The credit follows you, not the plan
Your tax credit is fixed by the gap between the benchmark premium and your expected contribution — pick a cheaper plan and you pocket the difference; pick a pricier one and you pay the extra out of pocket. A jump in income mid-year can shrink this credit and trigger a repayment at tax time — see the Income Tax Estimator to sanity-check your projected MAGI before you lock in a plan.
Frequently asked questions
Where do I find my benchmark premium?
It's the cost of the second-lowest-cost Silver plan (SLCSP) available to your household on healthcare.gov or your state exchange — quoting your own age and location. It's a required field on your Marketplace application, not something this tool can calculate for you.
Why is the applicable percentage table not editable?
The sliding-scale percentage of income you're expected to contribute has been extended and adjusted by Congress multiple times (ARPA, then the Inflation Reduction Act) and its exact shape beyond 2025 depends on whether the enhanced subsidies are extended again — this uses the enhanced, no-cliff structure as an illustrative model. Always cross-check against the official Marketplace calculator for the year you're enrolling.
What if my income is below 100% of the poverty line?
In states that expanded Medicaid, you likely qualify for Medicaid instead of a Marketplace subsidy. In non-expansion states, this can fall into a coverage gap — check your state's specific Medicaid eligibility rules.
Last updated: June 2026