ACA Tax Credit Repayment Risk: What Changed in 2026

September 2, 2026

Why Keeping Your Marketplace Income Updated Matters More Than Ever


If you receive financial help paying for health insurance through the ACA Marketplace, there's an important tax change to know about for 2026.


Starting with the 2026 tax year, the limits that previously protected some people from having to repay the full amount of excess advance premium tax credits are gone. That means keeping your Marketplace income information up to date is more important than ever. We can help you navigate that process to avoid confusion.



How Advance Premium Tax Credits Work


When you apply for Marketplace coverage, you estimate your household income for the year. If you qualify for a premium tax credit, you can choose to use some or all of it in advance to lower your monthly insurance premium.


When you file your federal tax return, the amount you received in advance is compared with the premium tax credit you actually qualified for based on your final income and other eligibility information.


If you received more in advance than you qualified for, you may have to repay the difference.



What Changed for 2026?


Before 2026, people with household income below certain levels could qualify for limits on how much excess advance premium tax credit they had to repay.


Those repayment caps no longer apply for tax years after 2025. If the advance credits paid on your behalf exceed the premium tax credit you actually qualify for, you must generally repay the full difference. That amount can reduce your tax refund or increase the amount you owe.


This can be especially important for people whose income is difficult to predict, including freelancers, gig workers, and small business owners. A raise, new job, investment gain, retirement distribution, or other income change during the year can also affect the amount of premium tax credit you're eligible to receive.



How to Reduce the Risk of a Surprise Tax Bill


You don't have to wait until tax season to address any changes. If your income, household size, or other relevant circumstances change during the year, ask us how to update your Marketplace application as soon as possible. The Marketplace can recalculate your eligibility and adjust the advance credit applied to your premiums.


You could also be cautious and choose to use only part of the premium tax credit you're eligible to receive. Using less upfront may reduce the risk of owing money back if your income or circumstances change.


Advance premium tax credits can make Marketplace coverage more affordable, but beginning in 2026, there's less protection if you receive more financial assistance in advance than you ultimately qualify for. Keeping your information current throughout the year can help reduce the chance of an unexpected tax bill. We're here to guide you through the process.

