For 2026, you can qualify for Obamacare subsidies if your household income falls between 100% and 400% of the federal poverty level (FPL). That means a single person earning up to $62,600 per year, or a family of four earning up to $128,600, may qualify for help paying monthly premiums. Two major changes took effect this year: the enhanced subsidies from the American Rescue Plan expired, and the 400% FPL subsidy cliff returned. If your income exceeds 400% FPL by even one dollar, you receive no premium tax credit.
Check your eligibility now at CoveredUSA, it takes 2 minutes: coveredusa.org/screener
What Changed for 2026
The enhanced premium tax credits that expanded under the American Rescue Plan Act and extended through the Inflation Reduction Act expired at the end of 2025. Starting with 2026 coverage:
- The 400% FPL cliff is back. People earning above 400% FPL no longer qualify for any premium tax credit.
- Contribution percentages increased. Households that still qualify now pay a larger share of their premiums than they did in 2024 and 2025.
- The income floor (100% FPL) still applies. In most states, people below 100% FPL do not qualify for marketplace subsidies and should apply for Medicaid instead.
If you received a subsidy in 2025 and have not rechecked your eligibility, your current plan costs may be significantly higher than expected for 2026.
2026 Obamacare Income Limits by Household Size
The following table shows the 2026 income ranges that qualify for premium tax credits. These figures use the 2025 federal poverty guidelines, which are the ones applied to 2026 marketplace coverage.
| Household Size | 100% FPL (minimum) | 200% FPL | 300% FPL | 400% FPL (maximum) |
|---|
| 1 | $15,650 | $31,300 | $46,950 | $62,600 |
| 2 | $21,150 | $42,300 | $63,450 | $84,600 |
| 3 | $26,650 | $53,300 | $79,950 | $106,600 |
| 4 | $32,150 | $64,300 | $96,450 | $128,600 |
| 5 | $37,650 | $75,300 | $112,950 | $150,600 |
| 6 | $43,150 | $86,300 | $129,450 | $172,600 |
To qualify, your income must be at or between the 100% and 400% columns for your household size. These are annual gross income figures based on Modified Adjusted Gross Income (MAGI).
Alaska and Hawaii have higher FPL thresholds due to cost-of-living adjustments. If you live in those states, your actual limits will be higher.
Cost-Sharing Reductions: Extra Savings Below 250% FPL
If your income falls between 100% and 250% FPL, you qualify for both a premium tax credit and cost-sharing reductions (CSRs). CSRs lower your deductible, copays, and out-of-pocket maximum, but only if you enroll in a Silver plan.
| Household Size | 150% FPL | 200% FPL | 250% FPL |
|---|
| 1 | $23,475 | $31,300 | $39,125 |
| 2 | $31,725 | $42,300 | $52,875 |
| 3 | $39,975 | $53,300 | $66,625 |
| 4 | $48,225 | $64,300 | $80,375 |
| 5 | $56,475 | $75,300 | $94,125 |
| 6 | $64,725 | $86,300 | $107,875 |
CSRs are automatic when you enroll in a Silver plan and report the correct income. You do not need to apply for them separately.
How the Premium Tax Credit Works
The premium tax credit reduces what you pay each month for a marketplace plan. The credit is calculated based on the cost of the benchmark Silver plan in your area and your expected contribution percentage based on income.
At lower income levels, the government covers a larger share of your premium. At higher income levels closer to 400% FPL, you cover a larger share. The actual dollar amount varies by location, age, and the specific plan you choose.
You can claim the credit in two ways:
- Advance premium tax credit (APTC): Applied directly to your monthly premium so you pay less each month.
- Tax credit at filing: You pay full premiums during the year and claim the credit when you file your federal taxes.
Most people take the advance credit. If your actual income ends up being higher than estimated, you may need to repay some of the credit when you file.
What Counts as Income for ACA Eligibility
Income for ACA purposes is your Modified Adjusted Gross Income. This includes:
- Wages and salaries
- Self-employment and freelance income
- Unemployment compensation
- Social Security benefits (if taxable)
- Rental income
- Alimony received (if divorce was finalized before 2019)
- Capital gains and investment income
It does not include child support received, Supplemental Security Income (SSI), or most veterans benefits.
If your income varies from year to year, estimate conservatively. Reporting income that is too low can result in repaying excess credits at tax time.
Who Does Not Qualify for Marketplace Subsidies
You do not qualify for a premium tax credit if:
- Your income is above 400% FPL (the subsidy cliff returned in 2026)
- You have access to employer-sponsored health insurance that meets ACA minimum value and affordability standards
- You are eligible for Medicaid or CHIP based on your income
- You are enrolled in Medicare
- You are not a U.S. citizen or lawfully present immigrant
If your employer offers insurance that costs more than 9.02% of your household income for employee-only coverage, that plan is considered unaffordable and you may qualify for a marketplace subsidy instead.
