ACA Subsidy Amounts by Income 2026: How Much Will You Save?

As of 2026, ACA Marketplace subsidies are available to households earning between 100% and 400% of the Federal Poverty Level (FPL). The exact dollar amount you save depends on your income, household size, and the cost of the benchmark Silver plan in your area. With the enhanced subsidies from 2021 to 2025 now expired, the rules have reverted to the original ACA framework, and the subsidy cliff has returned at 400% FPL.

Quick Answer: In 2026, a single person earning up to $62,600 or a family of four earning up to $128,600 may qualify for ACA premium subsidies. The amount of your subsidy equals the benchmark plan premium minus your required contribution, which ranges from 2.10% to 9.96% of your income depending on where you fall in the FPL scale.

Check your eligibility now at CoveredUSA, it takes 2 minutes: coveredusa.org/screener

What Changed for ACA Subsidies in 2026

The American Rescue Plan Act (2021) and the Inflation Reduction Act (2022) temporarily expanded premium tax credits so that anyone, even above 400% FPL, could qualify for subsidies. Those enhancements expired at the end of 2025.

Starting with 2026 coverage:

Subsidies are capped at 400% FPL. Earn above that threshold and you receive no federal premium assistance.
Required contribution percentages increased sharply across all income levels.
People who received enhanced subsidies in 2025 will see their premiums rise significantly in 2026 unless their income dropped or they changed plans.

This is one of the biggest ACA policy shifts in years. Understanding how the new numbers apply to your household is critical before you enroll or re-enroll.

2026 ACA Income Limits by Household Size

ACA subsidies use the prior year's FPL guidelines to calculate eligibility. For 2026 coverage, the thresholds are based on the 2025 federal poverty guidelines.

The table below shows the income ranges that qualify for premium tax credits in 2026. The lower bound (100% FPL) is the minimum income for subsidy eligibility in states that have expanded Medicaid. In Medicaid expansion states, eligibility starts at 138% FPL because households below that threshold qualify for Medicaid instead.

Household Size	100% FPL	138% FPL (Medicaid floor)	200% FPL	300% FPL	400% FPL (subsidy cutoff)
1	$15,650	$21,597	$31,300	$46,950	$62,600
2	$21,150	$29,187	$42,300	$63,450	$84,600
3	$26,650	$36,777	$53,300	$79,950	$106,600
4	$32,150	$44,367	$64,300	$96,450	$128,600
5	$37,650	$51,957	$75,300	$112,950	$150,600
6	$43,150	$59,547	$86,300	$129,450	$172,600

For each additional person beyond 6, add approximately $5,500 to each FPL threshold.

Alaska and Hawaii use higher FPL figures. A single person in Alaska qualifies with income up to roughly $79,800 (400% of the Alaska FPL), and Hawaii's cutoff is around $74,640.

See the full reference table at coveredusa.org/aca-income-limits.

How the Subsidy Calculation Works

The ACA subsidy does not give you a fixed dollar amount. Instead, the government calculates what portion of the benchmark plan premium you are required to pay out of pocket, and the subsidy covers the rest.

The benchmark plan is the second-lowest-cost Silver plan available in your county. Your subsidy amount equals:

Subsidy = Benchmark Premium - Your Required Contribution

Your required contribution is a percentage of your annual income, set on a sliding scale based on where your income falls relative to the FPL.

2026 Required Contribution Percentages (from IRS Rev. Proc. 2025-25)

Household Income (% of FPL)	You Pay This % of Income	What That Means
Under 133% FPL	2.10%	Lowest premium share, largest subsidy
133% to under 150% FPL	4.19%
150% to under 200% FPL	6.60%
200% to under 250% FPL	8.44%
250% to under 300% FPL	9.96%
300% to 400% FPL	9.96%	Subsidy shrinks, you pay more
Above 400% FPL	No subsidy	Full benchmark premium owed

These percentages increased significantly compared to the 2025 enhanced subsidy rules, where some households contributed as little as 0% to 2% of income. Budget accordingly if your situation changed.

