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InsureCalcs

Health Insurance Subsidy Calculator

Estimate your ACA health insurance subsidy based on your household income and size. See how much you could save on Marketplace premiums.

$

Net Monthly Premium

$300

per month

Benchmark Premium

$9,600

Estimated Subsidy

$6,000

Income vs FPL

294% FPL

Net Monthly Premium

$300

Max Out-of-Pocket

$6,000

Premium vs Subsidy

Frequently Asked Questions

How does the ACA health insurance subsidy work?

The Affordable Care Act provides premium tax credits to eligible individuals and families with household incomes between 100% and 400%+ of the Federal Poverty Level. The subsidy caps your premium at a percentage of your income (0%–8.5%), and the government pays the rest directly to your insurer. In 2026, those above 400% FPL also qualify with a cap of 8.5% of income.

What income is used to calculate the subsidy?

The subsidy uses Modified Adjusted Gross Income (MAGI), which is your adjusted gross income plus any tax-exempt interest and non-taxable Social Security benefits. This includes wages, self-employment income, investment income, retirement distributions, and most other taxable income sources. It excludes non-taxable income like gifts and inheritances.

Can I get a subsidy if my employer offers health insurance?

If your employer offers affordable health insurance (the employee-only premium is less than 9.02% of your household income in 2026) that meets minimum value standards, you generally cannot qualify for ACA subsidies. However, if your employer's plan is unaffordable or doesn't meet minimum value, you may still be eligible.

This calculator provides estimates based on the ACA subsidy formula. Actual subsidies depend on the benchmark Silver plan in your area. Source: Healthcare.gov and IRS guidelines.