PCORI Fee Amount Adjusted for 2025
The IRS increased the Patient-Centered Outcomes Research Institute (PCORI) fee amount for plan years ending on or after Oct. 1, 2024, and before Oct. 1, 2025. The updated PCORI fee amount is $3.47 multiplied by the average number of lives covered under the plan. For plan years that ended on or after Oct. 1, 2023, and before Oct. 1, 2024, the PCORI fee amount is $3.22 multiplied by the average number of lives covered under the plan.
PCORI fees generally apply to insurance policies providing accident and health coverage and self-insured group health plans. The PCORI fee applies to plan or policy years ending on or after Oct. 1, 2012, and before Oct. 1, 2029.
PCORI fees are reported and paid annually on IRS Form 720 (Quarterly Federal Excise Tax Return). These fees are due each year by July 31 of the year following the last day of the plan year. For plan years ending in 2024, the PCORI fee is due by July 31, 2025. Employers with self-insured health plans should have reported and paid PCORI fees for 2023 by July 31, 2024.
Visit the IRS’ website to learn more about PCORI fees, due dates and frequently asked questions.
Highlights of the DOL’s Employee Benefits Report
The U.S. Department of Labor’s (DOL) Bureau of Labor Statistics (BLS) recently published a report examining the country’s employee benefits, representing more than 146 million civilian workers in private industries and state and local governments. The estimates are from the BLS’ National Compensation Survey, which measured costs and trends related to employer-provided benefits as of March 2024. Here are the key takeaways from specific benefits:
- Medical care benefits—While 89% of full-time civilian workers had access to medical benefits, just 26% of part-time workers did. The take-up rate was 66% and 46%, respectively.
- Premiums—For private industry workers enrolled in plans with single coverage, the employer share of premiums was 80%, and the employee share was 20%. Employers paid 68% of premiums for family coverage for private industry workers, with employees covering 32%. State and local government workers with single coverage had 86% of premiums covered by employers and 14% by employees. Employers paid 71% of premiums for family coverage, with employees covering 29% of such plans.
- Wages—The median hourly wage for civilian workers was $25, with $24 for private industry workers and $33.16 for state and local government workers. Industry research suggests employers will continue increasing wages to keep up with inflation and remain competitive in the labor market.
Employers should continue to monitor benefits trends, employee utilization and spending. Contact us today for more resources.
