Section 8 Housing Choice Voucher Calculator
Estimate your monthly rent portion and the potential voucher subsidy provided by the Public Housing Agency (PHA).
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Adjusted Monthly Income:
Total Tenant Payment (TTP):
Estimated Voucher Subsidy:
Your Estimated Monthly Rent Share:
*This is an estimate. The local PHA makes the final determination based on local utility allowances and specific deduction policies.
How the Section 8 Voucher is Calculated
The Section 8 Housing Choice Voucher program is designed so that low-income families generally pay roughly 30% of their adjusted monthly income toward rent and utilities. The federal government, through local Public Housing Agencies (PHAs), covers the remaining balance up to a specific limit called the Payment Standard.
The 30% Rule and Adjusted Income
To find your portion, the PHA first calculates your Adjusted Monthly Income. They take your total gross annual income and subtract specific deductions:
- Dependent Deduction: $480 for each family member who is under 18, a full-time student, or disabled.
- Elderly/Disabled Deduction: A single $400 deduction per household if the head of household or spouse is 62 or older or disabled.
- Medical/Childcare: Other deductions may apply for unreimbursed medical expenses or childcare costs (not included in this basic calculator).
Realistic Example:
A family earns $24,000 a year ($2,000/month) and has 2 children.
1. Total Deductions: 2 x $480 = $960.
2. Adjusted Annual Income: $24,000 – $960 = $23,040.
3. Adjusted Monthly Income: $23,040 / 12 = $1,920.
4. Total Tenant Payment (30%): $1,920 x 0.30 = $576.
A family earns $24,000 a year ($2,000/month) and has 2 children.
1. Total Deductions: 2 x $480 = $960.
2. Adjusted Annual Income: $24,000 – $960 = $23,040.
3. Adjusted Monthly Income: $23,040 / 12 = $1,920.
4. Total Tenant Payment (30%): $1,920 x 0.30 = $576.
The Payment Standard and Rent Subsidy
The PHA sets a "Payment Standard" based on the Fair Market Rent (FMR) in your area for your specific bedroom size. If the rent is higher than this standard, you may have to pay the difference, provided it doesn't exceed 40% of your adjusted income at initial lease-up.
Key Terms to Know
- TTP (Total Tenant Payment): The minimum amount a family must contribute toward rent and utilities.
- HAP (Housing Assistance Payment): The portion paid by the PHA directly to the landlord.
- Utility Allowance: An amount deducted from your share if you pay your own utilities, intended to keep your total housing cost around the 30% mark.