Tag Archives: Medicaid

Some seniors will pay a 296% tax increase under “Deep State” deal with media and politicians

Remember the promise of a tax cut primarily for the middle class?

For many Americans that will be a lie, and retired seniors will be hit the hardest, despite the attempted sleight of hand numbers game that “gives” you about double the standard deduction, but doesn’t mention the loss of personal exemptions.

Even worse, the so-called reform means that a couple that used to itemize deductions above $12,700 (under 65) and $15,200 (over 65) will now have to wait until the itemization exceeds $24,000.

The table below shows the current income tax formula for a senior couple with the average Social Security benefit, plus a part-time job, and an RMD. (At age 70 1/2 the government forces you to take out part of your IRA and pay income tax on it every year. If you have stocks or bonds, they must be sold to satisfy the IRS, even if they lost value.)

This average senior couple will pay $1,506 income tax under current law without itemization.

Some might wonder about that tax on Social Security Continue reading →

GOP House passes plan to raise Medicare eligibility age to 67, then turn it over to insurance companies

Time after time, Mr. Donald Trump promised no cuts to Medicare and Social Security, but the current leader of the nation and Republican Party now seems to have a change of heart – to put it very kindly – or he has just wandered even deeper into the swamp.

It could be the President is distracted by his fake plan to lower taxes for the middle class  and so he hasn’t noticed the GOP-dominated House passed its 2018 budget resolution on Thursday by a vote of 219-206. The cunning House Speaker Paul Ryan led his swarm to approve  cutting $1.5 trillion from Medicare and Medicaid. Eighteen Republicans voted against the resolution, along with all the attending Democrats.

Robert Roach, who heads the Alliance for Retired Americans, was furious at the news: Continue reading →

Americans suffer while drug companies make a fortune because FDA isn’t timely approving generics

The Food and Drug Administration (FDA) last year had 4,036 generic drug applications waiting for approval. In October 2012, there was a backlog of 2,868 drugs. It now takes a median 47 months to approve a generic drug by the FDA – nearly four years.

What does this mean to the healthcare consumer?

drugsalesFirst, it allows a drug company to continue selling their “brand name” drug because there is no replacement on the market. Brand name drugs are sold at incredible prices, pushed up by obscene profits, as well as constant advertising, plus promotion of drugs by medical professionals. To many in the health business, brand name drugs are the real money makers.

By comparison to the United States, the European FDA – the European Medicines Agency (EMA) – has just 24 generics awaiting approval. It takes about a year to get approval in Europe, one quarter the time of the U.S.

Why would it be faster to approve generics in Europe than here? The answer is that patients in America pay for their drugs, either directly or through health plan premiums. In Europe the government negotiates drug prices, because they are working to lower costs to benefit their citizens and reduce spending. It’s the difference between healthcare for profit or Continue reading →

Gary Johnson wants to cut 43% from Medicare and the Defense Dept., end the senior drug benefit, eliminate student loans, and stop taxing the rich

GoofyGary

Is the grass always greener?

It was a simple question to Gary Johnson in a 2012 interview, while running for President as the Libertarian candidate: How do you stop the deficits and out of control spending?

The answer from Johnson, who is currently managing 6% to 10% voter support in national polls:

A: Well, cutting $1.675 trillion from the federal government. You got to start out by talking about (cutting) Medicare and Medicaid by 43 percent. They could block grant the states, 50 laboratories of innovation. Give it to the states to deliver health care to the poor and those over 65 and do away with the strings. Do away with that regulations; let states handle it. There would be best practices emerge. Other states would emulate the best practices. They’re be failure. States would avoid the failure.

Johnson also wants to eliminate the Federal Income Tax, which would require huge program cuts in the federal budget to pay for it. His revenue solution would be a national 23% sales tax, plus virtual elimination of the earned Medicare benefit (now paid for by workers with a payroll tax). Continue reading →

How a Medicaid divorce can save you millions.

