Are you ready to pay a significant increase in taxes and get less bang for your buck?
If Democrats get their way, all Americans will pay more in taxes to support their hairbrained Medicare for All scheme. This proposed single-payer health program means less money in your bank account and reduced access to healthcare as well as lower-quality care.
In the last two presidential debates, Democrats have openly talked about their support for Medicare for All, and on the surface, it sounds very appealing.
However, peel back the layers and what does it really entail?
According to a recent study by the Urban Institute, the cost of the program is $32 trillion over 10 years — that’s $3.2 trillion per year. Let’s put that into perspective — if this were to happen, the federal government will spend a total of $4.746 trillion in the fiscal year 2020, alone.
Those are lofty numbers.
What does it really mean?
Let’s look at just a few ways Medicare for All will impact us all in dollars and cents.
Taxes Must Rise on Everyone
Democrats love to demagogue the rich and share how they will force them and corporations to pay for Medicare for All.
If the federal government confiscated every penny belonging to the wealthiest 400 Americans, it would amount to less than $3 trillion. Confiscating the rich’s money doesn’t even cover the cost of Medicare for All for one year!
There goes their idea of “just tax the rich” — they don’t have enough money.
Elizabeth Warren (D-MA) and Bernie Sanders (D-VT) would like you to believe that you’ll actually save money with the elimination of premiums, co-pays and deductibles. According to a recent fact check, that’s far from accurate and their projections are mostly false.
In fact, other studies claim the average family would see their tax burden increase by 2%-3%, and for those making between $50,000 to $75,000 they would likely need to pay on average $7,773 to $9,171 more in new taxes to cover their healthcare taxes.
The truth is that taxes will rise on everyone and it will likely be more costly than the projections.
Taxes are Not the Only Impact to Your Budget
Higher personal taxes are just the tip of the iceberg if Democrats get their way. Ultimately, they will raise taxes on corporations and corporations will pass the tax on to consumers. Thus, raising prices on virtually everything you buy.
Increasing these rates is another way of taking more money out of your pocket through increasing taxes on goods, services and even utilities. Americans for Tax Reform demonstrated how an increase in the corporate tax rate would directly raise the cost of utility bills in all 50 states.
Finally, there is a cost to healthcare itself. While doctors care for their patients, they must also make money to pay for the cost of their education as well as a profit to afford to keep their practices open.
According to the Heritage Foundation, under Medicare for All legislation, the federal government would pay doctors at rates much lower than current private sector rates. This would cause severe financial pressure and many doctors would be unable to recover their costs and end up closing their practices.
The net effect is that while demand for doctors will increase, a potential shortage of doctors will likely increase and access to care and the quality of healthcare may suffer.
What Does Medicare for All Mean in Dollars and Cents?
The truth is that a $32 trillion tax increase to pay for Medicare for All is two-thirds of the revenue that the Congressional Budget Office projects the federal government will collect for all sources of income over the next decade.
If Democrats are able to enact Medicare for All, everyone who makes more than $29,000 per year will see a tax increase that is likely higher than any projected savings. While the rich will pay more in taxes, they cannot afford to pay the staggering cost alone.
Second, if taxes are raised on corporations, the basic laws of macroeconomics are that as costs go up on business so does the cost to the consumer.
The real cost of Medicare for All is a crushing national tax that will have a detrimental effect on the middle class. Not only will taxes go up but so will the cost for everything you buy.
While Democrats try to convince us that it’s free or more affordable and that people will experience better access or care, the facts just don’t support their assumptions.
Copyright 2019, UnitedVoice.com