Skip to content

Benefits Login
DataPath Administrative Services
  • Home
  • Employees
    • FSAs
    • HSAs
    • HRAs
    • COBRA
    • Learning Center
    • Forms Library
    • Captain Contributor
      • Explains FSAs
      • Explains HSAs
      • Explains HRAs
      • Explains DCAPs
      • Explains LSAs
      • Explains Transit Accounts
      • Explains Debit Cards
      • Explains COBRA
    • Shopping with Your FSA and HSA
    • FSA/HSA Eligible Expenses
  • Employers/Brokers
    • FSA Administration Services
    • HSA Administration Services
    • HRA Administration Services
    • COBRA Administration Services
    • Employee Education and Engagement
    • Forms and Materials Library for Employers
  • Blog
  • About
  • Contact
PCORI Fees; Middle aged female boss wearing a black shirt and sitting in a red room. She's holding a folder and looking at the camera

PCORI Fees Deadline is Coming Up!

Share this:

  • Click to share on Twitter (Opens in new window)
  • Click to share on Facebook (Opens in new window)
  • Click to share on LinkedIn (Opens in new window)
  • Click to email a link to a friend (Opens in new window)
PCORI fees

Employers with a group health plan are familiar with PCORI fees. The fees help fund the Patient-Centered Outcomes Research Institute (PCORI), which was founded as a part of the Affordable Care Act (ACA) in 2010. See below for more information on 2019 PCORI fees, what the money pays for, and the future of PCORI payments.

PCORI Fees

In 2019, the fee is $2.45 per plan participant, for plan years ending from October 1, 2018 through September 30, 2019. This is a $0.06 increase from 2018.

The fee deadline is Wednesday, July 31, 2019.

Reporting Form and Plan Exemptions

To report PCORI, employers need Form 720. 

Most self-insured medical plans (including COBRA coverage) are subject to the fee unless the plan is either primarily for employees working/residing outside of the United States, or is considered an excepted-benefit. Some other exclusions include:

  • A health Flexible Spending Account (FSA), as long as the employer does not contribute more than $500 per year to the accounts and offers another medical plan with non-excepted benefits.
  • A Health Reimbursement Arrangement (HRA) is an excepted-benefit if it only reimburses for excepted-benefits (e.g., limited-scope dental and vision expenses or long-term care coverage) and is not integrated with the group medical plan.
  • Health Savings Accounts (HSAs)

The IRS offers a detailed chart on applying PCORI fees to health coverage types.

Calculating PCORI fees

There are three calculation methods: actual count, snapshot and Form 5500. Per IRS guidelines:

  1. Actual Count Method: A plan sponsor may determine the average number of lives covered under a plan for a plan year by adding the totals of lives covered for each day of the play year and dividing that total by the total number of days in the plan year.
  2. Snapshot Method: A plan sponsor may determine the average number of lives covered under an applicable self-insured health plan for a plan year based on the total number of lives covered on one date (or more dates if an equal number of dates is used in each quarter) during the first, second or third month of each quarter, and dividing that total by the number of dates on which a count was made.
  3. Form 5500 Method: An eligible plan sponsor may determine the average number of lives covered under a plan for a plan year based on the number of participants reported on the Form 5500, Annual Return/Report of Employee Benefit Plan, or the Form 5500-SF, Short Form Annual Return/Report of Small Employee Benefit Plan.

End of PCORI fees?

At this time, 2019 is scheduled to be the final year for PCORI fee collection for most plans. The PCORI fee will not be assessed for plan years ending after Sept. 30, 2019.

The first PCORI fee was assessed for plan years ending after Sept. 30, 2012; in that first year, the cost was $1 per plan enrollee, which increased to $2 per enrollee in the second year and was then indexed in subsequent years based on the increase in national health expenditures.

What does the money pay for?

The PCORI was established with the ACA in 2010 as a private non-profit organization. According to the organization, “We seek to fund useful research likely to change practice and improve patient outcomes. We focus on sharing those results with the public. And we work to influence research funded by others to become more useful to patients and other healthcare decision makers.”

PCORI has funded more than $2 billion in research and related projects.

Contact DataPath Administrative Services today for help with PCORI and to ensure you make the filing deadline.

Claims Documentation/Substantiation Requirements
FSA Savings Calculator

Welcome to DataPath Administrative Services

We've been serving Arkansans across the Natural State since 1996 with tax-advantaged benefits, payroll, and human resources services. Discover more about us or subscribe to our popular newsletter below!

