What the PCORI Fee Is
The Patient-Centered Outcomes Research Institute (PCORI) was created by the ACA to fund research that helps patients, providers and policymakers make better-informed health care decisions. It’s funded in part by an annual PCORI fee on health insurance policies and self-funded health plans.
The fee is currently scheduled to apply to plan years ending before October 1, 2029.
Who Pays It
- Fully insured plans: The insurance carrier pays the fee. Employers don’t file or pay anything separately for the insured plan, and the cost is generally reflected in premiums.
- Self-funded and level-funded plans: The employer (plan sponsor) reports and pays the fee to the IRS on Form 720, due July 31 of the year after the plan year ends.
- HRAs, including ICHRAs: An HRA is a self-funded plan, so an employer that offers one generally pays the PCORI fee for it, even if its accompanying medical plan is fully insured.
The fee doesn’t apply to excepted benefits, such as stand-alone dental and vision plans and most health FSAs, or to HSAs.
Fee Amounts
The fee is based on the average number of covered lives during the plan year, multiplied by an amount the IRS updates each year.
| Plan years ending | Amount per covered life | |
|---|---|---|
| Oct. 1, 2025 – Sept. 30, 2026 | $3.84 | |
| Oct. 1, 2024 – Sept. 30, 2025 | $3.47 | |
| Oct. 1, 2023 – Sept. 30, 2024 | $3.22 |
For example, the fee for a calendar-year plan ending December 31, 2025, uses the $3.84 amount and is due July 31, 2026.
For current amounts and official guidance, see the IRS’s Patient-Centered Outcomes Research Institute Fee page.
Important: This information is provided for general educational purposes and reflects the rules as of November 2026. It is not legal or tax advice. How these rules apply depends on each employer’s specific circumstances, so employers should review their situation with their own legal counsel, ERISA attorney, CPA or tax advisor.