Only top 1.2% of wealthiest would pay health surcharge.Family with $400,000 AGI would pay only $500!

[flpoljunkie]

The surcharge would be paid only on income in excess of $350,000. See example below where a family whose AGI is $400,000 and their surcharge would be only $500! And, yet, Republicans' and some Senate Dems' hair is on fire!

Under this proposal, according to the nonpartisan Joint Committee on Taxation, only the top 1.2% of wealthiest Americans are asked to pay somewhat more to help finance health reform. These top earners received a disproportionate share of the tax cuts over the last decade and also saw a large jump in their income and overall wealth. Indeed, the gap between the income of the top 1% and the rest of us has grown significantly in recent years.

 We are proposing to place a graduated surcharge on the wealthiest Americans. For example, the surcharge would be 1% for families earning between $350,000 and $500,000, and 1.5% for those earning between $500,000 and $1,000,000. The bill includes a trigger that would result in the surcharge only rising somewhat if projected health care savings are not obtained.

 The surcharge only applies to income earned in excess of $350,000. If the health reforms included in the bill achieve projected cost savings, families making between $350,000 and $1,000,000 will need to contribute less than 1% of their annual income to provide access to affordable health care for all Americans. For example:

o A family earning $400,000 would contribute $500 to provide access to affordable health care for all Americans – 0.13% of their annual income.

o A family earning $500,000 would contribute $1,500 to provide access to affordable health care for all Americans – 0.3% of their annual income.

Despite opponents’ claims to the contrary, according to the nonpartisan Joint Committee on Taxation, 96% of small businesses would see no tax increases under this proposal. Furthermore, all small businesses will greatly benefit from the insurance market reforms in the bill.

http://edlabor.house.gov/documents/111/pdf/publications/AAHCA-PAYINGFORHEALTHCAREREFORM-071409.pdf

[Dawgs]

1. Why hasn't anyone created an online calculator to debunk the bullshit.

I would love to have such a link.

:hi:

[liberal N proud]

3. Good question

It always seems the Democrats are 3 steps behind the right wing propaganda

[flpoljunkie]

4. Only 1.2% of taxpayers need worry about it. That's what they should be repeating.

The top 1% of taxpayers will have been given a $700 billion tax break by the time the Bush tax cuts expire at the end of 2010. Let them pay a wee bit more to pay for universal health care.

[lindisfarne]

7. Reading the original bill would have helped make this clear.The PDF summary which is linked to in OP

has been available since about 24 hours after the bill was passed. (Multiple threads with links to these were posted on DU).

[malletgirl02]

2. Rec #5

Off to the Greatest Page.

[Rosa Luxemburg]

5. Put TV ads on now

[nradisic]

6. You pay now bitch!

After Obama was elected, the first thing I said was that the top 1% that benefited oh so much from the Bush tax cuts were going to pay. THis is the perfect way to go, in order to finance health care for all. Kudos President Obama. Keep up the good work.

[Laelth]

8. And what about the uninsured?

Most of them will be compelled to pay a brand new tax equal to between 1.5% and 11.5% of their gross income. I am not crying alligator tears for the wealthy, but the Democratic Party is collectively insane if it thinks it's a good idea to levy a huge new tax on the uninsured. It will be political suicide. The uninsured, most of them, lack insurance because they can't afford it. They will deeply resent the mandate to buy insurance, and they will defect from the Democratic Party in droves.

Forcing people to buy insurance is no more the answer to a failed public health system than forcing people to buy houses is the solution to homelessness.

:dem:

-Laelth

[nightrain]

9. Yes. I seem to recall candidate Obama saying something like, those with an income of

less than ?$250K wouldn't see any increase in taxes in my Administration.

These proposals are so far out of reach financially for regular people, even if qualifying for a subsidy! Congress needs to work on making these proposals much more affordable, and to have open enrollment sooner than years down the road...

[flpoljunkie]

11. That's right, and he intends to stick by it, altho Pelosi is now talking 'millionaires' surtax--

$500,000 AGI for an individual and $1,000,000 for a joint return. Pelosi did not give a figure for the 'Millionaire surtax.'

In any case, the money raised would be considerably less than what these taxpayers saved with the Bush tax cuts over the last 10 years--over $700 billion!

[flpoljunkie]

10. Those who cannot afford to buy insurance will receive subsidies according based on poverty level %

The House bill has subsidies up to 400 percent of poverty, which is equal to $43,320 for an individual and $88,200 for a family of four. At the bottom end -- 133 percent if income, as below that, you're eligible for Medicaid -- the subsidies limit your health premiums to 1.5 percent of income. At the top end -- 400 percent -- it's no more than 11 percent of income. Speaking of the out-of-pocket cap, all of the benefit packages -- from the "basic" plan on upward -- cap total costs for members. So if you're not eligible for subsidies, you're still going to be protected from catastrophic health-care costs.

[nightrain]

13. well, ya know.... it's still basically unaffordable if a person/family doesn't have the funds..

Even with a subsidy--If people could have bought coverage for something reasonable, like $1200/year or maybe double that, then I suppose they would have before. A mandate to buy coverage at several grand a year is beyond the means of many/most people.

[uponit7771]

12. People who make that much will EAT 500 dollars in some crap before years over

[Hello_Kitty]

14. And remember, that's ADJUSTED income.

It's after they take the various and sundry deductions that most people at that income level enjoy.

[Vinca]

15. That's the cost of a mediocre designer handbag.