Is the ACA gone or not?

[CarlP799778]

OK, I've been hearing for the last month that the ACA, and it's subsidies are gone. Finished. Kaputt. 

But, I have some co-workers that are still getting bills from Blue Shield that their premiums are still zero, but mine has gone up from zero in 2025 to $1280/month in 2026.

I contacted my insurance guy, and he said that the subsidies are not gone; they just reset the income cap down to $62,500/year. So, he said, if I can get my taxable income below that number ( through IRA, 401K, or HSA contributions ) I can still get the subsidy. 

Is this correct? He was able to tell me what I have to do, and changed my CoveredCA income down to get the subsidy. But I'm afraid that, if he's wrong, I can get hit with having to repay the years worth of insurance subsidies.

[GailL1]

EDITED to ADD:  Straight from the horses mouth -

Covered CA - How Covered California Subsidies Work 

with  2026 Income Limits & Eligibility

The ACA is fine and well - Healthcare.gov is still up and running for enrollment or it will direct you to your state’s hub if they have one for enrollment there - 

The ONLY thing that happened was that the enhanced tax credit subsidies that were put into place during Covid or the Public Health Emergency have expired.  What these did when they were in effect was to extend some of the tax credit subsidies to those with higher incomes for several years.  I believe the tax credits went up to those making 700% of the FPL at the time.

So these higher income folks got some added monetary benefits for a few years and got use to them - during those years they were immunized somewhat against higher health care premiums - they got use to their lower premium but now they are no more and it is just put back the way it was PRE-Covid although premiums are higher now, so it is kind of like a double whammy for those involved in losing these enhanced tax credits.  

You may or may not find any zero premiums after the tax credit cause that is gonna depend on your state, your family size, the income and the plan which you pick.

CNBC 12/23/2025 - ACA subsidies are expiring. Here’s who the lapse will hit hardest 

So yes, if your (MAGI)  income is less than 400% of the FPL but over 100% (or 138%) of the FPL,   then you still get get a tax credit subsidy - the (edited to add for clarity:  final premium ) amount of which will be based on the plan you pick and your MAGI income and the # of people in your household. 

HHS.gov - 2026 Poverty Guidelines: 48 Contiguous States (all states except Alaska and Hawaii) 

I think you can do a double check here:

Healthcare.gov - Saving money on health insurance 

Remember that you only have a certain amount of time to fund programs that might bring down your income.  And those things are limited in amount.

 I do not know how a HSA would work here - but I believe that the some of new available plans are listed as catastrophic plans and thus would be a HDHP with a HSA.  

[TRL1111]

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@GailL1 wrote:

So yes, if your (MAGI)  income is less than 400% of the FPL but over 100% (or 138%) of the FPL,   then you still get get a tax credit subsidy - the amount of which will be based on the plan you pick and your MAGI income and the # of people in your household. 

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Not quite right.  The amount of subsidy someone qualifies for has nothing to do with the plan they pick--it's based only on MAGI and household size.  

Then when they pick a plan, the subsidy will be applied to the premium for that plan, resulting in their out-of-pocket cost for the premium.

If someone has a $200 subsidy and they pick a $200 plan, their premium will be $0.  If they pick a $150 plan, their premium will be also be $0.  If they pick a $250 plan, their premium will be $50.  If they pick a $900 plan, their premium will be $700.

[GailL1]

@TRL1111 

You are correct - I guess I was referring to the plan only that it would make a difference in the final premium they would pay.  I have corrected my post to make it clearer.

Thank you

[CarlP799778]

Sorry, guys. AARP put this in the wrong forum.

[SereneSeagull]

re: forum post — i think it defaults to where you landed.  Once you choose the forum board you want, you can start the topic there.  Happens to all of us.