<img height="1" width="1" style="display:none;" alt="" src="https://dc.ads.linkedin.com/collect/?pid=118459&amp;fmt=gif">
Show all

2024 PCORI Fee

fee written on wood blocks with up and down arrow

1 minute read

The IRS issued Notice 2023-70, which increases the fee for plan years ending on or after October 1, 2023, and before October 1, 2024, to $3.22 multiplied by the average number of lives on the plan.

PCORI Fee Applicability

The Affordable Care Act imposes a fee on health insurance issuers and self-insured plan sponsors to fund comparative effectiveness research. These fees are called PCORI fees. The PCORI fee was originally scheduled to expire in 2019, but it was extended for another 10 years. As a result, it will apply through the plan or policy year ending before October 1, 2029.

 

Payment Deadline

PCORI fees must be paid annually using IRS Form 720 by July 31 of the year following the last day of the plan year. For plans ending in 2023, the next payment is due July 31, 2024. Employers with self-insured health plans should have reported and paid PCORI fees for 2022 by July 31, 2023.

 

Calculate PCORI

PCORI fees are calculated based on the average number of covered lives under the plan or policy. Final rules outline a number of alternatives for issuers and plan sponsors to determine the average number of covered lives. Download the bulletin for more details.

 

IRS Resources

PCORI Fee Overview Page

PCORI Fee: Questions and Answers

PCORI Fee Due Dates and Applicable Rates

Chart: Application of the PCORI Fee to Common Types of Health Coverage or Arrangements

Access now

National Insurance Services is not a law firm and no opinion, suggestion, or recommendation of the firm or its employees shall constitute legal advice. Readers are advised to consult with their own attorney for a determination of their legal rights, responsibilities and liabilities, including the interpretation of any statute or regulation, or its application to the readers’ business activities.

woman working on computer
Price Comparison Transparency Tool Expanded for 2024
October 25, 2023
piggy bank sitting on top of health insurance policy
Over Half of Americans Had Employer-based Health Insurance in 2022
October 25, 2023
Steve Smith

Steve Smith

Steve Smith is a powerhouse of energy, living by the mantra "work hard, play hard." As an expert in uniting teams for a greater purpose, Steve's innovative and creative strategies in employee health and wellness are game-changers. With over 25 years of expertise in health insurance, covering compliance, cost mitigation, utilization, analytics, wellness plans, and strategic planning, Steve is the go-to expert for driving down utilization trends and fostering a culture of well-being. His clients trust him to deliver exceptional results, making him an invaluable asset in the industry. As an Employee Benefits Consultant, Steve specializes in health care consulting for Minnesota public sector organizations including fully insured, self-insured, and stop-loss plans. Steve is a licensed insurance agent and holds the designations for Managed Healthcare Professional (The Health Insurance Association of America), Certified Patient Protection and Affordable Care Act Professional (National Association of Health Underwriters), and Group Benefits Disability Specialist (Hartford School of Insurance).