Share

Person in red shirt and black shorts lying on a sandy beach, leaning on one elbow, looking pained.
July 29, 2026
Where you go for care can affect your bill by thousands. A practical guide to choosing between the ER, urgent care, telehealth, and your primary care doctor.
Four people collaborating around a table with papers, laptops, and a colorful board in a bright office
July 22, 2026
Help your employees choose the right health insurance plan. Learn the 6 most common open enrollment mistakes and how employers can help avoid them.
Person typing on a laptop at a desk, gesturing with one hand in a bright home office.
July 15, 2026
Open enrollment for 2027 ACA coverage ends earlier. Find the currently-known national schedule and your state's timelines here.
Person lying on a gray sectional sofa under a teal blanket in a living room.
July 10, 2026
GLP-1 medications help you eat less — but eating less can mean fewer nutrients. Here's what the latest research shows and how to eat well.
Top view of two opened soda cans with blue tab tops and condensation droplets on a blue background
September 24, 2025
As the summer sun beckons and thirst levels rise, it's tempting to reach for a cold, fizzy beverage. But before you pop open that soda can, consider this: your drink choice has long-term implications for your health. The Hidden Risks in Your Glass A comprehensive study by the International Agency for Research on Cancer (IARC) analyzed data from over 451,000 individuals across 10 European countries over a 16-year period. The findings revealed that consuming two or more 250 ml glasses of soft drinks daily—whether sugar-sweetened or artificially sweetened—was associated with a higher risk of all-cause mortality compared to those who drank less than one glass per month. Delving deeper: Artificially Sweetened Beverages : Individuals consuming two or more glasses daily had a 26% higher risk of death compared to those who consumed less than one glass per month. Specifically, there was a 52% increased risk of death from circulatory diseases. Sugar-Sweetened Beverages : Those consuming one or more glasses daily faced a 59% higher risk of death from digestive diseases. All Soft Drinks : A notable association was found between soft drink consumption and increased mortality from Parkinson's disease. Alternatives That Aren’t Any Healthier Think fruit juice or energy drinks are a safer bet? A study involving 13,440 U.S. adults aged 45 and older found that each additional 12-ounce serving of sugary beverages, including 100% fruit juice, was linked to an 11% higher risk of all-cause mortality. Specifically, each additional 12-ounce serving of fruit juice was associated with a 24% increased risk. Watch the sugar content of iced coffee beverages and alcoholic cocktails as well. Lifestyle Factors Matter, Too It's essential to note that high soft drink consumption often correlates with other unhealthy lifestyle choices. The IARC study observed that individuals who drank more soft drinks typically had higher body mass indexes and were more likely to smoke. Even after adjusting for factors like diet, physical activity, smoking, and education, the association between soft drink consumption and increased mortality risk remained significant. Refreshing Alternatives for the Season Looking to quench your thirst without compromising your health? Here are some delightful, healthier options: Infused Water : Add slices of citrus fruits, cucumbers, or berries to your water for a refreshing twist. Herbal Iced Teas : Brew teas like hibiscus or mint, chill them, and enjoy over ice. Sparkling Water with a Splash : Mix sparkling water with a splash of 100% fruit juice for a fizzy treat. Homemade Lemonade : Use fresh lemons, water, and a touch of natural sweetener like honey or stevia. Coconut Water : A natural source of electrolytes, perfect for rehydration. Final Thoughts Summer is a time for relaxation and enjoyment. By making informed beverage choices, you can savor the season while prioritizing your health. So, the next time you're reaching for a drink to beat the heat, consider these healthier alternatives. Your body will thank you!
Person holding a folded map in front of a white car in a dry desert landscape
September 24, 2025
Whether you’re planning a weekend getaway or a long-awaited international adventure, setting off on a trip is always exciting—but can also be unpredictable. That’s why preparing for the unexpected, especially when it comes to your health, is essential. Knowing what your medical coverage includes (and doesn’t) while traveling can help you stay healthy, avoid costly surprises, and soak up the unforgettable moments on your journey. Let’s walk through some proactive steps you can take before packing your bags—from vaccinations and insurance to emergency planning and fraud protection. 1. Know What Your Health Plan Covers—And Where Medical surprises aren’t on anyone’s itinerary—but it’s best to be prepared. Start by knowing how your insurance policy covers (or doesn’t) the region you’re traveling to. Individual health policyholders, review your insurer’s network coverage. Some plans only cover in-network or state-specific services, while others offer broader emergency coverage or travel-specific riders. Consult your insurance agent to get help reviewing your policy. Medicare beneficiaries, Original Medicare (Parts A & B) typically doesn’t cover medical care outside the U.S., except in limited circumstances. If you have a Medicare Advantage Plan, it may include emergency and urgent coverage abroad, but this varies by provider. Check your plan’s Evidence of Coverage or speak to your plan representative before traveling. 2. Consider Supplemental Insurance If you're a frequent traveler or heading abroad, look into some options to help cover you. Some options include: Travel Medical Insurance : Plans offer emergency coverage during trips outside the U.S. and tend to be affordable. Evacuation Insurance : This covers transport to a qualified medical facility if the nearest care is inadequate. An evacuation clause is often, but not always, included in a travel insurance plan. Medicare Supplement Insurance (Medigap) : Some Medigap policies cover emergency care abroad, typically up to plan limits and with a deductible. Critical Illness Insurance : A lump-sum payout can provide financial flexibility in case you’re diagnosed with a covered condition like a heart attack or stroke during travel. Be sure to read the fine print—some policies require you to be under a certain age, and preexisting conditions may not be covered. Your licensed insurance agent can help talk you through your options. 3. Keep Your Medical Info Handy Consider using a secure health app or digital wallet to access all your health records quickly. But just in case your phone is inaccessible, bring physical copies of these important documents as well:  Your insurance or Medicare cards Emergency contact numbers (include the country code +1 if you’re traveling abroad) A medication list with dosages Allergy and medical condition alerts Pack all essential paperwork together in a waterproof sleeve in your luggage, and leave a second copy with someone back home. 4. Schedule Preventive Care Before Departure Most insurance plans cover preventive care services like wellness visits, vaccinations, and screenings. Before your trip, check these tasks off your list: Get vaccinated : Make sure you’re up to date on your flu, COVID-19, and tetanus shots. If traveling internationally, check the CDC recommendations for the region you’re visiting, which may include Hepatitis A/B, typhoid, or yellow fever vaccinations.
SHOW MORE