The fees charged by the USPTO for a new patent application can be significant when added to the legal and costs of preparing the application.
Fortunately, the USPTO offers substantial fee discounts for applicants who meet specific eligibility criteria. Aimed at small businesses, nonprofits, individual inventors, and educational institutions, these discounts can reduce total fees by up to 80%.
For example, the $2,000 filing fee that a company like Google or Apple might pay is reduced to just $400 for a solo inventor meeting the income threshold.
The fee discounts apply not only to filing fees, but also prosecution fees, issue fees, and even post-issuance maintenance fees.
Small Entity Status
A “small entity” is an independent inventor, nonprofit institution, or a business with 500 or fewer employees.
Small entities receive a 60% discount on most patent fees charged by the USPTO. For example, as of 2025, the full government fee to file a nonprovisional patent application is $1,820. A micro entity pays just $455.
Small entity status cannot be claimed if the invention has been assigned or licensed to a large entity, or if there is a contractual obligation to do so.
Micro Entity Status
A micro entity receives an 80% discount on most USPTO fees. The criteria for this discount is more specific. To qualify as a micro entity, you need to meet all of the following conditions:
- The applicant qualifies as a small entity (including not having been assigned, licensed, or under obligation to be assigned or licensed to a large entity).
- The applicant and inventors have been named on no more than four prior U.S. nonprovisional patent applications
- The applicant and all inventors had gross income in the previous calendar year less than three times the U.S. median household income (currently $241,830 but changing every year).
Additionally, universities and colleges may qualify regardless of income or prior filings.
Important Details
Micro entity status must be re-evaluated each time you pay a fee to the USPTO. It’s important to reassess your status at every stage: application filing, time extensions, issue fee payments, and maintenance fees. If your eligibility changes and you fail to update your status, your patent rights may be at risk.
The USPTO uses a self-certifying system for entity status; it’s your responsibility to confirm your eligibility. Claiming a fee reduction improperly — even by mistake — can lead to costly consequences.
Need Help Determining Your Status?
Understanding your eligibility can make a real difference in the total cost of patenting. If you’re unsure whether you qualify for micro or small entity status, we’re happy to help you evaluate your options and maximize your savings.
Let’s talk. Book a consultation to explore your options.