Recent Social

Twitter
DataPath Admn
DataPath Admn
@DataPathAdmn

"May the road rise up to meet you. May the wind be always at your back." Happy St. Patrick's Day to ya! pic.twitter.com/JHkp…

reply retweet favorite
2:18 pm · March 17, 2023
Twitter
DataPath Admn
DataPath Admn
@DataPathAdmn

Did you know March is National Nutrition Month? Lifestyle Spending Accounts (LSAs) can support cooking classes, food supplements, and nutrition counseling. Captain Contributor provides more information about these popular benefit accounts. bit.ly/3DOPcx2 pic.twitter.com/Jlij…

reply retweet favorite
2:18 pm · March 15, 2023
Twitter
DataPath Admn
DataPath Admn
@DataPathAdmn

Are you on top of your 2023 ACA compliance reporting? The end of the month will be here before you know it, along with an electronic filing deadline for forms 1094-C and 1095-C. Here is some more information. bit.ly/3etjmOj pic.twitter.com/h4CU…

reply retweet favorite
4:05 pm · March 13, 2023
Twitter
DataPath Admn
DataPath Admn
@DataPathAdmn

It's the weekend to move your clocks forward! If you have problems adjusting to the time change, try avoiding caffeine, meals before bedtime, and screen time for the last 30 minutes before bed. Purchase any needed OTC or Rx sleep aids with your FSA or HSA. bit.ly/3D9qvdv pic.twitter.com/nT7k…

reply retweet favorite
3:36 pm · March 10, 2023
Twitter
DataPath Admn
DataPath Admn
@DataPathAdmn

HRAs help employees pay for out-of-pocket medical expenses for themselves and covered dependents. Their employer chooses the amount available each year and the specific eligible expenses. Here are answers to common questions about HRAs. bit.ly/3yHIXK5 pic.twitter.com/Eekv…

reply retweet favorite
11:57 pm · March 8, 2023
Twitter
DataPath Admn
DataPath Admn
@DataPathAdmn

Employees who switched from a PPO plan and FSA in 2022 to an HDHP and HSA in 2023 must wait for the FSA spending period to expire before making any HSA contributions. Here's an explanation of the rules. bit.ly/3YjOmRT pic.twitter.com/WXMo…

reply retweet favorite
3:14 pm · March 7, 2023
Twitter
DataPath Admn
DataPath Admn
@DataPathAdmn

Does your FSA plan have a 2.5-month grace period? Our benefits superhero, Captain Contributor, reminds you that you only have a few days left to spend down any leftover 2022 balances. bit.ly/2Msf9g0 pic.twitter.com/URyi…

reply retweet favorite
3:17 pm · March 6, 2023
Twitter
DataPath Admn
DataPath Admn
@DataPathAdmn

It's Workplace Eye Wellness Month! Employees can stay on top of their eye health by using their FSA, LPFSA, or HSA benefits. Most vision-related expenses, from contact lens solution through LASIK surgery, are eligible for these accounts. bit.ly/37SXdpq pic.twitter.com/39nf…

reply retweet favorite
6:44 pm · March 3, 2023
Twitter
DataPath Admn
DataPath Admn
@DataPathAdmn

Many are eliminating less essential expenses, like streaming entertainment or monthly massages. But these can provide important mental health benefits. Employers can help support LSA accounts. Did you know they can start at any point in the year? bit.ly/3Ea3ZCM pic.twitter.com/PlvW…

reply retweet favorite
3:23 pm · February 27, 2023
Twitter
DataPath Admn
DataPath Admn
@DataPathAdmn

As employees get rolling with their #2023benefits, they may need help remembering which products are eligible. These search tools will help participants identify eligible products and buy them online at the same time if desired. bit.ly/3D9qvdv pic.twitter.com/a0zT…

reply retweet favorite
3:16 pm · February 23, 2023
Follow @datapathadmn

Recent Blog Posts

FAQs About HRAs

Using Benefits to Increase Employee Satisfaction and Retention

Saving for Retirement with HSAs

Benefits for “Unretiring” Workers

HRA Plan Facts: Qualified Expenses, Taxes, and More

DataPath Administrative Services

1601 Westpark Dr., Ste. 6
Little Rock, AR 72204

(877) 685-0655
Contact us
Connect with us:

© 2023 by DataPath Administrative Services, Inc. All Rights Reserved | Privacy | Sitemap
1601 Westpark Drive, Suite 9, Little Rock, AR 72204 | 877-685-0655

Benefit accounts

myRSC Login ID:
myRSC Password:


Register for Online Account Access
Forgot Login ID or Password?
Summit
x