What income levels qualify for ACA premium tax credits?

1. How the baseline rule works: the 100% minimum threshold

Under current law for 2025, individuals must have annual household income at or above 100% of the federal poverty level to be eligible for the premium tax credit; the Congressional Research Service (CRS) summary of current rules places that minimum squarely in its eligibility checklist ^[1]. That minimum is the starting point for the credit because Medicaid eligibility and other program rules can affect whether someone who falls below 100% FPL actually receives the credit depending on state Medicaid expansion choices ^[4].

2. The temporary expansion through 2025: no upper income cap

A temporary enhancement enacted in 2021 and extended through calendar-year 2025 eliminated the statutory 400% FPL maximum for Premium Tax Credit (PTC) eligibility, meaning there is effectively no upper income limit for the credit in 2025; CRS and policy guides say the 400% cap was removed for these years ^{[2] [3]}. Analysts and advocacy groups report that the expanded rules both increased credit sizes and made people above 400% newly eligible during the expansion period ^{[5] [3]}.

3. What that means in dollars (examples and context)

The federal poverty level is updated annually and depends on household size; for 2025, commentators and reporting cite the one-person FPL at $15,650 and a four-person household FPL at $32,150, with other sources using examples such as $62,600 as roughly 400% of the individual poverty line for 2025 in public discussion ^{[6] [7]}. Journalists and analysts have used those dollar figures to illustrate the “subsidy cliff” risk for people just above the 400% line if the enhancements expire ^{[8] [7]}.

4. The coming change after 2025: the 400% limit returns unless Congress acts

Multiple policy briefs and KFF analysis make clear the enhanced rules are temporary through 2025; if Congress does not extend them, the PTC will revert to earlier ACA rules that limit the credit to families with incomes below 400% of FPL starting in 2026 ^{[4] [5]}. The CRS and other explainers outline that absent renewal, applicable percentages and indexing will change and eligibility will again exclude most households at or above 400% FPL ^{[2] [4]}.

5. Who benefited and why advocates emphasize middle incomes

Advocacy and research groups (KFF, Bipartisan Policy Center, CBPP) note that most people receiving credits are under 400% FPL, but the enhanced rules also produced nontrivial numbers of enrollees above 400% who benefited—hence debate about whether to extend the enhancements ^{[5] [7] [9]}. Estimates and reporting show that the enhancements substantially lowered required household premium contributions for many income bands and that expiration would raise net premiums, especially for those around and above 400% FPL ^{[5] [10]}.

6. Practical takeaway for someone checking eligibility today

If you’re assessing eligibility for 2025 coverage: you must buy a Marketplace plan and have household income at or above 100% FPL; for 2025 there is no statutory upper income cutoff because of the temporary expansion, so higher earners can still qualify now ^{[1] [3]}. If you plan for 2026 coverage, current reporting and CRS analysis say credits will likely be restricted again to those below 400% FPL unless lawmakers extend the enhanced rules ^{[4] [2]}.

Limitations and remaining questions (what the sources don’t say)

Available sources do not specify every dollar threshold for every household size in 2025 and 2026 within this compiled set; they give examples and FPL anchors ^{[6] [7]} but do not provide a complete table here. Also, state-specific interactions (Medicaid expansion, state-based Marketplace rules) can alter practical eligibility and are not fully detailed in these snippets ^[4]. If you want specific cutoff dollars for your household size and state for 2026 planning, consult the official Marketplace calculator or the full KFF/CRS tables referenced above ^{[11] [5]}.