2026 ACA Subsidy Calculator & Health Insurance Premium Estimator
Estimate your 2026 health insurance costs and ACA subsidies in seconds. Updated for 2026 rates and the new subsidy cliff rules. Get instant estimates based on your ZIP code, age, income, and household size. Perfect for understanding how potential subsidy changes could affect you.
Location & Household
Determines your state's premium rates
Include yourself and all tax dependents
Up to 3 children under 21
Income & Preferences
Before taxes, for all household members
The 2026 subsidy cliff is a critical issue affecting millions of Americans. Enhanced subsidies that were expanded during the pandemic may expire, potentially causing dramatic cost increases for households above 400% of the Federal Poverty Level.
What This Means for You:
- • If enhanced subsidies expire: Households above 400% FPL will lose all subsidies, potentially facing $500-$1,500+ more per month in premiums
- • If enhanced subsidies continue: Subsidies remain available above 400% FPL, with a cap at 8.5% of income
- • Uncertainty: The final decision may not be made until late 2026, making it crucial to calculate your costs now
Use our calculator above to see how your costs could change under both scenarios. Enter your information to get estimates based on current 2026 rates, and understand how potential subsidy changes could affect your budget.
Calculating your ACA subsidy involves several key factors. Our calculator does this automatically, but understanding the process helps you make informed decisions about your coverage.
Step-by-Step Calculation Process:
- Determine Your MAGI: Calculate your Modified Adjusted Gross Income (AGI plus tax-exempt interest and certain adjustments)
- Find Your FPL Percentage: Divide your MAGI by the Federal Poverty Level for your household size
- Identify the Benchmark Plan: Find the Second Lowest Cost Silver Plan (SLCSP) in your ZIP code
- Calculate Expected Contribution: Determine what you're expected to pay based on your income (typically 2-8.5% of MAGI)
- Calculate Subsidy: Subtract your expected contribution from the benchmark plan premium
Our calculator above handles all these steps automatically. Just enter your ZIP code, age, household size, and annual income, and you'll get instant estimates of your premium and potential subsidy.
ACA premiums are calculated using a complex formula that considers multiple factors. Understanding these factors helps you see why your premium is what it is and how you might be able to reduce it.
Key Factors in Premium Calculation:
- • Location (ZIP Code): Healthcare costs vary by state and county
- • Age: Older applicants pay up to 3x more than younger ones
- • Household Size: More family members increase total premium
- • Tobacco Use: Can add up to 50% surcharge in many states
- • Plan Tier: Bronze, Silver, Gold, Platinum have different base costs
What is MAGI (Modified Adjusted Gross Income)?
MAGI is your Adjusted Gross Income (AGI) plus tax-exempt interest, foreign earned income, and certain other adjustments. For most people, MAGI is very close to their AGI from their tax return.
Includes: Wages, self-employment income, interest, dividends, capital gains, retirement distributions, and other taxable income.
What is the Benchmark Plan (SLCSP)?
The benchmark plan, also called SLCSP (Second Lowest Cost Silver Plan), is the second-cheapest Silver plan available in your area. This plan is used as the standard for calculating subsidies. Your subsidy amount is based on the difference between the SLCSP premium and what you're expected to pay based on your income. You can use your subsidy to buy any plan on the Marketplace, but the subsidy amount is tied to the SLCSP cost in your area.
Health insurance premiums vary significantly by state due to differences in healthcare costs, regulations, and competition among insurers. Here's a look at average Marketplace premiums by state for 2026.
| State | Bronze Plan | Silver Plan | Gold Plan |
|---|---|---|---|
| California | $420 | $545 | $630 |
| Texas | $395 | $510 | $590 |
| Florida | $410 | $525 | $615 |
| New York | $465 | $595 | $685 |
Source: CMS.gov 2026 Rate Data. Premiums shown are for a 40-year-old individual before subsidies.
Understanding the differences between plan tiers helps you choose the right coverage for your needs and budget. Each tier offers different levels of coverage and cost-sharing.
| Plan Tier | Actuarial Value | Typical Deductible | Best For |
|---|---|---|---|
| Bronze | 60% | $7,000-$8,000 | Young, healthy individuals who rarely need care |
| Silver | 70% | $4,000-$6,000 | Most people, especially with subsidies or CSR |
| Gold | 80% | $1,000-$3,000 | People who expect regular medical care |
| Platinum | 90% | $0-$1,000 | People with chronic conditions or high medical needs |
Actuarial Value means the percentage of costs the plan covers for a typical population. Silver plans are often the best value because they're the only tier that qualifies for Cost-Sharing Reductions (CSR) if your income is below 250% FPL.
How are health insurance premiums calculated in 2026?
Health insurance premiums in 2026 are calculated based on your location (ZIP code), age, household size, tobacco use, and plan tier. Insurance companies file rates with state regulators each year. The base premium is adjusted for age (up to 3:1 ratio), location (state and county factors), and plan tier (Bronze, Silver, Gold, Platinum). Subsidies are calculated based on your Modified Adjusted Gross Income (MAGI) and the Second Lowest Cost Silver Plan (SLCSP) in your area.
