KFF Calculator Shows How the End of Enhanced Subsidies Would Affect ACA Marketplace Enrollees’ Premiums
KFF Health Announcement
With the enhanced subsidies for enrollees in Affordable Care Act Marketplace plans set to expire at the end of 2025, a new KFF calculator shows how much out-of-pocket premiums would increase if Congress does not extend the subsidies.
Congress boosted the premium subsidies available to enrollees in 2021 to make coverage more affordable, resulting in an average 44% reduction in 2024 in what people pay in premiums for coverage and contributing to the near-doubling of ACA Marketplace enrollment since 2020.
To illustrate how the loss of enhanced subsidies would affect enrollees, KFF’s calculator shows the projected premium increases for individuals and families based on their incomes, where they live, family size and ages. The tool draws on ZIP-code specific data about 2025 ACA Marketplace premiums.
For example, two 40 year-old parents with two 10 year-old children in Davis, West Virginia making $125,000 would go from paying $885 to $2,918 per month, an increase of $2,033 ($24,392 per year). A 30 year old in Dallas, Texas making just over poverty would go from paying $0 to $24 per month (and increase of $291 per year).
The enhanced subsidies will remain in effect for the 2025 calendar year. For the current Marketplace Open Enrollment period for 2025, which runs through Jan. 15 in most states, KFF has a variety of open-enrollment tools, including more than 200 FAQs and a calculator that estimates health insurance premiums and subsidies for people purchasing insurance through the ACA’s Marketplace.