For businesses offering self-insured health plans or health reimbursement arrangements (HRAs), the Patient-Centered Outcomes Research (PCOR) fee is a recurring annual compliance requirement. But if you don’t have an HR professional helping with compliance obligations, it can be tough to track deadlines and submission requirements.
At HR Synergy, we understand that tax compliance isn’t your core business—and it shouldn’t take time away from the work that is. That’s why we’re here to simplify the PCOR filing process and help you avoid costly mistakes.
What Is the PCOR Fee?
PCOR fees apply to employers offering self-insured health plans and/or health reimbursement accounts, and the IRS requires annual filings using Form 720. The due date typically falls on July 31 of the year following the last day of the plan year. Unfortunately, confusion often arises when companies mistakenly believe they need to file excise taxes beyond PCOR fees.
Common PCOR Filing Mistakes
Many small and mid-sized businesses are unaware that they’re subject to the PCOR fee—especially when offering HRAs or level-funded plans. Others make the mistake of overfiling or misfiling, thinking they must complete the entire Form 720 or pay excise taxes that don’t apply to them.
- Some of the most common missteps we see include:
- Filing the wrong sections of Form 720
- Missing the PCOR deadline altogether
- Overestimating the number of covered lives
- Failing to maintain supporting documentation
- Confusing PCOR fees with other ACA reporting obligations
These errors can result in unnecessary IRS correspondence, penalties, and stress.
How HR Synergy Makes PCOR Filing Easy
At HR Synergy, we help businesses stay on top of PCOR (Patient-Centered Outcomes Research) fee compliance—so you don’t have to worry about unexpected IRS penalties. We help you understand your responsibilities without drowning in paperwork.
When you work with HR Synergy, our expert team will:
- Work with your insurance broker to determine Your PCOR Fee Obligations
- We review your health plan structure—including any HRAs or self-insured benefits—to determine if and how the PCOR fee applies.
- Review IRS Form 720 – We ensure accurate reporting of covered lives and the applicable fee rate.
- Ensure Proper Documentation – We help you keep the necessary records to back up your filings, reducing your risk if the IRS ever comes knocking.
- Avoid Over Filing or Unnecessary Fees – We’ll help you avoid common traps, like paying unrelated excise taxes or filling out more of Form 720 than required.
Need Help With PCOR? You’re Not Alone.
If you’re unsure whether the PCOR fee applies to your business—or simply want to avoid the hassle of figuring it out—HR Synergy is here to help. We partner with businesses to take the guesswork out of HR compliance, including healthcare filings like the PCOR fee.
Don’t let a missed deadline or IRS form catch you off guard.
Let HR Synergy simplify your compliance so you can get back to running your business.
Contact us today to schedule a quick consultation before the July 31 deadline.