Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
It is not any different for ACA enrollees anyway. They do not get a "subsidy" either using that posters logic. They get a tax credit for part of the insurance cost. They pay less tax in the amount of the so-called subsidy. In reality, the government lets them keep more of their own money to offset the cost of the insurance. It is virtually identical to the tax break people in employer plans get.
Exactly. Thank you for putting it much more succinctly than I did.
Then the "words" they used to sell this worked on you.
"Tax credit" vs "means tested government subsidy".
Tax exemption means government subsidy too. In the case of employer heath insurance it is not means tested. It should be at least to make it fairer with individuals who have to buy their own insurance. Not only do the employer insured get tax subsidies for their insurance costs, they also get subsidies to put money in FSAs to avoid tax on medical costs that the rest of us have to pay out of after tax income. Let's be intellectually honest here and quit playing with semantics and timelines: it is welfare either way.
Tax exemption means government subsidy too. In the case of employer heath insurance it is not means tested. It should be at least to make it fairer with individuals who have to buy their own insurance. Not only do the employer insured get tax subsidies for their insurance costs, they also get subsidies to put money in FSAs to avoid tax on medical costs that the rest of us have to pay out of after tax income. Let's be intellectually honest here and quit playing with semantics and timelines: it is welfare either way.
It's always about "being fair".
It's share the wealth, socialism.
Socialism ends with 2 classes..the rich and everyone else and the "everyone else" doesn't mean upper middle class.
Corporates don't get "subsidies". Those are expenses they write off.
They are not getting additional money from the government..they pay less taxes.
It's always about "being fair".
It's share the wealth, socialism.
Socialism ends with 2 classes..the rich and everyone else and the "everyone else" doesn't mean upper middle class.
Corporates don't get "subsidies". Those are expenses they write off.
They are not getting additional money from the government..they pay less taxes.
I borrowed a few words from you: Individuals don't get "subsidies". They are not getting additional money from the government..they pay less taxes.
But wait! Employees don't even count those premium payments as income. What a racket! They pay less taxes too. Individuals get a tax break and now you scream welfare. There is some very self-serving logic at work here.
I borrowed a few words from you: Individuals don't get "subsidies". They are not getting additional money from the government..they pay less taxes.
But wait! Employees don't even count those premium payments as income. What a racket!
Employers have to spend the money and then write it off a year later.
That is not what ACA subsides are so they are not similar.
You are getting money before you earned it, spent it and claim it on your taxes.
Individuals ARE getting money from the government up front.
Employers have to spend the money and then write it off a year later.
That is not what ACA subsides are so they are not similar.
You are getting money before you earned it, spent it and claim it on your taxes.
It is no less a welfare handout than giving a tax break to individuals who buy on an insurance exchange. There is no point in discussing it further because you are being completely illogical and reaching beyond the bounds of reason to make a distinction that does not exist.
Employers have to spend the money and then write it off a year later.
That is not what ACA subsides are so they are not similar.
You are getting money before you earned it, spent it and claim it on your taxes.
Individuals ARE getting money from the government up front.
I am beginning to wonder if you do not understand how the ACA works. The person signing up for insurance never sees any money except possibly at the end of the tax year when they file. When you sign up and are getting a tax credit for your premium, you can choose to pay the full premium and get it all back as a credit on your return (THE NEXT YEAR) or to have it applied to your premium to reduce the monthly payment. The government pays the insurer the tax credit amount. I dont know if that is monthy, quarterly, annually or what.
I am beginning to wonder if you do not understand how the ACA works. The person signing up for insurance never sees any money except possibly at the end of the tax year when they file. When you sign up and are getting a tax credit for your premium, you can choose to pay the full premium and get it all back as a credit on your return (THE NEXT YEAR) or to have it applied to your premium to reduce the monthly payment. The government pays the insurer the tax credit amount. I dont know if that is monthy, quarterly, annually or what.
The amount of "credit" they get up front is based on their estimated 2014 salary.
And that's supposed to be verified ? What company is going to verify a future estimated salary ?
Who besides the government hands out money based on what you "think" you will earn next year ?
And they can't be held accountable for "estimates" can they ?
oops..I guess wrong.
How does the IRS plan to check EVERY individual tax return next year to VERIFY all this ?
I got a whole lot of popcorn ready to sit back and watch.
ACA is for people who cannot afford insurance today and you think they will pay the entire premium ?
What you will have are the old and sick signing up in droves compared to the younger workers.
ACA premiums will have no choice but to rise. Plans outside of ACA can limit risk pools and will start attracting the healthy. Then what will you do ?
This has already been brought up by the government. I'm sure there's some paper buried in the Federal Register about their plans but no one has uncovered it yet.
I am beginning to wonder if you do not understand how the ACA works. The person signing up for insurance never sees any money except possibly at the end of the tax year when they file. When you sign up and are getting a tax credit for your premium, you can choose to pay the full premium and get it all back as a credit on your return (THE NEXT YEAR) or to have it applied to your premium to reduce the monthly payment. The government pays the insurer the tax credit amount. I dont know if that is monthy, quarterly, annually or what.
You do understand if you purposely under report your income and receive a "credit". That the government won't even ask for the full money back at tax filing for the following year.
If employer under pays taxes IRS goes after them.
That's how flawed this law is.
Also if someone with EITC owes money from not getting insurance. The IRS cannot deduct their EItC money.
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
