Low Income Housing Credit Is Calculated As

Low Income Housing Credit Calculator

What is Low Income Housing Credit and Why it Matters

Low Income Housing Credit (LIHC) is a tax credit program designed to encourage the investment of private capital in the development of affordable rental housing for low-income households…

How to Use This Calculator

  1. Enter your annual income.
  2. Select your household size.
  3. Click ‘Calculate’.

Formula & Methodology

The LIHC is calculated based on the household’s adjusted income and household size…

Real-World Examples

Let’s look at three examples to illustrate how the LIHC is calculated…

Data & Statistics

LIHC Income Limits for 2021
Household Size Income Limit
1$30,660
2$35,240
3$40,060
4$45,120
5$50,440
6$56,000
7$61,800
8$67,800
LIHC Minimum Rent Requirements for 2021
Household Size Minimum Rent
1$360
2$420
3$480
4$540
5$600
6$660
7$720
8$780

Expert Tips

  • Always check the latest income limits and minimum rents.
  • Consider other housing assistance programs that you may qualify for.
  • Contact your local housing authority for personalized assistance.

Interactive FAQ

What is the maximum income to qualify for LIHC?

The maximum income limit varies by household size and location. In 2021, the maximum income limit for a household of one is $67,800, and for a household of eight, it is $111,400.

How does the LIHC affect my rent?

The LIHC can reduce the amount of rent you pay. The maximum rent reduction is typically around 30% of the gross rent.

Low income housing Affordable housing options

For more information, visit the U.S. Department of Housing and Urban Development or the National Low Income Housing Coalition.

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