Colorado Cliff Calculator — 2026 ACA Subsidy

By Severance Calculator Editorial · Updated

Colorado Marketplace: Connect for Health Colorado

Colorado uses a state-based marketplace (SBM) called Connect for Health Colorado. Colorado residents enroll at Connect for Health Colorado — not HealthCare.gov.

Medicaid in Colorado: Health First Colorado

Colorado expanded Medicaid under the ACA. Health First Colorado covers adults to 138% FPL.

State Subsidy Backfill

Colorado Premium Assistance (CPA) — $100M one-time fund for 2026. Stacks $80/member/month primary + $29/month per additional household member on federal APTC. Available for households at 100-400% FPL.

2026 SLCSP Benchmark Premiums (Colorado)

Statewide average monthly second-lowest-cost Silver plan (SLCSP) premiums by age. Actual premiums vary by rating area.

Age2130405060
Monthly SLCSP$360$408$460$643$977

2026 ACA Cliff Thresholds by Household Size (Colorado)

MAGI above these amounts zeros out the federal Premium Tax Credit. FPL region: contiguous48.

Household size12345
400% FPL cliff$62,600$84,600$106,600$128,600$150,600

Key Facts: Colorado ACA

Colorado is one of four Western states with a meaningful 2026 premium subsidy backfill. The Colorado Premium Assistance (CPA) is a $100M one-time state appropriation administered through Connect for Health Colorado. The CPA stacks directly on top of the federal Advance Premium Tax Credit (APTC): eligible enrollees receive an additional $80 per member per month off their premium, plus $29 per month for each additional household member. This benefit is available to households with income between 100% and 400% FPL who are enrolled in a Connect for Health Colorado plan.

Importantly, the CPA does not eliminate the 400% FPL cliff — it softens the cliff by reducing premium costs for enrollees approaching the threshold, but once MAGI crosses $62,600 (HH=1), the federal PTC drops to zero and the CPA cannot stack on a zero base. Colorado expanded Medicaid (Health First Colorado) in 2014, covering adults to 138% FPL. Connect for Health Colorado (connectforhealthco.com) is a full state-based marketplace — one of the original ACA SBMs launched in 2013 — where residents must enroll to access both federal PTCs and the state CPA. The CPA is automatically applied during enrollment at Connect for Health Colorado.

Calculate your Colorado ACA cliff

Inputs default to Colorado; adjust to your household specifics. Cliff = $62,600 (HH=1) / $128,600 (HH=4).

Your situation

Member ages
self

Coverage

Income

You're under the cliff

100%138%200%300%400%

You are at 319% of the federal poverty level.

Annual PTC
$540
$45 / month
MAGI headroom before cliff
$12,600
until you hit 400% FPL

PTC dollar values use a state-level SLCSP estimate; verify your exact second-lowest-cost Silver plan on healthcare.gov for your zip.

Primary Sources

  1. healthinsurance.org — Colorado Premium Assistance $80/mo
    “For enrollees with household income up to 400% of the federal poverty level, the state is providing an additional $80/month for the primary applicant (on top of their federal premium subsidies), plus an additional $29/month for other applicants on a family policy.”
  2. healthinsurance.org — Colorado: 400% FPL subsidy cliff
    “they are no longer available to households with income above 400% of the federal poverty level”

FAQ — Colorado ACA Cliff

What is the 2026 ACA subsidy cliff in Colorado?
For a household of 1, MAGI above $62,600 (400% of the 2025 FPL contiguous-48 base) zeros out the federal Premium Tax Credit under IRS Rev. Proc. 2025-25. Household of 4: $128,600. Colorado's Premium Assistance program ($80/mo per member) applies only to households below 400% FPL enrolled through Connect for Health Colorado.
What is Colorado Premium Assistance (CPA)?
Colorado Premium Assistance (CPA) is a $100M one-time state fund for 2026. It provides a fixed-dollar subsidy of $80 per member per month, plus $29 per month per additional household member, stacked on top of the federal APTC. CPA is available to households with income between 100% and 400% FPL enrolled through Connect for Health Colorado. It does not apply above 400% FPL.
How does Colorado Premium Assistance interact with the 400% FPL cliff?
The CPA ($80/mo) stacks on top of the federal APTC, but the CPA amount alone doesn't eliminate the cliff. When MAGI exceeds 400% FPL ($62,600 for HH=1), the federal APTC drops to zero. The CPA is structured as a supplement to federal APTC — it cannot independently replace the lost federal subsidy above the cliff. Households near the cliff should use the calculator to model the full impact.
What is Connect for Health Colorado?
Connect for Health Colorado (connectforhealthco.com) is Colorado's full state-based marketplace (SBM), one of the original ACA marketplaces launched in 2013. It is the only place Colorado residents can access federal PTCs and the state Colorado Premium Assistance. Open enrollment runs November 1 through January 15.
Did Colorado expand Medicaid?
Yes — Colorado expanded Medicaid (Health First Colorado) in 2014, covering adults with income up to 138% FPL. Apply at healthfirstcolorado.com year-round.
How is SLCSP calculated for Colorado?
The 2026 statewide SLCSP age-band averages for Colorado are: Age 21: $360/mo, Age 30: $408/mo, Age 40: $460/mo, Age 50: $643/mo, Age 60: $977/mo. These are among the lower benchmark premiums in the West. The federal cliff distance (income vs. 400% FPL) is exact regardless of SLCSP precision.
Can I reduce my MAGI to stay below the 2026 cliff in Colorado?
Yes — common strategies include maximizing HSA contributions, deductible IRA or SEP-IRA/Solo 401(k) contributions if self-employed, harvesting capital losses, and deferring Roth conversions. Colorado's CPA ($80/mo) reduces the financial impact of approaching the cliff but does not persist above 400% FPL.

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