Section 8 rent calculator

Payment standard, FMR, and contract rent aren't the same number

FMR is the HUD number for your county or metro. The payment standard is what your local housing authority actually pays against, set anywhere from 90% to 110% of FMR. Your contract rent is whatever you and the tenant agree to. Mixing these up is the single most common mistake landlords make when they run Section 8 numbers for the first time.

The payment standard matters more than FMR for your bottom line, because it's the ceiling on what the PHA will actually pay. Charge above it and the voucher doesn't stretch to cover the gap. The tenant either can't afford the difference or the PHA won't sign off on the lease at all.

The 40% rule matters more than the payment standard

A payment standard that comfortably covers your rent doesn't guarantee approval. At initial lease-up, the tenant's own share of rent can't exceed 40% of their adjusted monthly income. Run the numbers on a low-income household and a modest rent can still trip this cap. Check the tenant's share first, then check the standard. Skipping the first check is how landlords get a lease rejected after they've already screened and approved an applicant.

Rent reasonableness is a separate check

Even if the math above clears, your local PHA still has to sign off on rent reasonableness. It won't approve a rent above what comparable, unassisted units in the same area go for. If your Section 8 rent runs noticeably above what a market-rate tenant would pay for the same unit, expect the PHA to push back or ask for documentation. Pull a few comps before you set the number, the same way you would for a market-rate listing. See our guide to setting rent for how to do that.

What changes every October

HUD updates FMR every October 1 for the new fiscal year. Payment standards usually follow within a few months as PHAs adopt the new figures. If you have a voucher tenant already in place, your rent doesn't reset automatically. You'll need to request an increase through your PHA and back it up with fresh comps, the same way you would for a market-rate renewal.

Want the full breakdown, with a worked example using real HUD numbers? Read how Section 8 payment standards work. Or pull the FMR for your county directly from our county-by-county FMR data or the zip code lookup tool. For background on what FMR actually is, see what is fair market rent.