What income sources (self-employment, unemployment, child support, alimony) are counted toward 2026 FPL determinations?
Executive summary
Most FPL-based eligibility for 2026 uses household income measured as MAGI (modified adjusted gross income) or the household’s current/annual income depending on the program; Marketplace premium tax credit eligibility for 2026 is compared to projected 2026 income using prior-year FPL numbers, while Medicaid/CHIP use the current year’s FPL and compare to current monthly or annual income (states often switch to new FPL numbers in early spring) [1] [2]. Available sources describe which income measure programs use (MAGI vs. current income) but do not provide a single, exhaustive list that explicitly enumerates whether self‑employment income, unemployment benefits, child support or alimony are always counted toward “2026 FPL determinations” for every program (available sources do not mention a consolidated checklist of those specific items).
1. How programs define “income” — MAGI vs. current income: the key split
Federal Marketplace (premium tax credits) and many ACA-related programs rely on MAGI — a tax‑based measure incorporating adjusted gross income plus certain tax-exempt items — and compare projected annual income for the coverage year to the FPL; for coverage in 2026 that comparison uses 2025 FPL numbers [1] [2]. By contrast, Medicaid and CHIP eligibility generally use the “current” monthly or annual income and are compared against the currently posted FPL guideline for the program year; states commonly update to the newly published HHS poverty guidelines in February–April each year [1].
2. What MAGI typically includes — why this matters for specific income types
Sources emphasize that Marketplace subsidy eligibility is determined by MAGI (the metric used to calculate household income as a percentage of FPL) though the search results do not list MAGI’s line-by-line inclusions and exclusions in this dataset [2]. MAGI is a tax-centric construct; therefore whether a given income item (self‑employment, unemployment, child support, alimony) counts depends on whether it is included in AGI or added back under MAGI rules — a point coverage counselors and tax advisors use when estimating eligibility [3] [4].
3. Self‑employment income: included when reported as taxable business income
The sources make clear that households must estimate total annual income to compare with the FPL for Marketplace subsidies and that self‑employment earnings form part of that projected income when they appear in tax filings and MAGI calculations — jurisdictions and enrollment platforms ask applicants to include expected earnings [1] [3]. Specifics about net vs. gross self‑employment calculations are not found in these excerpts (available sources do not mention detailed MAGI rules for net self‑employment here).
4. Unemployment benefits: counted in many eligibility frameworks, but check program specifics
The gathered sources note that Marketplace eligibility compares projected annual income against FPL and that expanded subsidy rules hinge on those numbers [1] [3]. Whether unemployment is counted depends on tax treatment and MAGI inclusion; these search results do not present a definitive line saying “unemployment is always counted” for all FPL-based programs (available sources do not mention a definitive statement on unemployment inclusion across programs).
5. Child support and alimony: treatment depends on tax rules and program
Search results stress that household size for FPL comparison is based on the tax household and that MAGI underlies many determinations [3] [5]. That implies child support — typically non‑taxable to recipients — and alimony — whose tax treatment has changed in recent years — may be handled differently depending on whether they appear in AGI or are excluded under MAGI rules; however, the provided sources do not catalog the treatment of child support or alimony specifically for 2026 FPL determinations (available sources do not mention explicit treatment of child support or alimony).
6. Timing and which FPL numbers programs use matters for your calculation
Programs use different FPL vintages: premium tax credits for coverage year 2026 are based on the 2025 poverty guidelines (so you compare projected 2026 income to 2025 FPL), but Medicaid/CHIP use the “current year” FPL and compare to current monthly or annual income; states often adopt new HHS poverty guidelines between February and April [1] [2]. This timing mismatch means the same household could be treated differently by Marketplace versus Medicaid in the same calendar window [1].
7. Practical next steps and where the sources point you
Given program differences, the practical route is to (a) identify which program you’re applying to (Marketplace vs. Medicaid/CHIP), (b) use MAGI guidance for Marketplace projections and include anticipated taxable income sources, and (c) consult your state’s Medicaid rules for how current income is counted — the cited consumer guidance and state portals explicitly note these distinctions [1] [5]. For itemized inclusion/exclusion of self‑employment, unemployment, child support, and alimony, the current collection of sources does not provide a consolidated, authoritative checklist — contact a certified navigator, your state Medicaid office, or review IRS/MAGI guidance for precise determinations (available sources do not mention a single authoritative list here).
Limitations: reporting here relies solely on the supplied search results and their excerpts; the sources repeatedly emphasize MAGI and the split in which FPL year is used, but they do not include program‑by‑program line items for every income type [1] [2].