Estimate your 2026 premium tax credit, check Medicaid eligibility, and see your net monthly premium after subsidy. Free, private, no signup required.
The Inflation Reduction Act enhanced ACA subsidies have been extended through 2026, eliminating the "subsidy cliff" at 400% FPL that previously cut off premium tax credits entirely. In 2026, subsidies are available at all income levels — though at higher incomes, the premium tax credit only covers the amount above 8.5% of your income. This means millions more Americans qualify for financial assistance who previously did not. Open enrollment for 2026 coverage runs November 1 through January 15 in most states; special enrollment periods are available for qualifying life events.
This calculator estimates your 2026 premium tax credit (PTC) using the official ACA subsidy formula. The calculation proceeds in three steps:
First, your income is expressed as a percentage of the Federal Poverty Level (FPL) for your household size. Second, a contribution percentage table maps your FPL percentage to the maximum share of income you are expected to pay for the benchmark Silver plan. Third, the subsidy equals the difference between the benchmark plan cost in your county and your maximum contribution — giving you your monthly tax credit.
The calculator uses state average benchmark Silver plan costs as a proxy for your area; actual premiums vary by county and age within each state. Apply to the official Health Insurance Marketplace (healthcare.gov or your state exchange) for exact premium and subsidy amounts based on your specific location and the plans available in your area.
Elena is 38 years old, single, self-employed, with an estimated 2026 MAGI of $42,000. She lives in Mesa, Arizona.
Elena can also apply her $328/month subsidy to a Bronze plan, potentially bringing her monthly premium to $50–$80. However, at 279% FPL she does not qualify for Cost Sharing Reductions — if she earned slightly less (under 250% FPL = $37,650), she would qualify for CSR on a Silver plan, significantly reducing her deductible and copays. This illustrates why income management matters for self-employed individuals using ACA coverage.
Modified Adjusted Gross Income (MAGI)
ACA subsidies are based on MAGI, which includes wages, self-employment income, Social Security benefits (if taxable), investment income, rental income, and some other sources. It excludes pre-tax 401(k) and HSA contributions, but does not subtract itemized deductions. For self-employed individuals, deducting business expenses, health insurance premiums (for non-marketplace coverage), and contributing to a SEP-IRA can all reduce MAGI and increase subsidy eligibility.
Household Size
The ACA counts household size as the number of people on your tax return, including dependents. A larger household has a higher FPL threshold, meaning a given income represents a lower percentage of FPL — potentially qualifying for more generous subsidies. A family of four earning $80,000 is at 256% FPL and may qualify for significant CSR on a Silver plan; the same income for a single person represents 531% FPL with no CSR.
Medicaid vs. Marketplace
If your income falls below 138% FPL in a Medicaid expansion state, you must apply for Medicaid — you cannot receive marketplace subsidies. Medicaid provides comprehensive coverage with no or very low premiums and minimal cost-sharing. In non-expansion states, adults between 0–100% FPL may fall into a coverage gap without good options — consult your state health department for available programs.
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Browse ACA marketplace plans, compare premiums and deductibles, and see if you qualify for subsidies.
Quotes and policy terms vary by insurer, location, and individual circumstances. Consult a licensed insurance agent for personalized recommendations. Rates shown in this calculator are estimates only and do not constitute an insurance quote.
Compare Health PlansThe Affordable Care Act premium tax credit (PTC) is calculated as the difference between the cost of the benchmark Silver plan in your area and the maximum amount you are expected to contribute toward your premium, based on your income as a percentage of the Federal Poverty Level (FPL). In 2026, the maximum contribution ranges from 0% of income for those at or below 150% FPL to 8.5% of income for those above 400% FPL — the "benefit cliff" that previously existed at 400% FPL was eliminated by the Inflation Reduction Act and extended enhanced subsidies remain in effect for 2026. You can apply the subsidy to any metal tier plan, not just Silver.
The 2026 Federal Poverty Level is $15,060 for a single person, $20,440 for a two-person household, $25,820 for three people, and $31,200 for a family of four. Each additional person adds $5,380. Your income as a percentage of FPL determines your eligibility for Medicaid (below 138% FPL in expansion states), Cost Sharing Reductions (100–250% FPL on Silver plans), and your maximum premium contribution percentage for the premium tax credit.
ACA plans are categorized into metal tiers based on how costs are split between you and the insurer. Bronze plans have the lowest premiums but the highest out-of-pocket costs — you pay about 40% of costs. Silver plans split costs roughly 70/30, offer moderate premiums, and are the only tier eligible for Cost Sharing Reductions (CSR) if your income is below 250% FPL. Gold plans have higher premiums but lower out-of-pocket costs — 80/20 split. For most subsidy-eligible consumers, Silver plans with CSR provide the best overall value; for healthy consumers who rarely use healthcare, Bronze plans can minimize total annual costs.
If your income is below 138% of the Federal Poverty Level ($20,783 for a single person in 2026) and you live in one of the 40+ states that have expanded Medicaid under the ACA, you likely qualify for Medicaid — a free or very low-cost program with no premiums and minimal cost-sharing. Medicaid is separate from ACA marketplace plans; you cannot buy a marketplace plan if you are eligible for Medicaid. In non-expansion states (still approximately 10 states as of 2026), there is a coverage gap for adults with incomes between 0–100% FPL who do not qualify for Medicaid but also cannot receive marketplace subsidies.
Cost Sharing Reductions are additional subsidies that reduce your deductibles, copays, and out-of-pocket maximums when you enroll in a Silver plan with income between 100–250% of the Federal Poverty Level. At 100–150% FPL, CSR reduces your Silver plan to effectively a Platinum-level plan with very low cost-sharing. At 150–200% FPL, you receive Gold-level cost-sharing. At 200–250% FPL, you receive enhanced Silver coverage. CSR is only available on Silver plans — choosing a Bronze or Gold plan forfeits CSR eligibility even if you qualify based on income. This is why Silver plans are often the best value for low-to-moderate income consumers.
This calculator provides estimates for educational purposes only. Actual subsidy amounts are determined by the Health Insurance Marketplace based on your specific income, household, and available plans in your area. Consult a licensed health insurance agent or navigator for enrollment assistance.