For 2026 coverage in California, the federal premium tax credit runs from 100% to 400% of the federal poverty level, which is $15,650 to $62,600 a year for one person and $32,150 to $128,600 for a family of four. Below roughly 138% of poverty you are generally looking at Medi-Cal instead, and above 400% you get no federal credit at all. California adds its own help on top: the California Premium Subsidy, funded with $190 million for 2026, cuts the premium you owe for households at or below 165% of poverty.
Two things make California different from most states. You apply through Covered California, the state's own exchange, not HealthCare.gov. And California expanded Medi-Cal, so there is no coverage gap here the way there is in Texas or Florida.
California ACA Income Limits for 2026 Coverage
The premium tax credit is measured against the poverty guidelines that were in effect when open enrollment for that coverage year began. For 2026 coverage that means the 2025 guidelines: $15,650 for one person, plus $5,500 for each additional household member in the 48 contiguous states. California uses this same 48-state table.
| Household Size | 100% FPL | 138% FPL | 150% FPL | 165% FPL | 200% FPL | 250% FPL | 400% FPL |
|---|
| 1 | $15,650 | $21,597 | $23,475 | $25,823 | $31,300 | $39,125 | $62,600 |
| 2 | $21,150 | $29,187 | $31,725 | $34,898 | $42,300 | $52,875 | $84,600 |
| 3 | $26,650 | $36,777 | $39,975 | $43,973 | $53,300 | $66,625 | $106,600 |
| 4 | $32,150 | $44,367 | $48,225 | $53,048 | $64,300 | $80,375 | $128,600 |
| 5 | $37,650 | $51,957 | $56,475 | $62,123 | $75,300 | $94,125 | $150,600 |
| 6 | $43,150 | $59,547 | $64,725 | $71,198 | $86,300 | $107,875 | $172,600 |
Add $5,500 per additional person at the 100% column, and scale the other columns from there.
What each band means in California:
- Under 138% FPL: generally Medi-Cal territory, not Covered California. Medi-Cal counts as minimum essential coverage, so someone eligible for full-scope Medi-Cal cannot take the premium tax credit.
- 138% to 165% FPL: federal credit plus the California Premium Subsidy. This is the band where the state money lands for 2026.
- 165% to 250% FPL: federal credit only, plus federal cost-sharing reductions on Enhanced Silver plans.
- 250% to 400% FPL: federal credit only, no cost-sharing reductions.
- Over 400% FPL: no federal premium tax credit and no state premium subsidy. You can still buy a Covered California plan, at full price.
What You Pay: The 2026 Applicable Percentages
The credit works backward from a cap. Covered California looks at the second-lowest-cost Silver plan in your area (the benchmark), subtracts the share of income the law says you must pay, and the credit covers the rest. Those shares are the applicable percentages, and they are the real story of 2026, because the American Rescue Plan and Inflation Reduction Act versions expired on December 31, 2025 and were not extended.
| Percent of FPL | 2021 to 2025 (expired enhanced credits) | 2026 federal ACA | 2026 with California Premium Subsidy |
|---|
| Under 133% | 0% | 2.10% | 0.0% |
| 133% to under 150% | 0% | 3.14% to 4.19% | 0.0% |
| 150% to 165% | 0% to 0.6% | 4.19% to 4.91% | 3.19% to 3.91% |
| Above 165% to under 200% | 0.6% to 2.0% | 4.91% to 6.6% | No state help |
| 200% to under 250% | 2.0% to 4.0% | 6.6% to 8.44% | No state help |
| 250% to under 300% | 4.0% to 6.0% | 8.44% to 9.96% | No state help |
| 300% to 400% | 6.0% to 8.5% | 9.96% | No state help |
| Over 400% | 8.5% | Not eligible | Not eligible |
Source: Covered California, 2026 California State Premium Subsidy Program policy explainer, and IRS Revenue Procedure 2025-25 for the federal percentages and income bands.
Read the middle column against the left one and you can see what changed. A household at 150% of poverty paid nothing toward the benchmark Silver premium in 2025. In 2026 the federal rule asks for 4.19% of income, and the California Premium Subsidy brings that back down to 3.19%. A household at 300% of poverty went from 6% to 9.96%, with no state help at that income.
The California Premium Subsidy
California's Fiscal Year 2025-26 budget appropriated $190 million from the Health Care Affordability Reserve Fund for financial assistance to Covered California enrollees in 2026. Covered California calls the result the California Premium Subsidy. It was first created by Senate Bill 78 for plan year 2020, paused in 2021 when the federal enhanced credits took over, and reinstated for 2026 when those credits expired.
How it works:
- It preserves the old enhanced-credit premium levels for enrollees up to 150% FPL, meaning $0 toward the benchmark Silver plan.
- It lowers the federally required premium for enrollees between 150% and 165% FPL.
- You must be otherwise eligible for the federal advance premium tax credit to get it, and you must apply on Covered California's subsidized application.
- It is reconciled at tax time, on your California return with the Franchise Tax Board. Repayment of excess state subsidy is capped based on income, under caps Covered California sets. The federal credit works differently: starting with tax year 2026, excess advance federal credit is repaid in full, with no cap.
