Family Budget Buster

According to the Congressional Budget Office Report, “An Analysis of Premiums Under the Chairman’s Mark of the America’s Healthy Future Act”, the “approximate national average of premiums – … about $14,400 for family policies in 2016.” [1]  Besides the premiums, a family of four can expect to have additional out-of-pocket expenses of $2,100 bringing the total to $16,500 a year. [2]

Families will be subsidized on a sliding scale based on the Federal Poverty Level (FPL).  As an example, a family of four with total combined income of $30,000 (100-150% of FPL) will receive total subsidies of $13,600 a year to pay for health care insurance and related out-of-pocket expenses.  This is tax dollars being taken from one family and given to another.  The table below shows how that sliding scale would work.

A family of four earning just $66,000 a year are required to pay out-of-pocket $13,300 a year.  That works out to be over $1,100 a month.  That is after they get help from the government.  Earn more than 350% of the FPL and you can expect to pay the full $16,500 a year and more.

Refuse to anti-up, and you will face a fine of up to $3,800 a year.  Refuse to pay the fine and you can be fined an additional $250,000 and imprisoned for 1 year.

I raised a family of four at one point we had a combined income in the $66K a year range.  I can tell you, we did not live extravagantly.  We rented for housing, we had a used car, and we had no credit cards.  There was no way that I could have found an additional $1,100 a month to pay for health care insurance – no way!  Let’s be clear – $66,000 a year is $5,500 a month.  From this, the family can expect to pay taxes, food, housing, utilities, transportation, clothing… the usual expenses.  Under the Baucus Bill, the family in this category is mandated by this legislation to pay approximately 20% of their income towards health care insurance and related expenses.

How out-of-touch are our elected officials?  How does reducing a family’s income by 25% make health care affordable?  This is going to kill those families running small businesses; the independent contractor, the accountant, the mechanic.  This is nonsense at a scale that has been unseen in this nation’s history.  It’s nothing but a huge transfer of wealth on the backs of the middle-class.

This new entitlement program is going to suck out whatever life is left in this economy.  This bill must be killed!

[1] Congressional Budget Office Report, An Analysis of Premiums Under the Chairman’s Mark of the America’s Healthy Future Act, Sept. 22, 2009

[2] The Heritage Foundation: Baucus Bill – a big cost for taxpayers by Dennis Smith Oct. 6, 2009