Circadian rhythms are ubiquitous in biology, from the molecular to behavioral levels. There is growing interest in understanding the functional implications of circadian oscillations in different cells and systems, including the brain. The prefrontal cortex (PFC) is heavily involved in myriad processes, including working memory, cognition, stress responses, and fear associated behaviors. Many PFC associated behaviors are time-of-day dependent, yet how time-of-day impacts the basic function of neurons in the PFC is not known. Here we use patch-clamp electrophysiology to record from layer 2/3 pyramidal neurons in the prelimbic (pl) PFC of male and female C57BL/6J mice at 4 separate bins of zeitgeber time (ZT): 0-4, 6-10, 12-16, and 18-22. We measured changes in membrane properties, inhibitory and excitatory inputs, ion channel function, and action potential kinetics. We demonstrate that the activity of plPFC neurons, their inhibitory inputs, and action potential dynamics are regulated by time-of-day. Further, we show that in males postsynaptic K+ channels play a central role in mediating these rhythms, suggesting the potential for an intrinsic gating mechanism mediating information throughput. These key discoveries in PFC physiology demonstrate the importance of understanding how daily rhythms contribute to the mechanisms underlying the basic functions of PFC circuitry.