In the 2026 open enrollment, which ended January 31, 2026, 389,590 Californians enrolled in plans with state subsidies, receiving an average of $45 per month.
The 400% FPL Cliff Is Back in California Too
This is the change that cost Californians the most. From 2021 through 2025, enhanced federal credits removed the income ceiling entirely and capped anyone's benchmark premium at 8.5% of income. That ended with 2025 coverage.
For 2026, a single Californian earning $62,601 gets nothing, while one earning $62,600 can still get a credit. For a family of four the line is $128,600. Covered California's own enrollment data shows what that did: among people above 400% FPL, new signups for 2026 fell 59% compared with 2025, and that group had the highest renewal cancellation rate at 22%.
If you are near the line, the credit is worth real money, so it is worth getting your income estimate right. Deductible contributions to a traditional IRA, a health savings account, or a self-employed retirement plan reduce modified adjusted gross income, which is the figure Covered California uses.
Enhanced Silver Plans and Cost-Sharing Reductions
Premium help and out-of-pocket help are two separate things. Cost-sharing reductions lower your deductible, copays, coinsurance, and out-of-pocket maximum, and they only attach to Silver plans. Covered California brands them Enhanced Silver.
| Income | Plan | Effect |
|---|
| 100% to 150% FPL | Enhanced Silver 94 | Lowest deductibles and out-of-pocket maximum |
| Above 150% to 200% FPL | Enhanced Silver 87 | Substantially reduced cost sharing |
| Above 200% to 250% FPL | Enhanced Silver 73 | Moderately reduced cost sharing |
| Above 250% FPL | Silver 70 (standard) | No cost-sharing reduction |
If your income is at or under 250% FPL, compare Silver carefully before taking a cheaper Bronze plan. The premium difference is visible on the shopping page; the deductible difference often is not until you need care.
One piece of California history worth knowing: the state ran its own Enhanced Cost Sharing Reduction program in 2024 and 2025, also paid for out of the Health Care Affordability Reserve Fund. For 2026 and 2027 that money went to the premium subsidy instead, so plan on the federal cost-sharing reduction levels above.
2027 Coverage: What Changes on November 1, 2026
Open enrollment for 2027 coverage opens November 1, 2026 and runs through January 31, 2027 at Covered California. Enroll by December 31 for coverage starting January 1, 2027; enroll in January for coverage starting February 1. Federal rules around the end-of-year deadline have been in litigation, so confirm your deadline on CoveredCA.com before you count on a date.
Two substantive changes for 2027:
The state subsidy gets bigger and reaches further up. California's Fiscal Year 2026-27 budget appropriated $300 million, up from $190 million, and extended the California Premium Subsidy to households at or below 200% FPL, which is $31,920 for one person and $66,000 for a family of four. Covered California projects more than 500,000 Californians will receive a state subsidy in 2027, roughly 30% of all enrollees, with nearly 200,000 eligible for $0 Silver premiums.
The federal income limits move to the 2026 poverty guidelines. For 2027 coverage the credit is measured against the 2026 table, $15,960 for one person plus $5,680 per additional person.
| Household Size | 100% FPL | 138% FPL | 150% FPL | 200% FPL | 250% FPL | 400% FPL |
|---|
| 1 | $15,960 | $22,025 | $23,940 | $31,920 | $39,900 | $63,840 |
| 2 | $21,640 | $29,863 | $32,460 | $43,280 | $54,100 | $86,560 |
| 3 | $27,320 | $37,702 | $40,980 | $54,640 | $68,300 | $109,280 |
| 4 | $33,000 | $45,540 | $49,500 | $66,000 | $82,500 | $132,000 |
| 5 | $38,680 | $53,378 | $58,020 | $77,360 | $96,700 | $154,720 |
| 6 | $44,360 | $61,217 | $66,540 | $88,720 | $110,900 | $177,440 |
The 2027 federal applicable percentages run from 2.15% at the bottom to 10.22% at 300% to 400% FPL. The California Premium Subsidy sets 0% below 150% FPL and 2.8% to 5.28% from 150% to 200% FPL. The 400% cliff stays in place for 2027.
Medi-Cal, Not Covered California, Below 138% FPL
California expanded Medicaid, so adults 19 to 64 qualify for Medi-Cal up to 138% of poverty. Medi-Cal uses the current year's guidelines, not the prior year's, so for 2026 that is $22,025 a year, about $1,836 a month, for one person, and $45,540 for a family of four. Medi-Cal has no asset test for this group.
A few California-specific rules:
- Starting January 1, 2026, new undocumented applicants age 19 and older get restricted-scope Medi-Cal only, which covers emergency and pregnancy-related care. Children 18 and younger and pregnant people are not affected by that change.
- DACA recipients cannot buy a plan through Covered California or any Marketplace, and cannot get the premium tax credit or cost-sharing reductions. They can buy directly from an insurer at full price.
