Nearly 4M to pay health insurance fine by 2016  |
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| WASHINGTON - Nearly 4 million Americans — the vast majority of them middle class — will have to pay the new penalty for not getting health insurance when President Barack Obama's health care overhaul law kicks in, according to congressional estimates released Thursday. The penalties will average a little more than $1,000 apiece in 2016, the Congressional Budget Office said in a report. Most of the people paying the fine will be middle class. Obama pledged in 2008 not to raise taxes on individuals making less than $200,000 a year and couples making less than $250,000. Story continues below ?advertisement | your ad here Republicans have criticized the penalties, even though the idea for a mandate was originally proposed by the GOP in the 1990s and is part of the Massachusetts health care plan signed into law in 2006 by then Gov. Mitt Romney, a Republican. Attorneys general in more than a dozen states are working to challenge the mandate in federal court as unconstitutional. "The individual mandate tax will fall hardest on Americans who can least afford to pay it, many of whom were promised subsidies by the Democrats and who the president has promised would not pay higher taxes," said Rep. Dave Camp of Michigan, the top Republican on the tax-writing House Ways and Means Committee. Democrats argue the mandate and the penalties are a necessary part of a massive overhaul designed to expand coverage to millions who now lack it. They point out that getting young, healthy Americans in the insurance pool will reduce costs for others. Americans who don't get qualified health insurance will be required to pay penalties starting in 2014, unless they are exempt because of low income, religious beliefs, or because they are members of American Indian tribes. The penalties will be fully phased in by 2016. About 21 million nonelderly residents will be uninsured in 2016, according to projections by the CBO and the Joint Committee on Taxation. Most of those people will be exempt from the penalties. Under the new law, the penalties will be phased in starting in 2014. By 2016, those who must get insurance but don't will be fined $695 or 2.5 percent of their household income, whichever is greater. After 2016, the penalties will be increased by annual cost-of-living adjustments. People will not be required to get coverage if the cheapest plan available costs more than 8 percent of their income. The penalties will be collected by the Internal Revenue Service through tax returns. However, the IRS will not have the authority to bring criminal charges or file liens against those who don't pay. About 3 million of those required to pay fines in 2016 will have incomes below $59,000 for individuals and $120,000 for families of four, according to the CBO projections. The other 900,000 people who must pay the fine will have higher incomes. The government will collect about $4 billion a year in fines from 2017 through 2019, according to the report. http://www.msnbc.msn.com/... | | | | | |
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1. spalladino (11857)
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2 years ago
| | I'm not in favor of the mandate but I also don't like the twist of this report. How did they come up with this estimate? I also question this part: "The individual mandate tax will fall hardest on Americans who can least afford to pay it, many of whom were promised subsidies by the Democrats..." Have the subsidies to help offset the cost of insurance gone away and I missed that? (This is a serious question.) | | | | | | |
lilwonders456 (3526)
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2 years ago
| | The subsidies fall short. They knew it when they did it that they would fall short and people would fall through the cracks. But they wanted to keep costs down so they let them fall through. | | | |
laglen (7665)
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2 years ago
| | Thats why I posted the story from msnbc. I didnt want every body to say that Fox is biased so it isnt true. I think the subsidies they are referring to would be the Corn husker kickback, louisiana purchase, etc. | | | |
spalladino (11857)
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2 years ago
| | Well, that stinks. Maybe the lack of subsidies will help defeat the mandate in court. | | | |
lilwonders456 (3526)
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2 years ago
| | Lets hope so Spalladino. Not only is the mandate unconstituational. But because the bill failed to keep people from falling through the cracks...I think it is unethical. the voted for the bill WITH the mandate knowing people would fall through the cracks. that is beyond wrong. If they could not close the gap...they should have taken the mandate out. | | | |
spalladino (11857)
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2 years ago
| | I agree with you. Although I am in favor of healthcare reform, I've never supported the mandate because, yes, it is uncostitutional. I don't want this bill to make things worse for anyone. | | | |
laglen (7665)
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2 years ago
| | You know, they say it isnt perfect but really? That mandate will be catastrophic for a lot of people. | | | |
TTCCWW (337)
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2 years ago
| | The fines on the mandates are adjusted by income.. This was not the perfect fix but it was a beginning. I am trying to figure out why the public option was such a heated idea, it works in many country's and would have solved more of these problems. Oh, I forgot, the insurance companies did not like the publis idea. Money, money , money. | | | |
laglen (7665)
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2 years ago
| | No actually alot of tax paying citizens did not like the public option. I am not big on Government holding a monopoly. | | | |
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laglen (7665)