Example Calculations

Example 1: Single person earning $25,000 (about 160% FPL)

Required contribution rate: 6.60%
Annual contribution: $25,000 x 6.60% = $1,650 per year ($137.50/month)
If the benchmark plan costs $450/month, the subsidy covers $312.50/month

Example 2: Family of 4 earning $65,000 (about 202% FPL)

Required contribution rate: 8.44%
Annual contribution: $65,000 x 8.44% = $5,486 per year ($457/month)
If the benchmark plan costs $1,100/month for the family, the subsidy covers $643/month

Example 3: Single person earning $55,000 (about 351% FPL)

Required contribution rate: 9.96%
Annual contribution: $55,000 x 9.96% = $5,478 per year ($456.50/month)
If the benchmark plan costs $600/month, the subsidy covers $143.50/month

Note: These are simplified illustrations. Your actual subsidy depends on the benchmark plan cost in your specific county, which varies widely across the country. Use the screener at coveredusa.org/screener to get an estimate for your area.

Cost-Sharing Reductions (CSR): Extra Savings Under 250% FPL

Subsidies reduce your monthly premium. But if your income falls below 250% FPL, you may also qualify for cost-sharing reductions (CSRs), which lower your deductible, copays, and out-of-pocket maximum.

CSRs only apply to Silver plans. To get them, you must enroll in a Silver plan even if a Bronze plan looks cheaper after your premium subsidy.

Income Level	CSR Tier	What It Does
100% to 150% FPL	Strongest CSR (Silver 94%)	Deductibles and out-of-pocket costs drop dramatically
150% to 200% FPL	Strong CSR (Silver 87%)	Significant reduction in cost-sharing
200% to 250% FPL	Moderate CSR (Silver 73%)	Some reduction in cost-sharing
Above 250% FPL	No CSR	Standard Silver plan cost-sharing

For a household near 138% FPL, a CSR Silver plan can function almost like Medicaid, with near-zero deductibles and very low copays. This is one of the most overlooked benefits in the ACA.

The Subsidy Cliff: What Happens at 400% FPL

In 2026, the "subsidy cliff" is back. If your household income comes in at 401% FPL or higher, you receive no subsidy at all.

For a single person, that cliff sits at $62,600. For a family of four, it is $128,600.

This creates a sharp discontinuity. A household at $62,500 might receive a subsidy worth $200 to $500 per month. A household at $62,700 receives nothing.

If your projected income is near the 400% FPL boundary, there are steps you can take:

Contribute to a traditional IRA or 401(k) to reduce your modified adjusted gross income (MAGI)
Contribute to a health savings account (HSA) if you have an HSA-eligible plan
Manage timing of self-employment income or capital gains if possible

Consult a tax professional if your income is close to the cutoff. The dollar value of qualifying for even a partial subsidy can be substantial.

How to Apply for ACA Subsidies in 2026

Follow these steps to enroll and claim your premium tax credit.

Step 1: Check your eligibility Use the free screener at coveredusa.org/screener to see which programs you qualify for and get an estimate of your subsidy amount. It takes about 2 minutes.

Step 2: Gather your documents You will need your household size, estimated 2026 income (not last year's, but what you expect to earn), Social Security numbers for all household members, and your current health insurance information if applicable.

Step 3: Open enrollment window The standard ACA open enrollment period runs from November 1 through January 15 in most states (some state-based marketplaces have slightly different dates). Enrollment for mid-year coverage requires a qualifying life event, such as losing job-based coverage, getting married, or having a baby.

Step 4: Apply through your state's marketplace Go to healthcare.gov (or your state's own marketplace if your state runs one). Provide your household income, and the system will calculate your advanced premium tax credit automatically. The subsidy is applied directly to your monthly premium, so you pay the reduced amount each month rather than waiting until tax time.

Step 5: Pick your plan tier

If your income is below 250% FPL, compare Silver plans first. CSRs only attach to Silver.
If your income is between 250% and 400% FPL, compare Bronze, Silver, and Gold plans after your subsidy is applied.
Use the after-subsidy premium as your comparison figure, not the list price.

Step 6: Reconcile on your tax return At tax time, file IRS Form 8962 to reconcile your actual income against the estimate you used during enrollment. If you earned more than expected, you may owe back some of the subsidy. If you earned less, you may get an additional credit.

Subsidies vs. Medicaid: Which Program Covers You?

