2027 Income Limits and Phaseout Thresholds
Eligibility for matching funds depends entirely on your Modified Adjusted Gross Income (MAGI) and federal tax filing status. The program focuses resources on lower-income and moderate-income working households.
The Treasury designed phaseout ranges to prevent abrupt benefit cliffs. As your household income rises through the statutory phaseout corridor, your matching percentage scales down gradually.
Single filers and married individuals filing separately earn the full 50 percent match with an income of $20,500 or less. Eligibility tapers off progressively until vanishing entirely at $35,500.
Heads of household claim the maximum 50 percent match at incomes up to $30,750. Their benefit slowly phases out between $30,751 and $53,249, cutting off at $53,250.
Married couples filing joint returns receive top matching funds with income up to $41,000. The joint match scales down across higher incomes and phases out completely at $71,000.
| Tax Filing Status | Full 50% Match Limit | Partial Match Phaseout Range | Ineligible Income Level |
|---|---|---|---|
| Single or Married Filing Separately | $20,500 or less | $20,501 to $35,499 | $35,500 and above |
| Head of Household | $30,750 or less | $30,751 to $53,249 | $53,250 and above |
| Married Filing Jointly | $41,000 or less | $41,001 to $70,999 | $71,000 and above |
Tracking your MAGI throughout the year helps preserve your matching rate. Modest adjustments to your adjusted gross income can keep you inside the most lucrative match brackets.
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