ARC/PLC Payment Calculator
Compare expected ARC-CO and PLC payments per acre and in total for the 2026 crop year election, using OBBBA reference prices and FSA payment rules.
Results
Individual payment limit: $155,000 statutory ($164,000 estimated for 2026, FSA-2025-0202). If either total exceeds the limit, it is shown at the limit.
How to Use This Calculator
Select your crop, enter base acres and PLC program yield, then enter the 5-year Olympic averages and your expected MYA price and county yield for the 2026 crop year. Click Calculate to compare expected PLC and ARC payments side by side. Use the Metric/Imperial toggle to switch unit systems where applicable.
About This Tool
The ARC/PLC Payment Calculator helps farmers compare the two FSA commodity safety net programs — Price Loss Coverage (PLC) and Agriculture Risk Coverage (ARC-CO/ARC-IC) — for the 2026 crop year election. It applies OBBBA's higher statutory reference prices and ARC guarantee rules to estimate payments per acre and farm totals. Applicability: For U.S. farms with base acres enrolled in ARC or PLC; payments are estimated per FSA rules and actual payments depend on final MYA prices and county yields.
How the Calculation Works
PLC per-acre payment = max(effective reference price − max(expected MYA price, national loan rate), 0) × PLC program yield. PLC total = per-acre payment × 85% × base acres. ARC-CO benchmark revenue = 5-year Olympic average MYA price × 5-year Olympic average county yield. ARC-CO per-acre payment = min(12% × benchmark revenue, max(90% × benchmark revenue − expected MYA price × expected county yield, 0)). ARC total = per-acre payment × 85% × base acres (65% for ARC-IC). Payment limit: payments per person are capped at the statutory $155,000 ($164,000 estimated for 2026 per FSA-2025-0202). This calculator uses the statutory reference price directly; the effective reference price is max(statutory price, 88% of the 5-year Olympic average MYA price), capped at 115% of the statutory price (per OBBBA).
Real-World Example
Corn, 500 base acres, PLC program yield 180 bu/ac, expected MYA price $3.90. PLC: per-acre payment = (4.10 − 3.90) × 180 = $36.00/ac; total = 36.00 × 0.85 × 500 = $15,300. ARC-CO: 5-year Olympic average MYA price $4.20 × 5-year Olympic average county yield 175 bu/ac = benchmark revenue $735/ac; guarantee = 90% × 735 = $661.50; actual county revenue = 3.90 × 150 = $585.00; payment = min(12% × 735 = $88.20, 661.50 − 585.00 = $76.50) = $76.50/ac; total = 76.50 × 0.85 × 500 = $32,512.50. ARC pays $17,212.50 more in this case — and both totals are far below the $164,000 payment limit.
Common Mistakes & Tips
Common mistakes include using market futures instead of the MYA price expectation, forgetting the 85% payment acres (65% for ARC-IC) and applying the per-acre payment to 100% of base acres, confusing the statutory reference price with the effective reference price (the 88% Olympic-average rule), ignoring the loan-rate floor in the PLC rate, and ignoring the $155,000/$164,000 per-person payment limit on large farms.
Reviewed by Agricalc Editorial Team — Agricultural engineers and agronomists with 10+ years of field experience. Our team verifies every calculator formula against peer-reviewed extension publications. For site-specific advice, consult your local agronomist.
References
- FSA — ARC/PLC Program Fact Sheet (formulas, 85%/65% payment acres, reference price table)
- farmdoc daily — Spending impacts of PLC and ARC-CO in the House agriculture reconciliation bill (OBBBA reference prices, 2025-05)
- farmdoc daily — Impacts of the commodity title changes under OBBBA for Midwestern farms in 2025 (ARC 90% guarantee, 2025-07)
- CRS R48574 — H.R.1 Title I farm safety net provisions (30M new base acres, ARC extension)
- FSA-2025-0202 — Payment limitation rulemaking (2026 estimate $164,000)
- USDA — Farmers First: OBBBA farm provisions overview
Frequently Asked Questions
How do I choose between ARC and PLC for 2026?
Compare both payments for your crop and farm. PLC pays when the effective reference price is above the MYA price (or the loan rate), so it protects against low prices alone. ARC-CO pays when actual county revenue falls below 90% of benchmark revenue, so it also responds to a yield loss. Farms with strong PLC program yields may favor PLC; farms in volatile-yield counties often favor ARC-CO. For the 2025 crop year, farms were automatically paid the higher of the two; for 2026 the annual election is back, so you must enroll and elect by the FSA deadline.
How is the $155,000 payment limit calculated?
The statutory limit is $155,000 per person per year for ARC and PLC combined. Starting with the 2026 crop year it is indexed to inflation — FSA-2025-0202 estimates $164,000 for 2026. Owners actively engaged in pass-through entities (LLCs, S corporations) can have separate limits. If your farm total exceeds the limit, this calculator shows the capped amount.
What are base acres, and what are the 30 million new acres?
Base acres are historic crop acres tied to a farm for program purposes. OBBBA adds 30 million acres of new base-acre eligibility starting with the 2026 crop year, so farms that were previously ineligible may now enroll. Payments are made on 85% of base acres (65% for ARC-IC), not 100%.
When is the 2026 ARC/PLC enrollment period?
FSA announces the election and enrollment window each year in its program notice; it typically opens in the fall and runs through mid-March. The exact 2026 dates are published by FSA — check with your local FSA service center so you do not miss the deadline.
What is the effective reference price (ERP)?
The ERP is the price used in the PLC payment rate: max(statutory reference price, 88% of the 5-year Olympic average MYA price), but never above 115% of the statutory price. OBBBA raised the Olympic-average factor from 85% to 88%. This calculator uses the statutory reference price directly and documents that assumption in the methodology.
