If a customer reports an increase in income, what will likely happen to the amount of APTC they are eligible for?

When a customer reports an increase in income, the amount of Advance Premium Tax Credit (APTC) they are eligible for will likely decrease. APTC is designed to assist individuals and families with lower incomes in affording health insurance premiums through the Marketplace. As income increases, particularly if it surpasses the federal poverty level thresholds, the eligibility for financial assistance such as APTC diminishes. This is because the formula used to determine the amount of APTC takes into account the household income relative to the federal poverty line; as income rises, the subsidy is reduced.

If the customer's income exceeds specific thresholds, they may become ineligible for APTC entirely. Therefore, an increase in income typically correlates with a lessened amount of financial assistance available to help with premium costs.