What Is 250% of the Federal Poverty Level: 2026 Limits and ACA Use

In 2026, 250% of the federal poverty level equals $39,900 a year for a single person in the 48 contiguous states and Washington, D.C., and it rises with household size to $82,500 for a family of four. This is the income ceiling for cost-sharing reductions on Affordable Care Act marketplace plans, and a reference point for a handful of other benefits programs.¹

2026 Income Limits at 250% of the Poverty Level

If your household’s annual income falls at or below the figure listed for your household size, you are at or under 250% of the federal poverty level for 2026.¹

48 Contiguous States and Washington, D.C.

1 person: $39,900
2 people: $54,100
3 people: $68,300
4 people: $82,500
5 people: $96,700
6 people: $110,900
7 people: $125,100
8 people: $139,300

For each person beyond eight, add $14,200.

Alaska

Alaska’s guidelines are higher to reflect a higher cost of living.²

1 person: $49,875
2 people: $67,625
3 people: $85,375
4 people: $103,125
5 people: $120,875
6 people: $138,625
7 people: $156,375
8 people: $174,125

Hawaii

Hawaii uses its own scale as well.³

1 person: $45,900
2 people: $62,225
3 people: $78,550
4 people: $94,875
5 people: $111,200
6 people: $127,525
7 people: $143,850
8 people: $160,175

How to Calculate 250% Yourself

The math is simple. Take the 100% poverty guideline for your household size and multiply by 2.5. For a single person in the 48 contiguous states, the 2026 base guideline is $15,960, which gives $39,900 at 250%. For a family of four, the base is $33,000, which gives $82,500.¹ Each additional household member adds $5,680 to the base guideline in the 48 contiguous states, which comes out to $14,200 at the 250% level. The same multiplier works with Alaska’s and Hawaii’s higher base amounts.

What Counts as Your Household and Your Income

For ACA marketplace purposes, your household is your tax filing unit: the tax filer, a spouse filing jointly, and anyone claimed as a tax dependent.⁴ Everyone in that unit counts toward household size, and their income counts toward the total, even if some of them are not applying for coverage.

Income is measured using Modified Adjusted Gross Income, or MAGI. That’s your adjusted gross income with three items added back: nontaxable Social Security benefits, tax-exempt interest, and any excluded foreign income.⁵⁶ A common misconception is that nontaxable income never counts; for ACA purposes, nontaxable Social Security benefits do count toward MAGI.

Some receipts stay out of MAGI:

Child support received
Supplemental Security Income (SSI)
Gifts and inheritances
Life insurance proceeds
Workers’ compensation, generally

The MAGI method described here applies to ACA marketplace coverage, Medicaid for most eligibility groups, and the Children’s Health Insurance Program. Other programs that reference the poverty guidelines, such as SNAP or housing assistance, define income and household in their own ways.

Why 250% Is the Line for ACA Cost-Sharing Reductions

The main reason people look up 250% of the federal poverty level is the ACA’s cost-sharing reductions. These reductions lower your out-of-pocket costs — deductibles, copays, and coinsurance — but only if you enroll in a silver-level marketplace plan and your household income is between 100% and 250% of the poverty level.⁷

The value scales with where your income falls in that range. Federal law caps the plan’s actuarial value — the share of total medical costs the plan pays — at each tier:⁷

100% to 150% of the poverty level: up to 94% covered, versus 70% for a standard silver plan
150% to 200% of the poverty level: up to 87% covered
200% to 250% of the poverty level: up to 73% covered

Once your income crosses 250%, cost-sharing reductions stop. The silver plan reverts to its standard 70% actuarial value, so you pay a larger share of medical bills. For a family of four in the 48 contiguous states in 2026, that cutoff sits at $82,500 in household income.¹

Premium tax credits, which reduce your monthly premium on any metal-level plan, work separately and don’t cut off at 250%. But the amount you’re entitled to still depends on income, so an accurate estimate matters at every level.

The 2026 Repayment Risk if You Underestimate Your Income

If you received advance premium tax credits during the year based on an estimated income and your actual income comes in higher, you reconcile the difference on IRS Form 8962 when you file your federal return. Filing this form is required if advance credits were paid on your behalf.⁸

For 2026, the stakes of underestimating are much higher than before. Section 71305 of Public Law 119-21 eliminated the caps that used to limit how much excess advance premium tax credit you had to repay.⁹ In earlier years, someone at 200% to 300% of the poverty level who received too much in advance credits faced a repayment cap of $975 (single) or $1,950 (other filing statuses).⁸ Starting with the 2026 plan year, there is no cap, and you must repay the full difference between what was paid in advance and what you actually qualified for.¹⁰

That matters most for people whose income hovers near a boundary like 250%. If you estimated at 240% and got cost-sharing reductions plus larger premium credits, but your actual income lands at 260%, you could owe back thousands with no cap softening the bill. Report income as accurately as you can, and update your marketplace application during the year whenever your income changes.

Other Programs Use Different Percentages

Not every benefit program that references the poverty guidelines uses 250% as its line. Several states set CHIP eligibility for certain age groups at 250% of the poverty level, but the exact cutoff varies by state, and Medicaid rules for pregnant people and children also vary.

Federal student loan income-driven repayment plans use their own thresholds. The SAVE plan calculates payments based on income above 225% of the poverty level, not 250%, and other income-driven plans use 150% as their baseline.¹¹ HHS itself notes that individual programs decide how to round poverty guideline multiples, what income to include, and how to define the eligibility unit.¹ Before you rely on 250% as your eligibility line for anything outside the ACA marketplace, check the specific program’s rules.

1
ASPE – HHS.gov. 2026 Poverty Guidelines – 48 Contiguous States
2
ASPE – HHS.gov. 2026 Poverty Guidelines – Alaska
3
ASPE – HHS.gov. 2026 Poverty Guidelines – Hawaii
4
Centers for Medicare & Medicaid Services. Household Size and Types of Income to Include on a Marketplace Application
5
Internal Revenue Service. Modified Adjusted Gross Income
6
HealthCare.gov. Modified Adjusted Gross Income (MAGI)
7
Office of the Law Revision Counsel. 42 USC 18071 – Reduced Cost-Sharing for Individuals Enrolling in Qualified Health Plans
8
Internal Revenue Service. Instructions for Form 8962
9
Federal Register. Patient Protection and Affordable Care Act, HHS Notice of Benefit and Payment Parameters for 2027
10
FAQs for Marketplace Agents and Brokers. Are There Limits to How Much Excess Advance Payments of the Premium Tax Credit Consumers Must Pay Back
11
Edfinancial Services. Saving on a Valuable Education (SAVE) Plan