2026 ACA Subsidy Calculator — Premium Tax Credit & the 400% Cliff
The enhanced premium tax credits expired at the end of 2025, and subsidized enrollees are paying roughly double on average in 2026. Estimate your credit under current law, see exactly how far you are from the 400% FPL cliff, and test how pre-tax contributions could pull you back under it.
Roughly your AGI plus tax-exempt interest and untaxed Social Security — projected for the coverage year, not last year's actual.
For a precise result, enter the second-lowest-cost Silver premium from your renewal notice or your marketplace's plan-compare tool.
401(k), traditional IRA, and HSA contributions lower your MAGI. Near the cliff, a few thousand dollars can be worth far more than the tax deduction itself. Not tax advice — confirm with a tax professional.
At 435% FPL you get no credit and would pay the full 683/month benchmark premium. Because repayment caps are gone for 2026, don't take advance credits you may not qualify for.
Move the pre-tax contributions slider: 5,400 into a 401(k), IRA, or HSA would put you exactly at the line and restore an estimated 1,961/year.
Blue dot: your income. The cliff is where the credit drops to zero.
Benchmark source: KFF 2026 Florida average (age 40), age-adjusted with the federal age curve. Tobacco surcharges and county-level pricing are not modeled.
For 2026, the income-based caps on repayment of excess advance credits were removed. If you underestimate your income, you repay the full difference at tax time — estimate carefully.
An offer of affordable, minimum-value employer coverage generally makes you ineligible for the credit. For 2026, 'affordable' means the employee share of self-only coverage costs no more than 9.96% of household income.
What changed for 2026
Enhanced credits expired
The 2021–2025 enhancements ended December 31, 2025. Congress has not extended them, so the pre-2021 credit schedule governs 2026 coverage.
The 400% cliff returned
From 2021–2025 the credit phased out gradually above 400% FPL. For 2026 it stops completely: $1 over the line means a $0 credit.
Premiums also rose
Insurers raised benchmark premiums about 26% on average for 2026 — separate from the subsidy change. The two effects compound.
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The official 2026 applicable percentage table
| Income (% of FPL) | You pay (initial → final) |
|---|---|
| 100% – 133% | 2.10% (flat) |
| 133% – 150% | 3.14% → 4.19% |
| 150% – 200% | 4.19% → 6.60% |
| 200% – 250% | 6.60% → 8.44% |
| 250% – 300% | 8.44% → 9.96% |
| 300% – 400% | 9.96% (flat) |
Your required contribution is your income times the applicable percentage (linearly interpolated inside each bracket). The credit equals the benchmark Silver premium minus that contribution. Source: IRS Rev. Proc. 2025-25.
2025 poverty guidelines used for 2026 coverage
| Household size | 100% FPL | 400% cliff |
|---|---|---|
| 1 | $15,650 | $62,600 |
| 2 | $21,150 | $84,600 |
| 3 | $26,650 | $106,600 |
| 4 | $32,150 | $128,600 |
| 5 | $37,650 | $150,600 |
| 6 | $43,150 | $172,600 |
Premium tax credits for the 2026 coverage year are calculated on the 2025 HHS Poverty Guidelines (the guidelines in effect when 2026 open enrollment began). Alaska and Hawaii use higher guidelines; this tool models the 48 contiguous states + DC.
Could Congress restore the bigger subsidies?Live · as of 2026-09-08
The ARP/IRA enhanced premium tax credits expired on December 31, 2025. The House passed a three-year extension on January 8, 2026 (230-196); the Senate has not passed it. A bipartisan Senate compromise is still being negotiated. Until a bill becomes law, the pre-2021 rules — including the 400% FPL cliff — govern the 2026 coverage year. If Congress restores the enhanced credits, this page will be updated within 48 hours.
Lost Medicaid or got a termination notice?
A Medicaid loss triggers a 60-day Special Enrollment Period — and you may still qualify for a marketplace credit.
See your coverage optionsOn Medicaid and worried about the 2027 work rules?
Starting in 2027, expansion-state adults must document 80 hours of monthly work or qualifying activity. Check whether you're exempt before optimizing anything.
Run the exemption self-checkCommon questions
Did the ACA subsidy go away entirely in 2026?
No. The base premium tax credit under 26 U.S.C. § 36B still exists. What expired on December 31, 2025 was the temporary 2021–2025 enhancement that had removed the 400% income cap and lowered what everyone pays. For 2026 coverage, the credit reverts to the pre-2021 structure: a sliding subsidy from 100% to 400% FPL, then a hard cliff.
What exactly is the subsidy cliff?
The point at 400% of the federal poverty line where the credit stops completely. For 2026 coverage (calculated on the 2025 guidelines) that is $62,600 for a single person and $128,600 for a family of four in the 48 contiguous states. One dollar over the line can cost a household thousands of dollars a year in lost credits.
Why does the calculator use the 2025 poverty guidelines for 2026 coverage?
By statute, the premium tax credit for a coverage year uses the poverty guidelines in effect when open enrollment for that year began. Open enrollment for 2026 started in late 2025, so the 2025 guidelines govern — not the 2026 guidelines used by Medicaid.
I'm just over 400% FPL. Is there anything legitimate I can do?
Possibly. The credit is based on MAGI, and certain pre-tax moves reduce it: deductible HSA contributions, traditional IRA/SEP/solo-401(k) contributions, self-employed business deductions, and timing income (deferring a bonus or a Roth conversion). The slider in the calculator shows the credit impact, but your MAGI depends on your whole return — confirm any move with a tax professional. This is not tax advice.
What happens if I underestimate my income?
For 2026 the income-based caps on repaying excess advance credits were removed. If you take more advance credit than you end up qualifying for, you repay the full difference when you file. Estimate conservatively, and update your marketplace application if your income changes during the year.
I lost Medicaid. How long do I have to enroll in a marketplace plan?
Losing Medicaid or CHIP generally triggers a 60-day Special Enrollment Period outside open enrollment. If your termination was procedural (paperwork or address issues rather than a real eligibility change), ask your state agency about reinstatement first — it may be faster than starting over.
Is this the 2025 or the 2026 ACA subsidy calculator?
This calculator runs the 2026 rules: the enhanced subsidies expired on December 31, 2025, the 400% FPL cliff is back, and credits are computed on the 2025 federal poverty guidelines (the guidelines in effect when 2026 open enrollment began). If you are filing for 2025 coverage, that year still had the enhanced credits with no income cap — check your 1095-A against the IRS instructions for that year.
Does the calculator work for Texas, Florida and every state?
Yes. Premium tax credits are federal, so the math is identical in every state — pick your state in the dropdown and the calculator uses its verified average benchmark premium (Texas and Florida included). The one state-level difference worth knowing: states that run their own marketplace (like California's Covered California) may add their own cost-sharing help on top of the federal credit.
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Reviewed by Gavin YE, Technical Director, ClearRules Labs.
Page last reviewed 2026-09-08