How to Apply for an ACA Plan in 2026
Open enrollment for 2026 coverage ran from November 1, 2025 through January 15, 2026. If you did not enroll during open enrollment, you can still enroll if you qualify for a Special Enrollment Period (SEP).
Qualifying life events that trigger a SEP include:
- Losing job-based health coverage
- Getting married or divorced
- Having or adopting a child
- Moving to a new state or coverage area
- Turning 26 and aging off a parent's plan
- Becoming a U.S. citizen or gaining lawful status
You typically have 60 days from the qualifying event to enroll.
Step-by-step enrollment process:
- Check your eligibility. Use the CoveredUSA screener to see which programs you qualify for based on your income, household size, and state.
- Gather documents. You will need your Social Security number, income information (pay stubs or tax return), and household member details.
- Go to HealthCare.gov or your state marketplace. Some states run their own marketplace exchanges.
- Create an account or log in. If you enrolled before, log into your existing account.
- Complete the application. Enter household size, income, and whether anyone in the household has access to employer coverage.
- Compare plans. Review Bronze, Silver, Gold, and Platinum tier options. Silver plans are the only tier eligible for CSRs.
- Select a plan and enroll. Confirm your selection and pay your first premium.
- Confirm your coverage. You should receive a confirmation from your insurer. Your coverage start date depends on when you enrolled.
If you need help comparing plans or want a licensed agent to walk you through the process at no cost, start here.
Medicaid vs. ACA Marketplace: Which One Applies to You
If your income falls below 100% FPL, you likely do not qualify for marketplace subsidies. However, most states have expanded Medicaid to cover adults up to 138% FPL. If you live in a Medicaid expansion state and your income is below 138% FPL, you should apply for Medicaid rather than a marketplace plan.
For the complete list of income thresholds by state, see our ACA income limits reference page.
Medicaid is free or very low cost compared to marketplace plans. If you qualify, it is almost always the better option financially.
ACA Plan Metal Tiers Explained
| Metal Tier | Average Actuarial Value | Best For |
|---|
| Bronze | 60% | Healthy people who rarely use care |
| Silver | 70% | Anyone eligible for CSRs (100-250% FPL) |
| Gold | 80% | People who use healthcare regularly |
| Platinum | 90% | People with high expected medical costs |
Actuarial value means the plan pays that percentage of covered costs on average across all enrollees. Your actual costs will depend on how much care you use.
If your income qualifies you for CSRs (100 to 250% FPL), Silver is the recommended choice because CSRs significantly enhance the Silver plan's value, effectively giving you a Gold or Platinum-level plan at Silver premiums.
Frequently Asked Questions
What are the Obamacare income limits for 2026?
For 2026, the income limit to qualify for premium tax credits is between 100% and 400% of the federal poverty level. For a single person, that is $15,650 to $62,600. For a family of four, it is $32,150 to $128,600. People below the minimum threshold may qualify for Medicaid instead.
Did the ACA enhanced subsidies expire in 2026?
Yes. The expanded subsidies that were in place from 2021 through 2025 expired at the end of 2025. The 400% FPL subsidy cliff returned for 2026 coverage, and contribution percentages for most income levels increased. Anyone who qualified for subsidies above 400% FPL in recent years no longer qualifies.
Can I still enroll in an ACA plan in 2026 outside of open enrollment?
Yes, but only if you qualify for a Special Enrollment Period (SEP). Qualifying events include losing job-based coverage, getting married, having a child, moving, or turning 26. You have 60 days from the qualifying event to enroll.
What counts as income for ACA subsidy eligibility?
Income is based on Modified Adjusted Gross Income (MAGI), which includes wages, self-employment income, Social Security benefits, rental income, capital gains, and most other income sources. It does not include child support received or SSI.
What is the income limit for cost-sharing reductions in 2026?
Cost-sharing reductions are available to households with income between 100% and 250% FPL who enroll in a Silver marketplace plan. For a single person, that is up to $39,125. For a family of four, it is up to $80,375.
Do I qualify for subsidies if my employer offers health insurance?
You generally do not qualify if your employer offers coverage that meets ACA affordability and minimum value standards. The affordability threshold for 2026 is 9.02% of household income for employee-only coverage. If the employee share of premiums exceeds that percentage, the plan is considered unaffordable and you may qualify for a marketplace subsidy.
What if my income is below the ACA subsidy minimum?
If your income is below 100% FPL in a Medicaid expansion state, you likely qualify for Medicaid, which provides free or very low-cost coverage. If you live in a state that did not expand Medicaid, you may fall into the coverage gap with limited options. Check the CoveredUSA screener to see what you qualify for based on your state and income.
How do I apply for ACA health insurance?
You can apply through HealthCare.gov if your state uses the federal marketplace, or through your state's own marketplace exchange. The CoveredUSA screener is a free 2-minute tool that checks your eligibility and connects you with a licensed agent who can help you enroll at no cost.
