I have a full-time job. Should I create an LLC for my side hustle?

A lot lot of people will tell you to just use a registered agent, and form a Wyoming or New Mexico LLC. That works, but remember you still need to file a beneficial ownership report under the CTA now (unless you qualify for an exemption, which as a solo side-hustler you probably don't). So it's not exactly anonymous anymore, at least not to FinCEN.

Wait, CTA? Is that the same as the Corporate Transparency Act? I thought that got tied up in court or something.

Yeah it's the Corporate Transparency Act. Last I checked it was still in effect for new entities, though there Was a lot of back and forth. Honestly I'm not 100% sure where it stands right now. Point is, the "anonymous LLC" thing is more complicated than it was a few years ago.

OP, if your main goal is just keeping your home address off the internet, you don't necessarily need an LLC. A registered agent service + using a business address (like a UPS mailbox) on your filings might do the trick depending on your state. But some states still publish the member's address in the formation docs, so check that first.

I did exactly what you're considering a couple years ago. Formed a WY LLC for my consulting side gig while working full-time. It was pretty painless and my address never showed up in public search results. The annual report fee is cheap. But honestly the main benefit for me was liability separation, not privacy. The privacy was just a nice bonus. Anyway, my two cents.

Ngl "anonymous LLC" sounds way cooler than it actually is. You're not gonna be James Bond. You're just a guy who paid $100 to a registered agent in Cheyenne.

Lol FlannelDad speaking truth. But yeah, if you want privacy you'll want to avoid forming in your home state if it publishes member info. I think Wyoming and New Mexico are still popular for that.

Don't forget you'll likely need a separate business bank account, and some banks are finicky about opening accounts for out-of-state LLCs. That was the biggest headache for me. Privacy on paper is great until you're on the pphone with a bank rep for two hours.

This. The banking thing is underrated. Also if you're in a state like California, they'll charge you an $800 minimum franchise tax even if your LLC is formed elsewhere and you're ding business there. Depending on where OP lives that could be a dealbreaker.

Did the CTA thing actually get enforced yet? I keep hearing different things from different people.

As far as I know it's still a requirement to file the BOI report for new LLCs, but the enforcement landscape is murky. I filed mine to be safe. It's not hard—just don't love handing over my driver's license to the feds.

Murky is the perfect word for for it. Also OP—if your side hustle is just you doing web design under your own name, an LLC is fine but you might not get as much privacy as you think if you're marketing yourself personally. Just something to consider.

Honestly for $1500-2000/mo I'd probably just get a registered agent and use a virtual address, skip the LLC entirely unless you're worried about liability. That's just me though.