Healthcare

Old Bernie’s health care plan is a joke, no; beyond that, it’s a farce

More, much more for less while taxes skyrocket on everyone but you and it’s all possible just because there are no insurance companies (and the jobs they create?). 

No out-of-pocket costs, all your health care with no questions asked and an average family only pays $466 a year. No negative impact on the economy … and by the way, since these massive tax increases, including estate, income and investment taxes will pay for health care, how will Old BS pay for all the rest of his free stuff?  Where will the money come from to fix Social Security, pay for free college tuition and who know what else?

Is there no possibility that “free” health care will stimulate demand and use and that no one will care how much health care they receive or why? 

Is Bernie unaware that the long-term care, once a part of Obamacare, was not implemented because it was unaffordable or that insurance companies have largely stopped selling it because of the liabilities?

My observations are not based on opposition to a single-payer system, but in support of common sense. Sanders is either painfully naive or he is outright lying to Americans. 

Do you seriously think any system with no cost sharing and no restrictions on the care received, no questioning on the necessity of services provided is affordable? No system in the world does that, none, not even Medicare, but still Sanders will eliminate cost-sharing under Medicare and add long-term care on top of that, a system already in financial trouble. 

Read this from CMS.gov

In 2014, U.S. health care spending increased 5.3 percent following growth of 2.9 percent in 2013 to reach $3.0 trillion, or $9,523 per person. The faster growth experienced in 2014 was primarily due to the major coverage expansions under the Affordable Care Act, particularly for Medicaid and private health insurance. The share of the economy devoted to health care spending was 17.5 percent, up from 17.3 percent in 2013.

 

SANDERS SAYS HIS PLAN WILL COST $1.38 trillion; SLIGHTLY MORE THAN HALF OF WHAT WE SPEND TODAY WHILE GREATLY EXPANDING COVERAGE. Think about that😷

Since his plan covers all Americans do we assume the 2.2% income-based tax also replaces the 1.45% Medicare tax? Read the plan and it appears average people not only get free health care, but don’t pay higher taxes in return for elimination of premiums  in other words, only a net gain. 

Look at the new tax on employers; at 6.2% that’s a windfall for large companies and a new burden for small companies. 

Once in place how will Sander’s system control rising costs? You should ask that question‼️

Think about it; just putting out something like this Sanders and his team demonstrate their naive outlook on the world and obsession for taxing the “wealthy” with no understanding or concern for the consequences of their utopian world view. 

Isn’t it irresponsible to put out a single purpose plan that has major implications for our tax structure without considering other needs of the country such as economic growth and the separate need to restructure all taxes? 

If you are a Sanders supporter, this type of policy setting should give you a good reason to rethink your allegiance or at least ask probing questions. Common sense😷

NOW FOR MY LIBERAL FRIENDS; LEST YOU THINK I DON’T KNOW WHAT I AM TALKING ABOUT read this from Paul Krugman writing in the NYT 1-19-16

On health care: leave on one side the virtual impossibility of achieving single-payer. Beyond the politics, the Sanders “plan” isn’t just lacking in detail; as Ezra Klein notes, it both promises more comprehensive coverage than Medicare or for that matter single-payer systems in other countries, and assumes huge cost savings that are at best unlikely given that kind of generosity. This lets Sanders claim that he could make it work with much lower middle-class taxes than would probably be needed in practice.

To be harsh but accurate: the Sanders health plan looks a little bit like a standard Republican tax-cut plan, which relies on fantasies about huge supply-side effects to make the numbers supposedly add up. Only a little bit: after all, this is a plan seeking to provide health care

THE PLAN – BETTER COVERAGE

Bernie’s plan would create a federally administered single-payer health care program. Universal single-payer health care means comprehensive coverage for all Americans. Bernie’s plan will cover the entire continuum of health care, from inpatient to outpatient care; preventive to emergency care; primary care to specialty care, including long-term and palliative care; vision, hearing and oral health care; mental health and substance abuse services; as well as prescription medications, medical equipment, supplies, diagnostics and treatments. Patients will be able to choose a health care provider without worrying about whether that provider is in-network and will be able to get the care they need without having to read any fine print or trying to figure out how they can afford the out-of-pocket costs.

