How Much Does PCI Compliance Cost?

PCI DSS compliance is mandatory for all businesses that accept, process, store, and transmit cardholder data. Non-compliance with this standard can lead to financial penalties and data breaches, which may cost you much more than following all the requirements.

While there is no fixed cost of PCI compliance, you may expect these fees:

• Small businesses (Level 4/3): Annual expenses can range from $300 to $2,500.
• Medium enterprises (Level 2): Annual costs are typically between $2,500 and $15,000.
• Large organizations (Level 1): The PCI compliance cost often exceeds $70,000 to $200,000+ annually, primarily due to the QSA fees for on-site audits.

The overall cost is a variable fee determined by factors like transaction volume and network complexity. Let’s take a closer look at all the included costs and what to expect.

The total PCI compliance certification cost is a variable expense driven by the scale and complexity of your company’s operations. Let’s take a look at the key factors influencing your expected budgets.

Business size and merchant level

The most significant cost drivers are your business size and the corresponding merchant level. Card schemes define four levels based on the volume of annual transaction processing:

• Level 4: less than 20,000 e-commerce transactions or up to 1 million total transactions annually.
• Level 3: 20,000 to 1 million e-commerce transactions annually.
• Level 2: 1 million to 6 million transactions annually.
• Level 1: over 6 million transactions annually.

Higher levels require stricter validation requirements, especially an expensive on-site audit conducted by a Qualified Security Assessor (QSA). This can cost anything from $5,000 to over $70,000, depending on the QSA company and your scope.

Payment environment complexity

The PCI certification cost also depends on the complexity of your IT and payment environment. Businesses that store, process, and transmit cardholder data across multiple systems, locations, and third-party providers will face higher costs than those with a simpler setup.

If you run multiple servers, payment gateways, and connected APIs, you will have to account for:

• Network segmentation
• Data encryption
• Secure storage
• Monitoring

Each factor adds to the overall expense, as all hardware must be fully compliant to minimize risks.

Current security posture

Your current cybersecurity maturity level also affects the total cost of PCI DSS compliance. Companies that already have firewalls, encryption, access controls, and reliable monitoring tools in place are often halfway there. But if you start from scratch, you’ll have to invest heavily in hardware, training, and remediation.

Type of validation

The type of PCI validation required directly influences compliance costs.

There are two types:

• Self-assessment questionnaire (SAQ): Suitable for smaller merchants as a quick and inexpensive option.
• Report on compliance (ROC): A full-scale audit performed by a QSA. This process involves on-site reviews, technical testing, and documentation checks.

In most cases, an SAQ is enough for merchants of levels 4, 3, and 2. Merchants of Level 1 must be validated via an ROC conducted by a QSA.

Remediation and infrastructure upgrade costs

The implementation phase is one of the most costly options. Upgrading outdated systems, adding encryption, segmenting networks, and replacing non-compliant hardware & software are what drive the PCI DSS certification cost the most. 

Legacy systems are particularly problematic, as bringing them up to PCI standards may require full replacement or virtualization. The same applies to POS terminals, payment gateways, and firewalls that lack the necessary security features. However, it all pays off in the long run due to reduced risk exposure.

The PCI compliance certification cost involves many expenses. Some may be covered only once, while others will require continuous investment. Let’s take a look at the activities that you will have to cover during the certification process.

Initial setup and assessment fees

The initial phase includes:

• Gap analysis
• Network upgrades
• Data encryption setup
• Employee training
• Assessment

The setup requires a one-time investment to lay the foundation for maintaining long-term PCI compliance. You can expect the costs to range from a few thousand to over $100,000 for large enterprises.

Annual audits and certification

After completing the initial certification, you’ll have to renew PCI DSS compliance annually. For Level 1 merchants, this means undergoing a full ROC audit by a QSA, while smaller merchants typically complete an updated SAQ and quarterly scans.

The ongoing PCI DSS cost ensures that controls, documentation, and security practices remain up to date. Annual audits are mandatory to maintain certification and demonstrate continued trustworthiness to banks, card schemes, and customers.

Recurring maintenance and monitoring costs

PCI compliance requires continuous monitoring throughout the year. This includes quarterly vulnerability scans, real-time monitoring, incident response updates, and regular employee training. Many businesses also invest in managed security services and automated tools to maintain compliance. 

While these costs recur monthly or quarterly, they are generally smaller than setup expenses. However, they are an essential PCI compliance fee for preventing breaches and ensuring ongoing PCI DSS alignment.

If you’re still wondering how much PCI compliance cost, let’s take a look at all the involved expenses. The sheet below covers both one-time and continuous costs that you’ll have to plan in your budget.

The total PCI DSS compliance cost also depends on your company’s size, as this simultaneously increases the requirements due to the increased number of transactions. As we’ve mentioned previously, there are four levels of businesses.

Small business (Level 4)

This includes small merchants processing fewer than 20,000 e-commerce or up to 1 million in-store transactions annually. Most only need to complete a self-assessment questionnaire and perform quarterly vulnerability scans by an approved scanning vendor.

Approximate annual costs:

• SAQ tools: $50-$300
• Quarterly scans: $400-$1000
• Infrastructure upgrades: $3,000+

Medium-sized enterprises (Level 2–3)

This covers mid-market companies processing between 20,000 and 6 million transactions annually. They face higher costs due to more complex payment environments. Depending on the acquiring bank’s requirements, they might have to complete an SAQ or undergo a ROC review.

Approximate annual costs:

• SAQ or QSA review: $5,000–$15,000
• Quarterly scans and penetration testing: $4,000–$10,000
• Remediation and training: $2,000–$10,000

Large organizations (Level 1)

Enterprises processing over 6 million transactions annually, including acquirers and payment service providers, must complete a full QSA audit, continuous monitoring, and regular penetration testing.

Approximate annual costs:

• QSA audit: $20,000–$100,000+
• Penetration testing and scanning: $10,000–$20,000
• Remediation, monitoring, and staff training: $50,000–$400,000+

While most PCI compliance costs are associated with audits and tools, many companies underestimate the impact of hidden expenses. They significantly impact operations and can lead to huge issues.

Downtime during compliance upgrades

Implementing new security systems or upgrading legacy infrastructure can cause temporary downtime in payment processing. You may need scheduled maintenance windows for data migration or firewall configuration, disrupting transactions. Depending on the size of your operations, this may cost you $100-$10,000+ per hour.

Fines for non-compliance

Failure to meet PCI DSS requirements can result in penalties from acquiring banks and card networks, typically ranging from $5,000 to $100,000 per month until compliance is restored. These fines may escalate with repeated violations or evidence of negligence. Non-compliance also leads to higher transaction fees and privilege suspension, leading to extra costs.

Data breach recovery costs

A data breach is the most severe outcome of poor PCI compliance. You will have to cover forensic investigations, customer notifications, credit monitoring services, legal fees, and potential compensation claims. The costs may even reach several million dollars, depending on the severity.

PCI DSS compliance comes with multiple costs, especially if your team doesn’t have previous experience working with this certification. However, you can avoid all hidden fees by using Tranzzo’s PCI-compliant infrastructure & solutions for PSPs and acquirers. Contact us today to get a free consultation for your project!