Each year self-funded plan sponsors must file the Patient-Centered Outcomes Research Institute (PCORI) fee. Applicable employers should use one of four methods to calculate the amount owed and submit the required fee to the IRS using Form 720 by July 31. Detailed guidance on completing Form 720 can be found in the IRS-provided instructions.
For plans years ending January 31, 2022, through September 30, 2022, the fee per individual covered is $2.79. For plans ending October 31, 2022, through December 31, 2022, the fee per covered individual is $3.00. Click here for a summary fee schedule. (The IRS has yet to release an updated Form 720 needed by those plans subject to the $3 fee. Once available, Bukaty Companies will release the updated form and instructions.)
Sponsors of multiple self-insured plans such as a health plan and health reimbursement arrangement (HRA) with the same plan year can treat those plans as a single plan for purposes of calculating the fee.
Employers who file the second-quarter Form 720 only to report the PCORI fee are not required to file in other quarters. Carriers will pay the fee on behalf of fully insured plans. The fee is included in monthly premiums plan sponsors pay throughout the year.
Employers seeking answers to commonly asked questions regarding the fee can refer to an IRS Q&A.
For assistance with filing, contact your Bukaty benefits consultant at 913.345.0440.
