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Texas benefits cliff

How much can you earn before a raise costs you in Texas?

A $1,000 raise at $66,000 can cost a family of 4$16,661/yrin real take-home ($1,388/mo), mostly lost childcare help.

The short answer

In Texas, a $1,000 raise at $66,000 can cut a family of 4's real take-home by $16,661 a year, because benefits fall away faster than the raise. Take-home recovers past $88,000, the safe exit.

Check your own number

Your benefits cliff

Texas, household of 4. The filled line is your real take-home. The dashed line is wages alone.

You now$66kOffer$67kSafe exit$88kWages onlyBenefits end$83k

What you can earn before each benefit drops

For a family of 4 in Texas. Each benefit falls away at a different income, and where several fall together is where the cliff bites.

BenefitFalls away aroundBiggest single drop
Childcare$67,000$14,720
Medicaid$6,000$4,500
SNAP$45,000$2,184
Section 8$55,000$9,000

Look at one benefit at a time

Childcare in TexasFalls away around $67,000$14,720Medicaid in TexasFalls away around $6,000$4,500SNAP in TexasFalls away around $45,000$2,184Section 8 in TexasFalls away around $55,000$9,000

Every number comes from a government source

Rules checked Jul 4, 2026. See how CliffCheck knows the numbers

Questions people ask

Can a raise really make you poorer in Texas?
Yes. For a family of 4 in Texas, a $1,000 raise at $66,000 can cut real take-home by about $16,661 a year, because benefits fall away faster than the extra pay comes in.
What is a benefits cliff?
A benefits cliff is where a small raise triggers a large drop in benefits, so your total take-home goes down even though your pay went up. Several benefits can fall in the same narrow income band, which is what makes the drop so steep.
What income clears the cliff in Texas?
For a family of 4 in Texas, take-home passes its earlier level again at about $88,000 a year. That is the safe exit: earn past it and the raise pays off for good.
Where do these Texas numbers come from?
Every figure is calculated from published government rules, SNAP from the USDA, Medicaid and the marketplace, HUD housing limits, and Texas's own childcare and tax rules. Your inputs stay on your phone and are never sent anywhere.

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