as close to expedited services as you can get, providing immediate EINs. There is no official expedited processing service for mailed applications.
How can I track the status of my mailed FEIN application?
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You can contact the IRS by phone or check their website for updates. However, the IRS does not provide real-time tracking for mailed applications, so patience and following up after an expected processing time is necessary.
