Lost job-based coverage?
COBRA or the Marketplace — which is cheaper?
Enter your household, income, and COBRA premium to estimate your ACA subsidy, the net premium for the benchmark Silver plan, the total cost of each option, and your 60-day Special Enrollment deadline. The full interactive calculator runs in your browser.
Open the calculator ↗The rules in brief (2026)
The 2021–2025 enhanced premium tax credits ended Jan 1, 2026. Credits reverted to the original ACA formula and the 400%-of-poverty subsidy cliff is back. (Congress may still act — verify current rules.)
Households in 100–400% of poverty pay roughly 2.10% to 9.96% of income toward the benchmark Silver plan (IRS Rev. Proc. 2025-25). Above 400%: no credit, full price.
You pay the entire group premium plus a 2% fee. At least 60 days to elect, 45 days for first payment, up to 18 months of coverage.
Losing job coverage opens a 60-day window to choose Marketplace instead. But voluntarily dropping COBRA later is NOT a qualifying event — then you wait for Open Enrollment.
In expansion states, income up to 138% of poverty usually means Medicaid (often free). Under 250%, Silver plans add cost-sharing reductions that cut deductibles.
Why it matters
COBRA lets you keep your exact plan but you pay up to 102% of the full premium; the ACA Marketplace may cut the cost with a premium tax credit. For 2026 the enhanced credits expired and the 400%-of-poverty subsidy cliff returned, so the comparison really matters. cobravsmarketplace applies the published federal rules with a disclosed method — no black box — and runs entirely client-side, so nothing you enter is uploaded. It is informational only, not insurance or tax advice, and not affiliated with the IRS, CMS, or any insurer.
Frequently asked questions
What does cobravsmarketplace do?
When you lose job-based health insurance you usually have two main options: keep your old plan through COBRA (paying the full premium yourself), or buy a plan on the ACA Marketplace where you may get a premium tax credit. This tool estimates which is cheaper. You enter your household size, region, estimated annual income, your COBRA premium, and how many months of coverage you need. It works out your income as a percentage of the federal poverty level, your subsidy eligibility, an estimate of the net premium for the benchmark Silver Marketplace plan, the total cost of each option over the months you need, and a countdown to your 60-day Special Enrollment deadline. Everything runs in your browser — nothing is uploaded.
Did the enhanced ACA subsidies really expire for 2026?
Yes. The “enhanced” premium tax credits first enacted in 2021 (American Rescue Plan) and extended by the Inflation Reduction Act applied only through the 2025 plan year. As of January 1, 2026, the premium tax credit reverted to the original Affordable Care Act formula. Two big things changed: the percentage of income people must pay toward a benchmark plan went up, and the 400%-of-poverty “subsidy cliff” is back — meaning households above 400% of the federal poverty level get no premium tax credit at all and pay full price. Congress was still debating an extension in 2026; if one passes, subsidies could become more generous again, so always confirm current rules and your own quote at HealthCare.gov.
How do you estimate my Marketplace premium?
For incomes between 100% and 400% of the federal poverty level, the ACA caps what you pay toward the “benchmark” plan (the second-lowest-cost Silver plan) at a set percentage of your income. For 2026 that share runs from about 2.10% at the low end up to 9.96% near 400% of poverty (IRS Rev. Proc. 2025-25). So our estimate of your net benchmark-Silver premium is roughly that percentage times your income, divided by 12. We use the 2025 federal poverty guidelines, which is what 2026 coverage is measured against. This is an estimate of one specific plan — a Bronze plan can cost less (sometimes near $0 after the credit) and a Gold plan more. Your actual benchmark premium depends on your age, county, and tobacco use, so treat this as a ballpark and confirm with a real quote.
How much does COBRA cost, and how long do I have?
Under COBRA your employer can charge you up to 102% of the full group premium — that is the whole cost (the share you used to pay plus the share your employer paid) plus a 2% administrative fee. That is why COBRA often feels shockingly expensive: your employer was quietly covering most of it before. You get at least 60 days from your election notice (or loss of coverage, whichever is later) to elect COBRA, and 45 days after electing to make your first payment. Standard COBRA lasts up to 18 months (longer in some situations, such as disability). Enter the exact monthly figure from your COBRA election notice for the most accurate comparison.
What is the Special Enrollment Period — and the COBRA trap?
Losing job-based coverage is a “qualifying life event” that opens a Marketplace Special Enrollment Period (SEP): you have 60 days from the date coverage ends to enroll (the window actually opens up to 60 days before, too). Crucially, you can elect COBRA and still switch to a Marketplace plan during that same 60-day window. The trap: once the 60 days pass, voluntarily dropping COBRA is NOT a qualifying event. After that you generally must wait for the annual Open Enrollment, or stay on COBRA until you exhaust it (use the full 18 months), to move to a Marketplace plan. So if the Marketplace looks cheaper, decide before your SEP closes — the tool counts down that deadline for you.
Could I qualify for Medicaid instead?
Possibly. In states that expanded Medicaid, adults with income up to 138% of the federal poverty level generally qualify for Medicaid, which usually has little or no premium — often a better deal than either COBRA or a subsidized Marketplace plan. Below 100% of poverty in states that did NOT expand Medicaid, many people fall into a “coverage gap” with no Medicaid and no Marketplace subsidy. We flag when your income is in the likely-Medicaid range, but eligibility depends on your state and other factors — check at HealthCare.gov or your state Medicaid agency.
Is COBRA ever worth keeping even if it costs more?
Yes — price is not the whole story. With COBRA you keep the exact same plan: the same provider network and doctors, the same drug formulary, and — importantly — any deductible and out-of-pocket maximum you have ALREADY met this year carry on. Switching to a new Marketplace plan mid-year usually resets your deductible to zero. If you are mid-treatment, have an upcoming surgery, or have already spent a lot toward your deductible, COBRA can be worth a higher premium. This tool compares premiums only; weigh these non-premium factors yourself.
I earn over 400% of poverty — is there really no subsidy?
For 2026, correct: with the enhanced credits expired, the subsidy cliff returned, so households above 400% of the federal poverty level receive no premium tax credit and pay the full unsubsidized Marketplace premium. In that case the comparison is COBRA’s full premium versus the Marketplace plan’s full premium — and an unsubsidized Marketplace plan (especially a Bronze plan) can still be cheaper than COBRA, or pricier, depending on your area. Enter a real Marketplace quote in the optional field so the tool can compare. (If Congress restores enhanced credits, this could change — verify at HealthCare.gov.)
Is this insurance, tax, or financial advice? Is my data private?
No. cobravsmarketplace is an informational calculator that applies published federal rules to the numbers you enter. It is not insurance, tax, legal, or financial advice, and it is not affiliated with the IRS, CMS, HealthCare.gov, your former employer, or any insurer. Subsidy and premium figures are estimates and the rules can change; always confirm your eligibility and get actual quotes at HealthCare.gov or your state exchange. On privacy: this is a static page — everything you enter is processed in your browser, never uploaded, and nothing is logged.