Dang those stupid Republicans for fighting ObamaCare, and in the process depriving us all of non-essential government serv — excuse me one moment. I have just been handed a piece of paper. Pardon me while I read it.
. . . .
OK, there is a news article stating that people should consider lowering their income to get cheaper health care:
People whose 2014 income will be a little too high to get subsidized health insurance from Covered California next year should start thinking now about ways to lower it to increase their odds of getting the valuable tax subsidy.
“If they can adjust (their income), they should,” says Karen Pollitz, a senior fellow with the Kaiser Family Foundation. “It’s not cheating, it’s allowed.”
Under the Affordable Care Act, if your 2014 income is between 138 and 400 percent of poverty level for your household size, you can purchase health insurance on a state-run exchange (such as Covered California) and receive a federal tax subsidy to offset all or part of your premium.
A real life example:
For older people, getting below the 400 percent poverty limit could save many thousands of dollars per year.
Take, for example, Jacqueline Proctor of San Francisco. She and her husband are in their early 60s. They have been paying $7,200 a year for a bare-bones Kaiser Permanente health plan with a $5,000 per person annual deductible. “Kaiser told us the plan does not comply with Obamacare and the substitute will cost more than twice as much,” about $15,000 per year, she says.
This new plan, Kaiser’s cheapest offering for 2014, would consume about 25 percent of their after-tax income. The new plan still has a $5,000 deductible but provides coverage for things her current policy does not, such as maternity care, healthy child visits and coverage for dependents up to age 26. Proctor has no use for such coverage, since her son is 30.
If you like your health care, you can keep it.
The article goes on to explain that if the couple can lower their income a couple thousand dollars, they will be eligible for a subsidy worth $14,000-15,000 per year.
So, let’s sum up.
Individuals, if you make more money, you will lose in the end because you will not be eligible for subsidies.
Companies, if you expand and employ people full time, you will lose in the end because you will be forced to pay for health insurance for your employees.
But none of this will keep people from improving their income or expanding their businesses.
Where was I?
Dang those stupid Republicans for fighting ObamaCare, and in the process depriving us all of non-essential government services . . .
UPDATE: See the update to this post for evidence that the cliff is not as sudden as portrayed in this article.