2026 ACA Subsidy Estimator
Use this calculator to estimate your potential Affordable Care Act (ACA) premium tax credit (subsidy) for the 2026 plan year. Subsidies help reduce the cost of health insurance premiums purchased through the Health Insurance Marketplace.
Your Modified Adjusted Gross Income (MAGI) for 2026. This is typically your adjusted gross income plus tax-exempt interest, non-taxable Social Security benefits, and excluded foreign income.
Include yourself, your spouse, and anyone you claim as a tax dependent.
This is the benchmark plan used to calculate your subsidy. You can find estimates for your area on healthcare.gov or state marketplaces. If you don't know, use a reasonable estimate for a Silver plan in your area.
Understanding ACA Subsidies for 2026
The Affordable Care Act (ACA), also known as Obamacare, provides financial assistance in the form of premium tax credits (subsidies) to eligible individuals and families to help them afford health insurance purchased through the Health Insurance Marketplace. These subsidies reduce the amount you pay each month for your health insurance premium.
How Subsidies Work
ACA subsidies are designed to limit the percentage of your household income you have to pay for a benchmark health plan. The benchmark plan is typically the "Second Lowest Cost Silver Plan" (SLCSP) available in your area. The government then pays the difference between your maximum contribution and the cost of the SLCSP.
Key Factors for 2026 Eligibility
Your eligibility and the amount of your subsidy for 2026 will primarily depend on three factors:
- Household Income (Modified Adjusted Gross Income – MAGI): This is a specific calculation of your income, generally your Adjusted Gross Income (AGI) with certain additions like tax-exempt interest and non-taxable Social Security benefits. The lower your MAGI relative to the Federal Poverty Level, the higher your potential subsidy.
- Household Size: The number of people in your tax household (yourself, spouse, and dependents) impacts your Federal Poverty Level (FPL) threshold.
- Cost of the Second Lowest Cost Silver Plan (SLCSP): This is the specific plan used as a reference point. Its cost varies by location, age, and household size.
Federal Poverty Level (FPL) for 2026
The Federal Poverty Level (FPL) is a set of income thresholds used to determine eligibility for various federal programs. For ACA subsidies, your income is compared to the FPL for your household size. While the official 2026 FPL numbers will be released in early 2026, this calculator uses an estimated FPL based on historical increases. For a single person, the estimated 2026 FPL is around $15,000, with an increment of approximately $5,300 for each additional household member.
Premium Contribution Caps (Assuming Enhanced Subsidies Continue)
The American Rescue Plan Act (ARPA) and later the Inflation Reduction Act (IRA) significantly enhanced ACA subsidies, making them more generous and eliminating the "subsidy cliff" for those above 400% FPL. These enhanced subsidies are currently set to expire at the end of 2025. However, for the purpose of this calculator, we assume these enhanced subsidy rules will be extended for 2026, as there is strong political will to do so. Under these rules, your maximum contribution towards the benchmark plan is capped at a certain percentage of your income, based on your FPL:
- Up to 150% FPL: 0% of income
- 150% – 200% FPL: 0% to 2% of income (sliding scale)
- 200% – 250% FPL: 2% to 4% of income (sliding scale)
- 250% – 300% FPL: 4% to 6% of income (sliding scale)
- 300% – 400% FPL: 6% to 8.5% of income (sliding scale)
- Over 400% FPL: 8.5% of income
If the enhanced subsidies are not extended, the contribution caps would revert to higher percentages, and those above 400% FPL would not be eligible for subsidies.
Important Considerations
- Accuracy: This calculator provides an estimate. Your actual subsidy will be determined by the Marketplace based on your application.
- SLCSP Cost: The cost of the SLCSP is crucial. It varies significantly by location, age, and household composition. Use the most accurate estimate you can find for your specific situation.
- Income Changes: If your income changes significantly during the year, report it to the Marketplace to adjust your subsidy and avoid issues at tax time.
- Plan Choice: You don't have to choose the SLCSP. You can use your subsidy to purchase any metal-level plan (Bronze, Silver, Gold, Platinum), but if you choose a plan more expensive than the SLCSP, you'll pay the difference. If you choose a cheaper plan, you'll pay less.