Many lower-income households qualify for Medicaid rather than ACA marketplace subsidies. Medicaid generally covers households below 138% FPL in states that expanded Medicaid under the ACA, and you cannot receive both Medicaid and ACA subsidies at the same time.

Income Level	Most Likely Program
Below 138% FPL (expansion states)	Medicaid
100% to 138% FPL (non-expansion states)	ACA subsidy eligible
138% to 400% FPL	ACA premium tax credit
Above 400% FPL	Full-price marketplace plan or employer coverage

If you live in a non-Medicaid expansion state and earn below 100% FPL, you may fall into a "coverage gap" where you do not qualify for Medicaid and do not qualify for ACA subsidies. This affects several states including Texas, Florida, Georgia, and others that did not expand Medicaid.

For more detail on Medicaid thresholds, see coveredusa.org/medicaid-income-limits.

Special Enrollment Periods in 2026

You do not have to wait for open enrollment if you experience a qualifying life event. Common qualifying events include:

Losing coverage through an employer or other source
Getting married or divorced
Having a baby or adopting a child
Moving to a new coverage area
Turning 26 and aging off a parent's plan
Gaining citizenship or lawful immigration status
Household income dropping below 150% FPL (this triggers a special enrollment period with no end date under current rules)

You typically have 60 days from the qualifying event to enroll. Coverage starts on the first of the month following enrollment in most cases.

Frequently Asked Questions

What are the ACA subsidy income limits for 2026?

For 2026 coverage, subsidies are available to households earning between 100% and 400% of the Federal Poverty Level. For a single person, that means income between $15,650 and $62,600 per year. For a family of four, the range is $32,150 to $128,600. In states that expanded Medicaid, subsidy eligibility starts at 138% FPL because households below that line qualify for Medicaid instead.

How much will my ACA subsidy be in 2026?

Your subsidy equals the cost of the benchmark Silver plan in your county minus the amount you are required to pay. Your required contribution ranges from 2.10% of income (at the lowest FPL levels) to 9.96% of income (between 300% and 400% FPL). A single person earning $30,000 would owe about 6.60% of income, or roughly $165/month, regardless of the benchmark plan's full cost.

Did ACA subsidies decrease in 2026?

Yes, significantly. The enhanced premium tax credits from 2021 through 2025 allowed higher-income households to qualify and required lower contribution percentages across the board. Those enhancements expired at the end of 2025. In 2026, the pre-2021 rules apply: 400% FPL is the hard cutoff, and contribution percentages are higher at every income level.

What is the ACA subsidy cliff in 2026?

The subsidy cliff is the income level at which subsidies cut off entirely. In 2026, it is 400% FPL: $62,600 for a single person and $128,600 for a family of four. Earn $1 above these thresholds and you receive no premium assistance. This is a return to the original ACA structure after the temporary cliff removal expired.

Can I get ACA subsidies if I am self-employed?

Yes. Self-employed individuals qualify for ACA subsidies like anyone else. Your subsidy eligibility is based on your net self-employment income (after business deductions) as reported on your tax return. You can also deduct the cost of your health insurance premiums directly from your taxable income, which may reduce the MAGI used to calculate your subsidy.

What is a cost-sharing reduction and do I qualify in 2026?

A cost-sharing reduction (CSR) lowers your deductible, copays, and out-of-pocket maximum. CSRs are available to households earning between 100% and 250% FPL who enroll in a Silver plan on the marketplace. They are separate from the premium subsidy. If your income is in this range, you should strongly consider a Silver plan over a Bronze plan, even if Bronze looks cheaper at first glance.

What if my income changes during 2026?

If your income changes, update your marketplace application as soon as possible. If you end up earning more than you projected, you will owe back some of the subsidy when you file your taxes. If you earn less, you will receive an additional credit at tax time. Reporting changes promptly reduces the risk of a large year-end tax bill.

How do I apply for ACA subsidies in 2026?

Apply through healthcare.gov or your state's own marketplace during open enrollment (typically November 1 through January 15). You can also use the free eligibility screener at CoveredUSA to see what you qualify for before you apply. The screener takes about 2 minutes and covers ACA, Medicaid, Medicare, and other healthcare programs.