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2 years ago
| | Change we can believe in?? | | | |
lilwonders456 (3526)
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2 years ago
| | part of me wants to think they are doing it on purpose so they can get the fine money. | | | |
laglen (7665)
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2 years ago
| | well yes. They have to have revenue to pay for there pork. This is one of the ways they plan to pay for the reform. They made no bones about that. | | | |
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3. randylovesdar (2696)
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2 years ago
| | I know that this health care has me scared. My husband works part-time and I am currently not working. The ecomony has hit us badly and I am afraid that if we are required to get health insurance then it may come to the point where we need to decide between health insurance and paying the mortgage. Of course my husband and I would have to pick the mortgage because we need a roof over our heads. This is extremely unfair. My husband and I tried to get Medicade, but unfortuately since I am not pregnant and neither is he we are not eligible. (We tried getting it for my husband and the case worker had the nerve to tell us that he was ineligible because he is not pregnant. I asked her since when do men get pregnant. | | | | | | |
laglen (7665)
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2 years ago
| | lol you should have told her that yes he was. | | | |
Celanith (2274)
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2 years ago
| | randyloversdar. I am 60, hubby 61 and he is on Social Security disability and is allowed to make up to $920 with part time work as he feels up to do it each month. He works about 6- 8 days a month to help suppliment what his SSD does not cover. It is still not enough. I have Fibromyalgia and severe arthritis and a homemaker for 40 years. We can't even buy food. My daughter helps with food for us and I baby sit for her. Other wise we would not even have enough to eat as the food bank gives us what they feel is adequate for a month but in reality is is enough for about a week and a half and much of it I can't eat due to dietary restrictions. We too have a mortgage and with insurance and taxes going up we are paying more. I have no health insurance and cannot afford it. Nor can I get any mediare because hubby works those few days a month so we can afford to pay the utilities and mortgage and keep the car licensed and gas, oil and tires on it. We live rural 20 miles out. He has to have satellite connection for his work as all jobs now are obtained via the computer. No computer no work. Same for a cell phone. So we must have those things. We don't have t.v or newspaper or magazines and we don't go out to eat unless invited and we don't have to pay. I had to get a tooth fixed a few days ago it broke so went to the community college as it is only $65 and I hurt my knee pulled ligaments this past weekend but no doctor, just rest, ice, heat and using crutches we got years ago at a yard sale. We make do and do without. This plan they have is unconstitutinal because it is going to make people criminals that are poor and fall between the cracks and thus create debtors prison like in Merry Ole England before the American Revolution. Many who were criminals in England were just poor people who could not pay their taxes or bills. They were thrown in prison and eventually shipped to the colonies like United States, Canada and Australia. So we have about come full circle and so much for our laws. This is why lawsuits are being filed by the states and tea parties are being formed and the government is training special forces for what they know is planned to be incited riots for mob control and so martial law can be declared it is all part of the plan. When this is done we have a dictator ship not a free nation. It is coming. Some say as early as this fall and if not then by the 2012 elections. | | | |
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4. k15682 (169)
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2 years ago
| | I'm not understanding this whole healthcare debate. When I was raising kids health insurance was not a luxury, it was a necessity. I know a couple with 3 small children and they have no health insurance. They make too much for the freebie insurance, refuse to pay for insurance through their employers but yet they pay $900 a month for vehicle payments. I suspect there are many families like this that are doing the whining about this healthcare bill. Unfortunately common sense has to be mandated more and more in this country. | | | | | | |
laglen (7665)
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2 years ago
| | But it is MY choice if I want to purchase health care. If I want to spend my money on cars, it is MY money therefore MY choice. | | | |
Celanith (2274)
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2 years ago
| | I have not bought a new car ever in my life of being married 40 years and not even a second or third hand one in ten years. My clothes are second and third hand, freecycle, yard sale or thrift shop or given by friends. We get $1100 per month, $620 goes to mortgage, daughter buys our food for my babysitting for her. We have auto insurance, satellite internet connection and cell phone for hubby for his part time work so we can afford to keep paying our mortgage and electric bill and landline phone. Our cell phone does not work where we live but hubby has it in town as his work requires it and they require he has internet connection. After utilities, mortgage, phone and personal hygine, auto insurance, gas and oil and upkeep and tabs and $159 for hubbys student loans. We have about $100 left for either food, clothing or health care. We don't have one cent left for any luxury items and I know of others in the same boat and they are not driving new or even second hand cars or wearing new clothing or have new furniture or appliances or anything. Small children cost money, diapers, special food, they grow out of clothing and shoes fast and day care is expensive as well. You don't even have a clue k15682. Often employers insurance is higher than their budget allows with expenses. True the vehicle payments are rather higher than I would ever pay. I would dumb the costly car and find an ugly but reliable cheap car to drive. If they can afford to eat out and feed pets and go to movies, kids are in scouts or something then they are sure a lot better off than a lot of families I know with kids. | | | |
