A premium tax credit (PTC) helps eligible people lower the monthly cost of a Marketplace health plan. You can take it in advance (APTC paid to your insurer) or claim it when you file your federal tax return. Here is how eligibility works for Texas families shopping for 2027 coverage.
The basic income range (current law)
According to the IRS, after the temporary enhancements that applied through tax year 2025, you generally may be eligible for the premium tax credit if household income is at least 100% and no more than 400% of the federal poverty line for your family size—and you meet the other rules below.
Which poverty numbers apply for 2027?
IRS rules use the most recently published HHS poverty guidelines as of the first day of Open Enrollment for that coverage year. For 2027 coverage (Open Enrollment starting November 1, 2026), that means the 2026 HHS poverty guidelines.
From the Federal Register’s 2026 HHS poverty guidelines (48 contiguous states and D.C., including Texas):
| Household size | 100% FPL | 400% FPL |
|---|---|---|
| 1 | $15,960 | $63,840 |
| 2 | $21,640 | $86,560 |
| 3 | $27,320 | $109,280 |
| 4 | $33,000 | $132,000 |
Add $5,680 per person beyond eight at 100% FPL. These figures guide eligibility math—your actual credit also depends on local premiums and the IRS applicable percentage table for 2027 (Revenue Procedure 2026-26). Exact monthly savings show on HealthCare.gov after you apply.
Other rules that matter as much as income
Per IRS guidance, you generally must also:
- Enroll in Marketplace coverage (catastrophic plans do not qualify for the PTC)
- Not have other minimum essential coverage that blocks the credit (for example, affordable employer coverage that provides minimum value, or Medicare/Medicaid/CHIP when you are eligible)
- File a federal return and reconcile any APTC on Form 8962
- Meet filing-status rules (married couples generally file jointly, with limited exceptions)
Medicaid / CHIP (Texas): If someone in your household qualifies for Medicaid or CHIP, the Marketplace may enroll them there instead of a subsidized Marketplace plan. Children sometimes qualify for CHIP even when parents do not qualify for Medicaid. Ask our team or check HealthCare.gov for a household-specific answer.
Immigration and savings (2027): Starting January 1, 2027, HealthCare.gov states that only certain immigration statuses qualify for Marketplace savings. Other statuses may still buy coverage without the credit.
How to check without guessing
- Estimate your expected 2027 household income.
- Apply on HealthCare.gov or with a licensed agent for an official determination.
- Report life changes promptly—excess APTC repayment caps do not apply for tax years after 2025.
Talk with our team
Subsidy math is household-specific. Our team can walk Houston-area families through the application, explain the Marketplace estimate, and help compare plans that fit your budget and doctors.
Want a clear subsidy check for your household?
Get a quote: https://www.guardianinsuranceservices.co/get-a-quote/
Call or text: 1-888-885-6201
WhatsApp: +1 832-292-8983