Leave it to the scions of Washington D.C. to break up middle class marriages.

Under current law if your spouse enters a nursing home, both of you are obligated to pay for care. With an average Social Security check at about $14,000, the cost of a nursing home is impossible to pay out of current income. Most folks dip into savings.

But even a family with say, $400,000 saved over a lifetime, will see that money rapidly disappear because nursing home care is not covered by Medicare. You have to pay 100% of the costs.

To give you better sense of these expenses the states with the most expensive median annual rate for a single person’s private room bed in a nursing home:

  1. Alaska – $259,515
  2. Connecticut – $158,775
  3. Massachusetts – $139,430
  4. New York – $136,510
  5. Hawaii – $135,050

The states with the least expensive median annual rate for a single person’s private room bed in a nursing home:

  1. Oklahoma – $60,225
  2. Missouri – $60,955
  3. Louisiana – $62,050
  4. Kansas – $65,700
  5. Arkansas – $65,700

Double all the above numbers for two persons.

The table below shows the range of costs by state in 2015 of the daily rate for a private room. Continue reading →

$6,000 healthcare deductible lowers birth rate in the U.S. and keeps many from marrying

Some pundits have recently commented on other blogs that the birth rate seems to be declining among middle class citizens.

In my opinion much of this terrible trend is caused by economics – newly minted healthcare insurance plans that no longer just require co-pays, but have a huge first contribution.
When a family has to pay the first $6,000 in healthcare costs in a year – having a baby is suddenly a very expensive proposition, especially if you are below the median $32,000 annual earnings level.
It doesn’t impact Medicaid pregnancies for the poor (virtually no cost), nor do the rich consider $6,000 much more than chump change.
A single plan doesn’t cover any costs of pregnancy. And if you get a family plan when already pregnant, it doesn’t cover childbirth or its complications, if any.
So, it is not just inequality of income that is threatening to destroy the middle class, it is the extreme costs of having a baby, even with insurance.
Another result of this high healthcare pregnancy cost is its affect on marriage rates. A single woman with no income qualifies for Medicaid, which pays for her childbirth at no real cost to her. If married most women would find that their husband’s income raises their family to a level that does not qualify for Medicaid. Not surprisingly, folks figure out what is best for their finances and don’t get married, as shown by declining marriage rates.

White House and New Democrat Coalition – cut Medicare to subsidize world’s worst health plan

The new insanity is that instead of passing healthcare for all at no cost – the world standard – nitwits in Congress and the White House have decided to rape Medicare.

One of the targets is home health care. The cuts are major and since the people involved are housebound, there is no danger of them storming the gated communities in rage. They will just die from neglect.

Here’s a report from NY Times:

As they are across the nation, Medicare patients and nurses in this town in northern Maine are anxiously following the Congressional debate because its outcome could affect Medicare’s popular home health benefit in a big way. The legislation would reduce Medicare spending on home health services, a lifeline for homebound Medicare beneficiaries, which keeps them out of hospitals and nursing homes.

Under the bills, more than 30 million Americans would gain health coverage. The cost would be offset by new taxes and fees and by cutbacks in Medicare payments to health care providers. Home care shows, in microcosm, a conundrum at the heart of the health care debate. Lawmakers have decided that most of the money to cover the uninsured should come from the health care system itself. This raises the question: Can health care providers reduce costs without slashing services?

Under the legislation, home care would absorb a disproportionate share of the cuts. It currently accounts for 3.7 percent of the Medicare budget, but would absorb 10.2 percent of the savings squeezed from Medicare by the House bill and 9.4 percent of savings in the Senate bill, the Congressional Budget Office says. The House bill would slice $55 billion over 10 years from projected Medicare spending on home health services, while the Senate bill would take $43 billion.

Max Baucus, Kent Conrad, Rahm Emanuel and the Blue Dog Democrats and the New Democrat Coalition have engineered this as part of their War on Elderly, also know as Operation Enduring Misery.

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