PCORI Fee Rates
| Plan Year Ending | Fee per Covered Life |
|---|---|
| Oct 1, 2024 – Sep 30, 2025 | $3.22 |
| Oct 1, 2025 – Sep 30, 2026 | $3.84 |
| Oct 1, 2026 – Sep 30, 2027 | TBD (indexed to NHE) |
Average Covered Lives Calculation
The PCORI fee is calculated by multiplying the applicable dollar amount by the average number of covered lives. Average covered lives can be calculated using: (1) the actual count method (average of covered lives on the first day of each month); (2) the snapshot method (average of covered lives on a single day in each quarter); or (3) the Form 5500 method (using enrollment data from the Form 5500). The snapshot factor method applies a multiplier to enrolled employees to estimate total covered lives.
Form 720 Filing
Compliance Note
Self-funded plans must report and pay the PCORI fee on IRS Form 720, due July 31 each year. The fee is reported on Part II, Line 133. For plans with plan years ending between January 1 and September 30, the fee is due July 31 of the same calendar year. For plans with plan years ending between October 1 and December 31, the fee is due July 31 of the following calendar year.