Federal Poverty Level by State 2026 — $15,960 Limit + Medicaid & ACA Eligibility

The federal poverty level (FPL) determines eligibility for Medicaid, SNAP, ACA subsidies, and dozens of programs. But the official threshold paints an incomplete picture — and understanding what it actually measures (and doesn’t measure) matters for anyone navigating these programs or trying to understand economic conditions in America.

For the full framework and comparison workflow, use the Cost of Living hub.

2026 Federal Poverty Guidelines

The federal poverty guidelines are updated annually by the Department of Health and Human Services, typically in late January. For 2026, a single person is considered “in poverty” if they earn less than $15,960 per year — about $7.67 per hour working full-time.

To put that in perspective: the federal minimum wage is $7.25/hour, so a single person working full-time at the federal minimum ($15,080 a year) now earns $880 less than the poverty line. Add a child, and they’re well below it.

48 Contiguous States + DC

Add $5,680 for each additional person beyond 8. The 250% and 400% columns apply to Marketplace plans for 2027, which are priced off these 2026 figures; 2026 Marketplace plans use the 2025 guidelines ($15,650 for one person).

Why the FPL percentages matter: Many programs don’t use 100% FPL as the cutoff. Medicaid expansion covers people up to 138% FPL ($22,025 for a single person in 2026), while ACA premium subsidies stop at 400% FPL ($62,600 for one person on a 2026 plan, based on the 2025 guideline). The temporary rule that let people above 400% FPL get subsidies expired after 2025. If you’re shopping for health insurance or checking program eligibility, these percentages determine what you qualify for.

Alaska

Alaska’s poverty guidelines are 25% higher than the contiguous states, reflecting the higher cost of living — particularly for food and heating. A single person in Alaska is at poverty level at $19,950, compared to $15,960 in the lower 48.

Hawaii

Hawaii’s thresholds are 15% higher than the mainland, though many argue this still doesn’t adequately capture the state’s extreme cost of living — particularly housing. The average cost of a house in Hawaii is among the highest in the nation.

Programs That Use FPL

The federal poverty level is the gateway to America’s social safety net. Dozens of programs use FPL thresholds to determine eligibility — and small differences in income can mean the difference between qualifying and not.

Here’s what each major program offers and who qualifies:

The “benefits cliff” problem: These thresholds create situations where earning slightly more money can actually make you worse off. A single adult earning $22,000 (just under 138% FPL) qualifies for Medicaid in an expansion state. Earn $22,100, and they can lose coverage worth $6,000+ annually. This cliff effect discourages work and traps people in poverty.

Poverty Rates by State

Poverty isn’t distributed evenly across America. Southern states consistently have the highest poverty rates, while New England and the Upper Midwest have the lowest. These differences reflect a complex mix of historical, economic, and policy factors.

To see how your income compares to others in your state, use our income percentile calculator.

Highest poverty rates:

Source: US Census Bureau, American Community Survey 2020-2024 ACS 5-Year Estimates, fetched 2026-08-25.

National (2020-2024 ACS 5-year): 12.5% poverty rate, 40.7 million people in poverty, median household income $80,734.

Lowest poverty rates:

Source: US Census Bureau, American Community Survey 2020-2024 ACS 5-Year Estimates, fetched 2026-08-25.

The national figures are from the 2020-2024 American Community Survey 5-year estimates. The Census Bureau’s Current Population Survey puts the 2025 national median household income at $87,460, which is a different measure and is not comparable with the ACS figures.

What explains these differences? States with high poverty rates tend to share certain characteristics: lower educational attainment, fewer high-paying industries, weaker state safety nets, and historical economic disadvantages. Meanwhile, wealthier states often have more diverse economies, higher education rates, and state-level programs that supplement federal benefits.

For context on what constitutes a good income, see our guide on average income by age and how income varies by education level.

Official Poverty vs. Supplemental Poverty Measure

Here’s a dirty secret about the federal poverty line: it’s based on a formula from 1963 that assumed families spent one-third of their income on food. Economist Mollie Orshansky created it by taking the cost of a minimum food diet and multiplying by three.

The problem? In the 1960s, food really was about one-third of a typical budget. Housing now takes a much larger share of many low-income budgets, and the official line has not been rebuilt around that. The Census Bureau also publishes a Supplemental Poverty Measure that accounts for housing costs, taxes and benefits.

Local cost-of-living tools such as MIT’s Living Wage Calculator estimate what households need to cover basic expenses in each county, which is often more than the federal line implies.

See our cost of living calculator to compare expenses across different cities.

Child Poverty in America

Child poverty deserves special attention because its effects last a lifetime. Children who grow up in poverty have worse health outcomes, lower educational attainment, and earn less as adults. The economic term is “intergenerational poverty” — poverty that passes from parents to children.

Source: Census Bureau American Community Survey 5-year estimates, 2020-2024 (the same data as the state tables above). Tax credits such as the Earned Income Tax Credit and Child Tax Credit are refundable, meaning families can receive them even if they owe no federal income tax. For more, see our guide to tax credits.

Working Poor: Poverty Among Full-Time Workers

The phrase “working poor” captures a troubling reality: millions of Americans work full-time and still can’t escape poverty. This isn’t a failure of work ethic — it’s a failure of wages to keep pace with living costs.

A single person working full-time at the federal minimum wage now falls below the poverty line, and further below it with any dependents.

The math doesn’t work: At $7.25/hour, a full-time worker earns $15,080 per year — $880 below the 2026 poverty line for a single person. Add one child, and they’re $6,560 below the poverty line even working 40 hours per week, 52 weeks per year, with no sick days or vacations.

This is why debate about the minimum wage matters. To understand how hourly wages translate to annual income, see our hourly to salary calculator. Many states have set their minimum wage above the federal level — ranging from $10 to over $16 per hour.

For perspective on typical earnings in different fields, see average income by occupation.

Cost of Poverty

Poverty isn’t just expensive for those experiencing it — it’s expensive for everyone. The downstream costs of poverty ripple through healthcare, criminal justice, education, and lost economic productivity.

Researchers have tried to put a dollar figure on these costs, but estimates depend heavily on method and no single official number exists, so this page does not publish one. Programs such as Head Start, school meals and the Child Tax Credit are often argued to pay off over time through better health and higher adult earnings.

How to Check Your Eligibility

If you think you might qualify for assistance programs, here’s how to check:

1. Calculate your household income — include wages, self-employment income, Social Security, and most other regular income
2. Determine your household size — count everyone living together who shares food and financial resources
3. Compare to the FPL thresholds above — most programs use 100-250% FPL
4. Apply for specific programs — each program has its own application process

Key programs to check: Medicaid (healthcare.gov or your state’s Medicaid office), SNAP (your local SNAP office), and ACA subsidies (healthcare.gov during open enrollment).

To understand where your income falls compared to others, try our income percentile calculator or see how your net worth compares by age.

Related: Average Income in America | Cost of Living Calculator | Income Percentile by Age | Net Worth Percentile Calculator

Sources

• U.S. Department of Health and Human Services. “Poverty Guidelines.” aspe.hhs.gov/topics/poverty-economic-mobility/poverty-guidelines
• U.S. Census Bureau. “Poverty Thresholds.” census.gov/data/tables/time-series/demo/income-poverty/historical-poverty-thresholds.html
• Centers for Medicare & Medicaid Services. “Federal Poverty Level (FPL).” healthcare.gov/glossary/federal-poverty-level-fpl

Written by WealthVieu

WealthVieu researches and writes data-driven personal finance guides using primary sources including the IRS, Bureau of Labor Statistics, Federal Reserve, and Census Bureau.