WHAT IT MEANS FOR PATIENTS

As a patient, all you need to do is go to the doctor and show your insurance card. Bernie’s plan means no more copays, no more deductibles and no more fighting with insurance companies when they fail to pay for charges.

GETTING HEALTH CARE SPENDING UNDER CONTROL

We outspend all other countries on the planet and our medical spending continues to grow faster than the rate of inflation. Creating a single, public insurance system will go a long way towards getting health care spending under control. The United States has thousands of different health insurance plans, all of which set different reimbursement rates across different networks for providers and procedures resulting in high administrative costs. Two patients with the same condition may get very different care depending on where they live, the health insurance they have and what their insurance covers. A patient may pay different amounts for the same prescription depending solely on where the prescription is filled. Health care providers and patients must navigate this complex and bewildering system wasting precious time and resources.

By moving to an integrated system, the government will finally have the ability to stand up to drug companies and negotiate fair prices for the American people collectively. It will also ensure the federal government can track access to various providers and make smart investments to avoid provider shortages and ensure communities can access the providers they need.

But don’t stop reading here, you have to read how it will be paid for. 

HOW MUCH WILL IT COST?

This plan has been estimated to cost $1.38 trillion per year.

THE PLAN WOULD BE FULLY PAID FOR BY:

A 6.2 percent income-based health care premium paid by employers.

Revenue raised: $630 billion per year.

A 2.2 percent income-based premium paid by households.

Revenue raised: $210 billion per year.

This year, a family of four taking the standard deduction can have income up to $28,800 and not pay this tax under this plan.

A family of four making $50,000 a year taking the standard deduction would only pay $466 this year.

Progressive income tax rates.

Revenue raised: $110 billion a year.

Under this plan the marginal income tax rate would be:

37 percent on income between $250,000 and $500,000.
43 percent on income between $500,000 and $2 million.

48 percent on income between $2 million and $10 million. (In 2013, only 113,000 households, the top 0.08 percent of taxpayers, had income between $2 million and $10 million.)

52 percent on income above $10 million. (In 2013, only 13,000 households, just 0.01 percent of taxpayers, had income exceeding $10 million.)

Taxing capital gains and dividends the same as income from work.

Revenue raised: $92 billion per year.

Warren Buffett, the second wealthiest American in the country, has said that he pays a lower effective tax rate than his secretary. The reason is that he receives most of his income from capital gains and dividends, which are taxed at a much lower rate than income from work. This plan will end the special tax break for capital gains and dividends on household income above $250,000.

Limit tax deductions for rich.

Revenue raised: $15 billion per year

Under Bernie’s plan, households making over $250,000 would no longer be able to save more than 28 cents in taxes from every dollar in tax deductions. This limit would replace more complicated and less effective limits on tax breaks for the rich including the AMT, the personal exemption phase-out and the limit on itemized deductions.

The Responsible Estate Tax.

Revenue raised: $21 billion per year.

This provision would tax the estates of the wealthiest 0.3 percent (three-tenths of 1 percent) of Americans who inherit over $3.5 million at progressive rates and close loopholes in the estate tax.

Savings from health tax expenditures.

Revenue raised: $310 billion per year.

Several tax breaks that subsidize health care (health-related “tax expenditures”) would become obsolete and disappear under a single-payer health care system, saving $310 billion per year.

Most importantly, health care provided by employers is compensation that is not subject to payroll taxes or income taxes under current law. This is a significant tax break that would effectively disappear under this plan because all Americans would receive health care through the new single-payer program instead of employer-based health care.

https://berniesanders.com/issues/medicare-for-all/

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