- For 2027 coverage, the premium tax credit narrows to US citizens, green card holders, Cuban and Haitian entrants, and citizens of Micronesia, the Marshall Islands and Palau. Refugees, asylees, TPS holders, parolees and visa holders can still buy a Covered California plan but no longer get the credit.
- Lawfully present immigrants under 100% FPL who cannot get Medi-Cal because of immigration status lost premium tax credit eligibility starting with 2026 coverage.
More on California's programs is on our California benefits page.
Who Qualifies for Covered California Subsidies
You need all of the following:
- California residency and lawful presence in the United States.
- Household income at or above 100% FPL for the coverage year, measured as modified adjusted gross income. Note that all Social Security benefits count, including the untaxed portion.
- Household income at or below 400% FPL for the federal credit, or at or below 165% FPL for 2026 (200% for 2027) for the California Premium Subsidy on top.
- No eligibility for full-scope Medi-Cal, CHIP, or Medicare.
- No affordable employer coverage. For 2026, an employer plan is "affordable" if employee-only coverage costs no more than 9.96% of household income. For 2027 that figure is 10.22%. If your employer plan costs more than that, you can get the credit instead.
- Not incarcerated.
How to Apply Through Covered California
Step 1: Go to CoveredCA.com. Do not use HealthCare.gov. California runs its own exchange, and a HealthCare.gov application will not enroll you in a California plan.
Step 2: Create an account and start a subsidized application. The California Premium Subsidy is only available on the subsidized application, so do not pick the "shop without financial help" path if your income might qualify.
Step 3: Enter household size and income. Use your best estimate of modified adjusted gross income for the whole coverage year. Count wages, self-employment profit, unemployment compensation, taxable interest and dividends, and all Social Security benefits.
Step 4: Review your eligibility results. Covered California will tell you whether anyone in the household is routed to Medi-Cal instead, and will show your monthly credit plus any state subsidy.
Step 5: Compare plans across metal tiers. If you are under 250% FPL, open the Enhanced Silver options even if a Bronze plan has a lower premium.
Step 6: Enroll and pay the first premium. Coverage does not start until the insurer receives your first payment. Keep the confirmation.
Step 7: Report changes during the year. A raise, a job loss, a new baby, or a move changes your credit. Reporting it promptly is how you avoid owing money back at tax time.
Free Help in California
Covered California's service center is at (800) 300-1506. The state also certifies more than 14,000 insurance agents, enrollers, and community organizations who help for free; you can search for one by ZIP code on CoveredCA.com. For Medi-Cal questions, your county social services office or BenefitsCal.com handles applications.
Documents to Have Ready
- Social Security numbers for everyone applying
- Immigration documents, if applicable
- Recent pay stubs, a 1099, or last year's tax return
- Employer coverage details, if you have an offer
- Current insurance information, if any
Frequently Asked Questions
What is the maximum income to get ACA subsidies in California in 2026?
400% of the federal poverty level: $62,600 a year for one person and $128,600 for a family of four for 2026 coverage. Above that there is no federal premium tax credit and no California Premium Subsidy. For 2027 coverage the limits rise to $63,840 and $132,000.
What is the minimum income for Covered California?
The federal premium tax credit starts at 100% FPL, $15,650 for one person for 2026 coverage. Below roughly 138% FPL, most Californians qualify for Medi-Cal instead, and Medi-Cal eligibility blocks the premium tax credit because it counts as minimum essential coverage. Since California expanded Medicaid, almost nobody falls between the two programs.
Does California have its own subsidy on top of the federal one?
Yes. The California Premium Subsidy uses $190 million in state money for 2026 and covers households at or below 165% FPL. For 2027 the appropriation rises to $300 million and the ceiling rises to 200% FPL. You must be eligible for the federal credit first, and you reconcile the state subsidy on your California tax return.
Did the enhanced ACA subsidies get extended for 2026?
No. The American Rescue Plan and Inflation Reduction Act enhanced premium tax credits expired on December 31, 2025. Congress did not extend them. That is why the 400% FPL cliff is back and why the share of income you pay toward the benchmark plan is higher in 2026 than in 2025.
Can I use HealthCare.gov in California?
No. California operates Covered California as its own state-based Marketplace. All individual and family Marketplace enrollment, premium tax credits, and the California Premium Subsidy go through CoveredCA.com.
When is open enrollment for Covered California?
November 1 through January 31. For 2027 coverage that is November 1, 2026 to January 31, 2027, with December 31 as the deadline for a January 1 start. Outside open enrollment you need a qualifying life event such as losing other coverage, marriage, a birth, or a move.
What happens if I earn more than I estimated?
You reconcile the advance credit on your federal return and the state subsidy on your California return. If you got too much federal credit in advance, you repay the full excess, because the federal repayment cap ended starting with tax year 2026. If you got too much state subsidy, repayment is capped based on income. Updating your Covered California application mid-year is how you keep that from being a surprise.
Do Enhanced Silver plans cost more?
They have the same premium as the standard Silver plan at your income, but better cost sharing. Covered California assigns Silver 94, 87, or 73 based on your FPL percentage. The upgrade is free; you just have to pick a Silver plan to get it.