Who qualifies for Obamacare subsidies in 2026?
Households with income between 100% and 400% of the Federal Poverty Level (FPL) qualify for premium tax credits in 2026. Those with income between 100% and 250% FPL may also qualify for cost-sharing reductions (CSR) on Silver plans. You must not be eligible for affordable employer coverage or government programs like Medicaid or Medicare. Use our calculator above to see if you qualify based on your income and household size.
What is the subsidy cliff and how does it affect me?
The subsidy cliff refers to the point where enhanced ACA subsidies may expire. In 2026, there's uncertainty about whether enhanced subsidies (which removed the 400% FPL cap) will continue. If they expire, households above 400% FPL will lose all subsidies, potentially facing thousands of dollars in additional costs. This is why it's crucial to calculate your 2026 costs now and understand how potential changes could affect you.
How much does health insurance cost per month for one person?
Health insurance costs for one person in 2026 vary widely by age, location, and plan tier. A 30-year-old can expect to pay $300-$500 per month for a Silver plan before subsidies, while a 50-year-old might pay $600-$900. Costs are higher in states like New York and California, and lower in states like Texas and Florida. With subsidies, many people pay $0-$200 per month. Use our calculator to get a personalized estimate based on your specific situation.
Does income affect health insurance premiums?
Income doesn't directly affect the premium amount itself, but it determines your eligibility for subsidies. The premium is based on age, location, and plan tier. However, your Modified Adjusted Gross Income (MAGI) determines how much subsidy you receive, which directly affects what you pay out of pocket. Lower income means larger subsidies and lower net costs. Higher income (above 400% FPL) may mean no subsidies at all, depending on 2026 rules.
How do I estimate my 2026 ACA subsidy?
To estimate your 2026 ACA subsidy, you need your Modified Adjusted Gross Income (MAGI), household size, and ZIP code. The subsidy is calculated based on the Second Lowest Cost Silver Plan (SLCSP) in your area and your income as a percentage of the Federal Poverty Level. Use our calculator above - just enter your ZIP code, age, household size, and annual income, and we'll calculate your estimated subsidy instantly.
What is MAGI and how is it calculated?
MAGI (Modified Adjusted Gross Income) is your Adjusted Gross Income (AGI) plus tax-exempt interest, foreign earned income, and certain other adjustments. For most people, MAGI is close to their AGI from their tax return. It includes wages, self-employment income, interest, dividends, and other taxable income. MAGI is used to determine subsidy eligibility and amounts, not your gross income or take-home pay.
What is the benchmark plan (SLCSP)?
The benchmark plan, also called SLCSP (Second Lowest Cost Silver Plan), is the second-cheapest Silver plan available in your area. This plan is used as the standard for calculating subsidies. Your subsidy amount is based on the difference between the SLCSP premium and what you're expected to pay (based on your income). You can use your subsidy to buy any plan, but the subsidy amount is tied to the SLCSP cost in your area.
How much can I save with ACA subsidies?
The amount you can save with ACA subsidies depends on your income, household size, and location. Subsidies can reduce your monthly premium by hundreds or even thousands of dollars. For example, a family of four making $60,000 might receive $500-$800 per month in subsidies, reducing their premium from $1,200 to $400-$700. Use our calculator to see your specific savings potential.
When is open enrollment for 2026?
Open enrollment for 2026 Marketplace coverage runs from November 1, 2025 to January 15, 2026. During this period, you can enroll in a new plan, change your existing plan, or update your information. If you miss open enrollment, you may qualify for a Special Enrollment Period if you experience a qualifying life event like losing coverage, moving, getting married, or having a baby.
What's the difference between Bronze, Silver, Gold, and Platinum plans?
The main difference is the actuarial value - the percentage of costs the plan covers. Bronze plans cover 60% of costs (you pay 40%), Silver covers 70%, Gold covers 80%, and Platinum covers 90%. Bronze plans have the lowest premiums but highest deductibles and out-of-pocket costs. Platinum plans have the highest premiums but lowest deductibles. Silver plans are often the best value because they're the only tier that qualifies for Cost-Sharing Reductions if your income is below 250% FPL.
Can I change my income estimate after enrolling?
Yes, you can update your income estimate at any time through your Marketplace account. If your income changes significantly, you should update it immediately because it affects your subsidy amount. If you receive too much subsidy during the year, you may have to repay it when you file your taxes. If you receive too little, you'll get a credit on your tax return.
What happens if I don't report income changes?
If you don't report income changes, you may receive incorrect subsidy amounts. If your income increases and you don't report it, you may receive more subsidy than you're entitled to, which you'll have to repay when you file your taxes. If your income decreases and you don't report it, you may pay more than necessary during the year, though you'll get a credit on your tax return. It's important to report changes promptly to avoid surprises at tax time.
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Disclaimer: This tool provides estimates for educational purposes only. Actual premiums and subsidies may vary based on specific plans, insurers, and personal circumstances. Visit Healthcare.gov for official Marketplace information and enrollment.