What income counts for ACA subsidies?
ACA subsidies use Modified Adjusted Gross Income (MAGI): your adjusted gross income plus any tax-exempt interest, non-taxable Social Security benefits, and excluded foreign income, added together for everyone in your tax household, per IRS (2026).
More on this topic: subsidies and costs
What the government has said, on the record
Here's how a federal official described it, on the record:
“The Marketplace uses a number called "modified adjusted gross income (MAGI)" to determine if you qualify for savings.”
— Centers for Medicare & Medicaid Services (HealthCare.gov), Centers for Medicare & Medicaid Services (U.S. Department of Health & Human Services), HealthCare.gov, What to include as income (source)
Editor's note: From official HealthCare.gov (CMS) consumer guidance. Rules and figures can change by plan year — confirm current details at HealthCare.gov.
Who said this
Centers for Medicare & Medicaid Services (HealthCare.gov) · Centers for Medicare & Medicaid Services (U.S. Department of Health & Human Services)
Also asked as
- What income is used for ACA?
- What is MAGI for Obamacare?
Sources
Last verified: 2026-07-19