A system and method are provided for implementing a peak-to-average power ratio (PAPR) reduction scheme for Orthogonal Frequency-Division Multiple Access (OFDMA) modulation. A unique PAPR reduction scheme for OFDMA modulation for systems operated according to a DOCSIS standard achieves results similar to those attributable to tone reservation schemes in a manner that does not negatively affect an amount of available data capacity, particularly in implementations with limited numbers of subcarriers. The disclosed systems and methods are particularly adaptable to next generation cable gateways and/or next generation cable modems. These next generation cable gateways and/or cable modems may find particular utility in advanced hybrid fiber/coaxial cable systems. The adaptable cable gateways/modems may include a cable gateway system-on-chip (SOC) configuration. The disclosed schemes may be applicable to OFDM modulation. For OFDM, however, the known tone reservation algorithms also may be employed.