Your hospital may have a financial-assistance policy that lowers the bill.
Under IRS §501(r)(4), a tax-exempt 501(c)(3) hospital organization must establish and widely publicize a Financial Assistance Policy for each hospital facility it operates. State rules may extend additional protections.
§501(r)
Written, public policy required for covered tax-exempt hospitals
240+ days
Federal application period from the first post-discharge bill
Answer four quick questions to calculate your 2026 HHS poverty-guideline percentage, then compare it with the hospital’s policy. Nothing is stored—the calculation runs entirely in your browser.
What this calculation means. It compares your entry with the official 2026 HHS poverty guideline. Federal Section 501(r) requires tax-exempt hospitals to publish a financial-assistance policy, but each policy defines its own eligibility criteria.
Application timing. The federal application period generally runs through day 240 after the first post-discharge bill. Hospitals may accept applications later. Collection protections depend on the application’s timing and status, so submit the hospital’s application promptly and keep proof.
Verify the numbers with the HHS guideline and the framework with the IRS financial-assistance policy guidance.
Privacy. This calculation runs in your browser; Lysco does not store these answers.
The rule
What §501(r) actually requires
§501(r)(4) requires covered 501(c)(3) hospital organizations to establish and widely publicize a written Financial Assistance Policy (FAP) that explains eligibility, available assistance, how charges are calculated, and how to apply. The FAP documents must be available online and on request; billing statements must include a conspicuous notice about financial assistance and where to find it.
§501(r)(6) uses an application period of at least 240 days from the first post-discharge billing statement. If you submit a complete application during that period, the hospital must determine eligibility and suspend any Extraordinary Collection Actions already underway while it does so. (26 CFR §1.501(r)-6, reviewed July 2026.)
§501(r)(5) requires the hospital to charge FAP-eligible patients no more than the “amounts generally billed” to people who have insurance for that care. The hospital must calculate that limit using a method permitted by the federal rule rather than simply charging gross prices.
Eligibility thresholds and application requirements vary by hospital and state. Lysco helps you find the policy, organize the request, and keep a clear record of what you submitted.
Got a hospital bill? Start the request.
Upload or paste your hospital bill. Lysco helps you request the current policy and application, explain your circumstances, and ask for a written eligibility decision.
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Lysco is an informational tool — not a law firm, financial advisor, or licensed patient advocate. Eligibility is determined by each hospital’s Financial Assistance Policy under IRS §501(r) and applicable state law. Individual outcomes depend on documentation, hospital, and circumstances. This page is not legal, financial, or medical advice.