Admin America No Comments

2020 Annual PCORI Tax Payment & Filing due August 2nd, 2021

This year, employers that cover their employees under a Health Reimbursement Arrangement (HRA) once again face an important deadline for payment of a tax along with filing a corresponding Federal Tax Form. Though you may no longer sponsor a current HRA, if you did sponsor an HRA plan year that ended in 2020, this tax is due this year.
You can access the updated letter for this year’s filings at:
If Admin America administered your 2020 HRA plan year, the PCORI Average Covered Lives Report is posted and available via your Employer Portal. You can access the employer portal directly via:
If Admin America administered your 2020 HRA plan year, and the report is not available on your portal, please email to request a copy of the report.
If your plan was self-administered, instruction on how to calculate your Average Number of Covered lives is contained in the letter.
Some things to Note:

  • Most employers that sponsor a Health Reimbursement Arrangement for their employees will be required to pay the PCORI Fee directly to the IRS on or before August 2, 2021. See the How: section of the letter for complete instructions and a copy of the form.
  • For covered group heath plans with Plan Years ending in 2020, the per life rate is either $2.54 or $2.66. See the How Much: section of the letter to determine which rate applies.
  • This year’s deadline is Friday August 2, 2021. The mailing address is on page 4 of the letter.
  • The named Plan Sponsor of the HRA must report and pay the PCORI Fee. For single employer HRA plans, the employer is the Plan Sponsor.

Admin America No Comments

2022 HDHP and HSA Limit Update

Each year in May the IRS releases the inflation adjusted limits for High Deductible Health Plans (HDHPs) and Health Savings Accounts (HSAs) applicable for the following calendar year.  The limits announced last month for 2022 in IRS Revenue Procedure 2021-25 are as follows: 

2022 HSA Annual Contribution Limits+ :

  • Self-Only Coverage: $3,650 (increased from $3,600 in 2021)
  • Family Coverage: $7,300 (increased from $7,200 in 2021)

+     Individuals age 55 or older as of the last day of 2022 may contribute an additional $1,000 to their HSA Account for that year (unchanged from 2021).

2022 HDHP Minimum Required Annual Deductibles:

  • Self-Only Coverage: $1,400 (unchanged from 2021)
  • Family Coverage: $2,800 (unchanged from 2021)

2021 HDHP Maximum Annual Out-of-Pocket Expense Limits:

  • Self-Only Coverage: $7,050 (increased from $7,000 in 2021)
  • Family Coverage: $14,100 (increased from $14,000 in 2021)

The IRS Revenue Procedure 2021-25 can be found online here.

If you have any questions about these changes or any other rules pertaining to Health Savings Accounts, please submit them to Admin America via our online Q&A forum.

Admin America No Comments

COVID-19 PPE is now FSA, HRA and HSA

On March 26, 2021 the IRS released guidance which allows Health Flexible Spending Arrangements (FSAs) and Health Reimbursement Arrangements (HRAs) to reimburse plan participants for amounts paid to purchase face masks and other personal protective equipment used to prevent COVID-19.  The guidance also allows owners of Health Savings Account (HSAs) to receive tax free disbursements from their account to cover the same expenses.

These new policies can be found in IRS Announcement 2021-7.  The IRS clarifies that the eligible expenses include “amounts paid for personal protective equipment, such as masks, hand sanitizer and sanitizing wipes, for the primary purpose of preventing the spread of the Coronavirus Disease….”  The announcement further clarifies that the new rule applies to expenses incurred as early as January 1, 2020.

If a Health FSA or HRA was written to exclude these items, the announcement allows the Plan Sponsor to adopt a retroactive amendment to make such expenses eligible so long as the amendment is written no later than December 31, 2022. 

Health FSA documents prepared by Admin America will not require an amendment to take advantage of this revised rule.  Our plans are already written to allow all expenses that are considered to be for medical care under Section 213(d) of the Internal Revenue Code (which now includes COVID related PPE as a result of this announcement).

Likewise, HRA documents that previously provided expense eligibility for all Section 213(d) medical care expenses will not need to be amended to take advantage of this new rule.  Plan Sponsors of other HRAs that would like to take advantage of this new rule by allowing Participants to be reimbursed for PPE expenses may contact an Admin America HRA administrator via e-mail at to request this change.