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PCORI 2025: What Every HR Manager Should Know
Jul 09 ,2025

PCORI 2025: What Every HR Manager Should Know

As the 2025 PCORI filing deadline approaches, it's important for HR professionals to understand what the PCORI fee is, how it applies to their organization, and the key responsibilities they hold in ensuring compliance.

What Is the PCORI Fee?

The Patient-Centered Outcomes Research Institute (PCORI) fee is an annual charge created under the Affordable Care Act (ACA). It helps fund research that supports informed healthcare decisions. The fee must be reported and paid to the IRS each year using Form 720.

The PCORI fee is extended through 2029. With updates in rates and calculations every year, staying on top of this obligation is essential—especially for HR managers involved in benefits administration.

Why HR Managers Play a Key Role

HR professionals are often on the frontlines of health benefits management. That means ensuring PCORI fee compliance often falls under their scope of work. From identifying the right plans to reporting and record keeping, HR managers have several important roles in this process.

Key Responsibilities of HR in the PCORI Process

Let’s break down what HR needs to handle for smooth and compliant PCORI fee filing:


1. Identifying Applicable Health Plans

HR teams must determine whether their organization’s health plans are subject to the PCORI fee. This often includes:

There are some exceptions—for example, certain benefits and plans covering mainly non-U.S. residents may not be subject to the PCORI fee. Identifying these correctly is the first step to proper compliance.


2. Calculating the Fee Accurately

The IRS allows several methods for calculating the average number of covered lives under a plan:

  • Actual Count Method

  • Snapshot Method

  • Form 5500 Method

Choosing the right method and applying it correctly is critical. Mistakes in calculation can lead to penalties or underpayment. HR should also stay updated on any annual fee adjustments, which change based on plan years.

Refer our blog on PCORI Fee Calculation for a comprehensive understanding. 


3. Filing Form 720 and Making the Payment

HR is responsible for ensuring Form 720 is filled out accurately and submitted to the IRS by July 31, 2025.

  • This form includes a section for reporting the PCORI fee.

  • Payment can be submitted either electronically or by mail.

Even though Form 720 is a quarterly return, the PCORI fee is only reported and paid once a year—by the end of July.


4. Maintaining Proper Records

Keeping detailed records is essential. HR should retain:

  • The method used for calculating covered lives

  • The actual calculations

  • Copies of Form 720

  • Proof of payment

These documents are crucial in case of future audits or internal reviews.


5. Staying Informed and Coordinating Internally

PCORI guidelines may change year-to-year, so it’s important that HR:

  • Keeps up with IRS updates and publications

  • Coordinates with departments like accounting to ensure proper reporting and payment

  • Communicates changes or requirements to leadership and benefits teams

Being proactive avoids last-minute rushes and helps maintain smooth compliance.


Why File PCORI with Simple720?

  1. IRS-Authorized PCORI Submission Portal
    File confidently through a trusted, IRS-approved platform.

  2. Bulk Filing in Minutes
    Submit multiple PCORI filings quickly and efficiently—perfect for large organizations.

  3. No Software Download
    Enjoy the convenience of secure, cloud-based filing from anywhere, anytime—no downloads required.

  4. Supports Filings Across Industry Verticals
    Whether you're in healthcare, finance, education, or beyond, we handle PCORI filings for all sectors.

  5. 100% Secure Online Submission
    Your data is encrypted and protected with top-tier security protocols.

  6. User-Friendly Platform with 24/7 Support
    Simple, intuitive navigation backed by around-the-clock customer service whenever you need help.

Read our blog for a step-by-step guide on filing the PCORI fee online, and file now with Simple720 for a fast and hassle-free experience.

Bonus Tip for HR Managers

For more detailed guidance and updates on the PCORI fee and its application, HR professionals can watch the IRS’s official PCORI Fee Page.


Final Thoughts

Understanding and managing the PCORI fee might feel complex at first, but with the Simple720 PCORI Submission Portal, HR professionals can handle it smoothly. By identifying applicable plans, calculating fees correctly, filing on time, and keeping proper documentation, HR plays a vital role in ACA compliance.

File your PCORI Fee Online with Simple720 today!