How do you move from an EORto your own entity in Indiana.
You form an Indiana entity, migrate contracts and payroll into it, and Teamed hands the setup back to you intact.
At a glance
What changes when you move
Indiana charges a formation fee of $100 to register a business entity, and corporate income earned in the state is taxed at 4.9%. Everything else, payroll, benefits, and HR processes, transfers over rather than resets.
- Corporate income tax
- 4.9%
- Formation / registration fee
- $100
Why companies move
Growth is the usual trigger
Most companies start with an employer of record because it lets them hire in Indiana fast, without waiting on incorporation paperwork or local tax registrations. That's the right call early on, when headcount is small and you're still proving out the market.
The trigger to move usually isn't a fixed number of employees. It's a mix of how many people you have, what they earn, and how long you plan to stay. Once Indiana looks like a permanent part of your operation rather than a test, owning the entity starts to make more financial sense than paying an EOR fee indefinitely.
The mechanics
What actually happens during the move
Setting up your own entity in Indiana means registering with the Indiana Secretary of State through INBiz, which carries a formation fee of $100. Once the entity exists, you register for state tax accounts and set up payroll withholding under the new entity rather than under Teamed's EOR structure.
The transition itself is a migration, not a restart. Employment contracts, benefits, and payroll history move across to the new entity, and Teamed manages the handoff so employees experience no gap in pay or coverage.
Corporate income earned by the new Indiana entity is taxed at 4.9%, which is a factor worth running through your own finance team alongside the crossover calculator before you commit to a timeline.
Timing
When to start planning the move
Plan the move before you need it, not after. Entity formation, tax registration, and payroll setup all take time, and you don't want to be mid-transition when a hiring deadline hits.
A good rule is to start the conversation once you can see Indiana staying part of your headcount plan for the medium term, regardless of exactly how many people are on the ground there.
Before you commit
Sometimes an employer of record is the better fit
An employer of record is sometimes the better answer, not a lesser one, especially while your Indiana headcount is still small or shifting. If you're testing the market or unsure how long you'll stay, staying on the EOR keeps things simple. Talk to a member of the team about your specific situation, or run the numbers through the crossover calculator first.
Contractors, employer of record and your own entity all run on one platform at Teamed, so moving between them later does not mean changing provider or re-onboarding anybody. Real HR and legal experts handle the work rather than a ticket queue.
Talk to a member of the team and we will tell you plainly which one suits where you are. If you would rather look at the numbers yourself first, the crossover calculator models it on local salaries and employer costs rather than on a headcount rule of thumb.
Who carries it
Your own entity, when it's time. We set it up, migrate you in, and hand it back intact.
Global Entity and Employment Operations, which we call GEMO, is how Teamed forms your company, registers it for tax and payroll, runs it month to month and keeps its filings current, across 100+ countries. You stay the employer. We do the work behind it.
In Indiana, that means we handle the INBiz registration, get your tax accounts set up correctly from the start, and migrate your existing employees and payroll history into the new entity without a gap in pay. We do this across 100+ countries through Global Entity and Employment Operations, which we call GEMO, so the same playbook applies whether Indiana is your first entity or your tenth.
They set up our EU entity and moved hires across without missing a payroll.
Questions
Common questions about moving from an EOR in Indiana
How much does it cost to set up an entity in Indiana?
Indiana charges a formation fee of $100 to register a business entity through INBiz. Beyond that fee, costs depend on your structure, tax registrations, and any ongoing compliance work, which is why it's worth mapping the full picture before you commit.
How is corporate income taxed once I have my own Indiana entity?
Indiana taxes corporate income at 4.9%. That rate applies once your business is operating under its own entity rather than through an EOR arrangement, so it's a factor to build into your cost comparison.
Will my employees notice the move from an EOR to our own entity?
They shouldn't. Contracts, payroll, and benefits migrate across during the transition, and Teamed manages the handoff so pay and coverage continue without interruption.
How do I know if it's time to move off the EOR in Indiana?
There's no fixed headcount that triggers the move. It depends on how many people you employ, what they earn, and how long you intend to stay in Indiana, which is exactly what the crossover calculator is built to work through.
Can Teamed help with the entity setup itself, not just the EOR period before it?
Yes. Through GEMO, Teamed sets up the Indiana entity, handles the registration and tax steps, and migrates your team in, then hands the entity back to you fully intact.
Where these figures come from
Sources
Figures on this page are drawn from the Indiana Department of Revenue and the Indiana Secretary of State's INBiz business registration system.
Looking for a job in Moving From Eor To Your Own Entity yourself? Teamed does not hire people directly. Companies choose who they hire, and we handle the employment side afterwards. Here is why we cannot help with your search.