Lesson 3
Income limits
⏱ 2 min
Key points
- HUD sets income limits every year by family size and area.
- Most new voucher families must be very low income: 50% of area median income.
- By law, 75% of new voucher families each year must be extremely low income.
How the income limits work
HUD publishes income limits each year by family size for the area where each housing authority is located. The limits come in three levels:
| Income level | Roughly equal to |
|---|---|
| Extremely low income | 30% of area median income, or the federal poverty line if that is higher |
| Very low income | 50% of area median income |
| Low income | 80% of area median income |
Most new voucher holders must be very low income. A family at the low income level (up to about 80%) can qualify only in a few situations, such as when the family is already getting assistance under public housing or another voucher program, or when the housing authority has set a local rule for a specific group.
Extremely low income families get priority by law. Each housing authority must make sure that 75% of the families it admits to the voucher program each year have incomes at or below the extremely low income limit. HUD can approve a lower share in some cases.
From our guide: Section 8 Income Eligibility: How to Check If You Qualify
Quick check
Most new voucher families must have income at or below what share of their area's median income?
Want more detail? Read our full guide: Section 8 Income Eligibility: How to Check If You Qualify