Moderate-Income Rebate Eligibility: 80%–150% AMI Guide

Households earning between 80% and 150% of area median income (AMI) occupy a unique position in the energy rebate landscape. You earn too much to qualify for the enhanced low-income rebate amounts, but you still have access to meaningful incentives that households above 150% AMI cannot claim. Understanding exactly what is available at this income tier helps you plan upgrades strategically and avoid leaving money unclaimed.

Who Falls in the 80%–150% AMI Bracket

The moderate-income tier covers a wide range of households. Because AMI is calculated locally, this bracket looks very different depending on where you live. Here are some examples for a family of four:

In high-cost metro areas, moderate-income families may earn well into six figures and still qualify. This is by design: the programs recognize that a $130,000 income in San Francisco has very different purchasing power than $130,000 in rural Kentucky.

How to Calculate Your AMI

Step 1: Find Your Area Median Income

The Department of Housing and Urban Development (HUD) publishes AMI figures annually. Visit the HUD Income Limits Documentation System at huduser.gov to look up your county or metropolitan statistical area. You need the median family income figure for your area.

Step 2: Determine Your Household Size

Your household includes everyone who lives in the home, regardless of whether they earn income. This includes children, elderly parents, and other dependents. Larger households have higher income thresholds.

Step 3: Apply the Adjustment Factor

HUD publishes income limits adjusted for household size. The base figure is for a family of four. Smaller households have lower thresholds and larger households have higher ones. The adjustments are roughly:

• 1 person: 70% of the 4-person limit
• 2 persons: 80% of the 4-person limit
• 3 persons: 90% of the 4-person limit
• 4 persons: 100% (base figure)
• 5 persons: 108% of the 4-person limit
• 6 persons: 116% of the 4-person limit
• 7 persons: 124% of the 4-person limit
• 8 persons: 132% of the 4-person limit

For a quick check, ask our AI assistant with your ZIP code and household size. It can look up the relevant figures and tell you which tier you fall into.

What Programs Are Available at 80%–150% AMI

HEAR Rebates at 50% of Maximum

Moderate-income households qualify for HEAR rebates at 50% of the maximum amounts available to low-income households. Here is what that looks like:

Even at 50%, these rebates are substantial. A $4,000 rebate on a heat pump installation, combined with the $2,000 Section 25C tax credit, can cover more than half the cost of a new system.

Enhanced HOMES Rebates

Moderate-income households also qualify for enhanced HOMES rebates, though the exact treatment varies by how states implement the program. Under the statute, households between 80% and 150% AMI may qualify for rebates of up to 80% of project cost (same as low-income) for the measured or modeled energy savings pathway. The dollar maximums are:

• 20%-34% energy reduction: Up to $2,000 (or 50% of cost for standard; up to 80% for income-qualified)
• 35%+ energy reduction: Up to $4,000 (or 50% of cost for standard; up to 80% for income-qualified)

Some states may offer enhanced amounts or higher cost-share percentages for moderate-income households. Check your state page for specific details.

Utility Programs

Many utility companies offer income-qualified rebate tiers that include the moderate-income bracket. These programs often provide enhanced rebates, free energy audits, or no-cost direct install services (like free LED bulbs, smart power strips, and faucet aerators) to households between 80% and 200% of the federal poverty level or 80% to 150% of AMI.

What Is NOT Available at This Tier (Compared to Low-Income)

While moderate-income households have significant access, there are some differences compared to the low-income tier:

• HEAR rebate amounts are halved: You receive 50% of the maximum, not the full amount
• HEAR lifetime cap is $7,000 instead of $14,000
• WAP is generally not available: The Weatherization Assistance Program primarily serves households at or below 200% of the federal poverty level or 60% of state median income, which is typically lower than 80% AMI. Some states have expanded eligibility, so it is worth checking
• LIHEAP access may be limited: LIHEAP typically targets households at or below 150% of the federal poverty level, which is usually below 80% AMI. However, some states set higher thresholds
• Some state programs are low-income only: Programs like California's ESA or New York's EmPower+ may have income thresholds below the moderate-income bracket

What IS Available Regardless of Income

Several important programs have no income limits at all:

• Section 25C tax credit: Up to $3,200 per year for energy efficient home improvements. No income limit. Available to all homeowners who file taxes
• Section 25D tax credit: 30% credit for solar, batteries, and geothermal. No income limit and no dollar cap
• Most utility rebates: Standard utility rebates for efficient equipment are typically available to all customers regardless of income
• HOMES standard pathway: The non-income-qualified HOMES rebates (up to $2,000 or $4,000) are available to all homeowners

Strategic Planning for Moderate-Income Households

Given that your HEAR rebate amounts are capped at $7,000 lifetime, prioritize HEAR for the items with the largest rebates relative to cost. A heat pump HVAC system ($4,000 HEAR rebate) should typically be the first HEAR claim. Then use the 25C tax credit for other items like heat pump water heaters, windows, and insulation where the credit provides strong value.

Read our complete guide to stacking rebates for detailed strategies on combining programs for maximum savings. And check the 2026 rebate deadlines to understand the timeline for acting, especially since HEAR funds are limited and distributed on a first-come, first-served basis in many states.

To get a personalized assessment of which programs you qualify for and how much you could save, enter your ZIP code below or start a conversation with our AI rebate assistant.