Updated July 2026 · Reviewed by the CoverageCo team
Premium tax credits lower what you pay monthly, and cost-sharing reductions lower your deductible and out-of-pocket costs on Silver plans. Eligibility depends on your income relative to the federal poverty level, your household size, and whether you have affordable coverage through work. Eligibility is determined when you apply.
Key takeaways
- Two separate kinds of help: premium tax credits (monthly cost) and cost-sharing reductions (Silver plans only).
- For 2026, the enhanced credits available from 2021 through 2025 have expired and the 400% federal poverty level limit applies again.
- Estimate your income carefully — credits are reconciled on your tax return, and underestimating can mean paying some back.
- Report income and household changes mid-year rather than waiting until you file.
Two kinds of help
There are two separate ways Marketplace coverage can cost you less:
- Premium tax credits — lower what you pay each month for your plan. They're based on your estimated income and household size.
- Cost-sharing reductions (CSR) — lower your deductible and out-of-pocket costs. These are tied to Silver plans and a narrower income range.
What decides whether you qualify
Eligibility is based mainly on your household size and your estimated income for the year, measured against federal guidelines. Generally, the lower your income within the qualifying range, the more help you may receive.
Important: the specific income thresholds and how generous the credits are can change from year to year as the law changes. Enhanced credits that were in place in recent years were scheduled to phase down, which can affect what you'd pay for 2026 and beyond. Don't assume last year's number — have a licensed agent check the current figures for you.
A reality check on the estimator below
The quick estimator on this page is illustrative only. It gives you a rough sense of whether savings might be in play — it is not a quote, an application, or a guarantee. Your real eligibility depends on verified income, household details, where you live, and the current year's rules. The only way to know your actual number is to apply with help from a licensed agent.
Illustrative estimate only — not a quote, application, or guarantee. Real eligibility depends on verified income, household, location, and the current year’s rules.
Your rough picture
Good chance of real savings.
Households in this range often qualify for help with premiums and may get extra cost-sharing savings on a Silver plan.
Common questions
Did ACA subsidies change for 2026?
Yes. The enhanced premium tax credits that applied from 2021 through 2025 expired at the end of 2025. For 2026 the original rules apply again, including the limit at 400% of the federal poverty level. Many households saw their share of the premium rise as a result. Confirm current figures at HealthCare.gov when you apply.
What happens if I earn more than I estimated?
Premium tax credits are reconciled on your federal tax return using Form 8962. If you received more credit than you qualified for, you may have to repay some or all of it, subject to caps in some income ranges. Reporting income changes during the year keeps the surprise small.
Can I get savings if my job offers insurance?
Sometimes. It depends on whether your employer's coverage is considered affordable and meets minimum value under IRS rules. If it doesn't, you may qualify for Marketplace savings instead.
Are cost-sharing reductions available on any plan?
No. Cost-sharing reductions generally apply only to Silver plans, and only within certain income ranges. That's why Silver can end up cheaper overall than Gold for people who qualify.