Do I qualify as a micro entity?
atenting an idea can be expensive, but the United States Patent and Trademark Office (USPTO) offers a massive discount that many inventors overlook. It is called Micro Entity Status, and if you qualify, you can receive 75% off most patent fees.
According to my calculations, this designation could save you over $3,900 during the life of an average patent—making the difference between an affordable project and a budget-busting expense.
What is Micro Entity Status?
The USPTO has three tiers of pricing:
- Undiscounted: For large corporations.
- Small Entity (40% off): For small businesses and independent inventors.
- Micro Entity (75% off): For individual inventors with lower income levels and limited patenting history.
Most independent inventors automatically qualify as a “Small Entity,” but taking the extra step to certify as a “Micro Entity” nearly doubles your discount.
The New 2026 Income Limit
To qualify as a Micro Entity based on gross income, you must meet the USPTO’s strict financial threshold. This number is adjusted periodically based on the national median household income.
The Current Rule: To qualify, your gross income must be less than $252,000 USD for the preceding calendar year.
Note: This limit applies to each inventor and applicant listed on the patent. If you are filing with a co-inventor, both of you must meet this income requirement.
4 Steps to Qualify for the 75% Discount
To officially claim Micro Entity status, you must certify that you meet all four of the following criteria:
- You qualify as a Small Entity (generally meaning you have fewer than 500 employees and have not assigned the patent to a large corporation).
- You have not been named as an inventor on more than 4 previously filed patent applications. (Note: Provisional applications and foreign applications do not count toward this limit).
- Your Gross Income is under the limit. As mentioned above, your reported gross income on your tax return must be less than $252,000.
- You have not assigned the patent rights to an entity that exceeds the gross income limit (e.g., you haven’t sold the invention to a company that makes more than $252k/year).
Alternative Qualification: You can also qualify regardless of income if your employer is an institution of higher education (like a university), but the “Gross Income” basis is the most common path for independent inventors.
How to File for the Discount
Determining your status can be tricky, but getting it wrong can jeopardize your patent validity. I suggest you double-check your eligibility using the free Micro Entity Patent Calculator, which will calculate your status and email you a confirmation of your results.
Once you are sure you qualify, you must fill out and file the Certification of Micro Entity Status (Form SB/15A) at the time you submit your patent application.
By taking five minutes to verify your status and file this single form, you can drastically reduce the barrier to protecting your intellectual property.
