Contribution Factors
Contribution and circularity factors are percentages used when calculating Universal Service Fund obligations and the annual true up.
What is the contribution factor?
The contribution factor is the percentage of end user revenue that will be contributed to the Universal Service Fund to support the universal service programs, as established by the FCC. The contribution factor changes every quarter.
What is the circularity factor?
The circularity factor is the percentage which lowers a filer’s contribution base to prevent the assessment of universal service fees on the pass-through Universal Service Fund charges that filers bill to their customers and are reported as revenue on the FCC Form 499.
After the contribution factor is applied to the quarterly contribution base, the circularity factor is then applied to reduce the contribution base resulting in a lower Universal Service Fund invoice. Like the contribution factor, the circularity factor is established by the FCC and changes every quarter.
The FCC releases a Public Notice each quarter to announce the newest contribution and circularity factors on its website.
Applies to Quarter | Contribution Factor | Circularity Factor | Public Notice |
October – December 2024 | 35.8% | 26.2258% | DA 24-924 |
July – September 2024 | 34.4% | 25.4644% | DA 24-557 |
April – June 2024 | 32.8% | 24.6808% | DA 24-257 |
January – March 2024 | 34.6% | 25.5973% | DA 23-1156 |
October – December 2023 | 34.5% | 25.5250% | DA 23-843 |
July – September 2023 | 29.2% | 22.4813% | DA 23-507 |
April – June 2023 | 29.0% | 22.4050% | DA 23-216 |
January – March 2023 | 32.6% | 24.5701% | DA 22-1286 |
October – December 2022 | 28.9% | 22.4284% | DA 22-946 |
July – September 2022 | 33.0% | 24.7686% | DA 22-623 |
April – June 2022 | 23.8% | 19.3009% | DA 22-268 |
January – March 2022 | 25.2% | 20.1049% | DA 21-1550 |
October – December 2021 | 29.1% | 22.5384% | DA-21-1134 |
July – September 2021 | 31.8% | 23.9772% | DA 21-676 |
April – June 2021 | 33.4% | 24.8622% | DA 21-308 |
January – March 2021 | 31.8% | 24.0341% | DA 20-1480 |
A historical record of factors can be found on the FCC’s Contribution Factors & Quarterly Filings page.