About the Patient-Centered Outcomes Research Initiative (PCORI) fee reporting
The Affordable Care Act requires a minimal fee to be paid by companies based on the average number of participants covered by your company's PeopleKeep HRA plan in the previous year. If you offered an HRA to your employees in 2025, you will need to fill out the 720 Form. While the 720 Form is a quarterly form, you only need to pay the fee once a year during the second quarter. The fee is due by July 31st for the full 2025 year. Issuers or plan sponsors only need to file Form 720 to report the PCORI fee for the first, third, or fourth quarter of the year.
It's important to note that the PCORI fee filing requirement has been extended through 2029, so this will be an annual requirement. While PeopleKeep cannot file this form on your behalf, we provide the necessary numbers and detailed instructions for how to fill out and file Form 720.
You can access your PCORI Annual Report for 2025 by visiting the Reports section on your PeopleKeep dashboard.
How to complete Form 720
Download the form here: IRS Form 720 you can also view the PCORI fee notice from the IRS here.
In the examples below, the company plan covered an average of 3 participants and had a plan year that ended on December 31, 2025.
Step 1. Complete the company information header
- Only check the Final return if the company is 1) going out of business or 2) will not be required to file a Form 720 in future quarters.
Step 2. Complete Part II, line 133(c) or (d) and enter the total
- Complete line 133(c) if the company's plan year ended before October 1, 2025. The fee is $3.47 per average number of participants covered.
- Complete line 133(d) if the company's plan year ended on or after October 1, 2025, and before October 1, 2026 (This is most plans). The fee is $3.84 per average number of participants covered.
Step 3. Complete Part III lines 3 and 10, sign and date
Step 4. Complete the Payment Voucher
Step 5. Send the completed form, payment voucher, and check to:
Department of the Treasury
Internal Revenue Service
Ogden, UT 84201-0009