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5. Taskr36 (6782)
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2 years ago
| | This doesn't surprise me in the least. I thoroughly expected this as did most people who weren't blinded by the "awesomeness" of Obama. It's no mistake that this is set to get ugly in 2016. At that point, if not sooner, we'll have a republican president. All the blame for this will fall on him/her since that's who will be in office when it happens. | | | | | | |
laglen (7665)
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2 years ago
| | Will we still be able to blame Bush? | | | |
Celanith (2274)
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2 years ago
| | Not if Obama declares martial law first which may well happen | | | |
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6. hofferp (2894)
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2 years ago
| | My sister died in 2004; her husband died in 2006. They left three kids (now 26, 32 and 33). Only one of those three have health insurance. When all is said and done in 2014, 2016, I expect they'll still be uninsured... The "bright" side, if they're not getting better wages than they are now, they'll be exempt from the penalties because of low income. (And I was the one that talked my nephew and niece in to voting last time...and which way do you think they voted?) | | | | | | |
laglen (7665)
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2 years ago
| | stepped in it did ya? | | | |
hofferp (2894)
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2 years ago
| | Yeah, I have some work to do, especially on my nephew...the youngest one. He calls everyday from NYC, where he lives, and I'm slowly working on him. He's turning out pretty good... Now, if I can get him to vote, routinely/regularly, based on all the issues. (Played golf today. It rained, sleeted, blew like crazy...and I played poorly. Had to come home and take a nap before my dinner company came over.) | | | |
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hofferp (2894)
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2 years ago
| | How did you know I really go for the beer? To heck with the golf... Went and played golf again yesterday. Much nicer day and I played much better and it wasn't too cold to drink beer. Yeah, I tell my nephew the situation is bad and he can't count on state aide. He knows it and is going to go to school this fall. He's not going to finish college, like I would like him to, but he's going to go to hair and make-up school (Aveda). It's an honest living, so I'm encouraging him to do it. He's always been interested in the arts -- fashion, make-up, graphic arts, etc. So I'm telling him to go for it. | | | |
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hofferp (2894)
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2 years ago
| | I don't know about that...I've seen people fall out of the cart leaning over to pick up a ball. Not me of course. I'm too short to reach...I always have to get out to get my ball. What are your plans for this beautiful Sunday morning? | | | |
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hofferp (2894)
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2 years ago
| | I hope we get to see it before you send it off. It'll probably win a Pulitzer. | | | |
laglen (7665)
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2 years ago
| | lmao! I did mention two weeks of art class? | | | |
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laglen (7665)
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2 years ago
| | Thank you so much for your vote of confidence! | | | |
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7. kennyrose (5047)
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2 years ago
| | Well let's look on the bright side the way Obama and his corrupted gang is raping our country 24-7 won't be much longer most the middle class won't have a job which means no income which means they all are at the mercy of the government for their daily bread. They will get FREE health care so the unemployed will not be fined. The better off who is expected to carry 95% of the people are dumping their money as well as their treasures,some are turning it in to cash and burying it in unknown places. Other's better off are leaving the country taking their business with them. In my opinion what will be left is the poor begging people and the government can't get much out of them unless it will be their blood. People with higher incomes will buy in to some health care insurance after all they are use to paying for what they have in life. It is expected 40-50% of our doctors will hang it up and with them doctor's goes nurses and lab people. Oh my gosh it will be one hell of a gigantic mess lesser doctors and nurses and millions of people dumped in the system. Obama promised not raise tax on the middle class on their state and federal,people that lapped that up now are seeing to pay for all the Obama administrations social programs they will rise tax on just about every thing under the sun. I'm so happy I have never bought in to the Obama lie and I never voted for this night mare soon to face the American people ~M~ M ~ M ~ Barack Hussein Obama. | | | | | | |
laglen (7665)
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2 years ago
| | I am still waiting for him to buy my gas for my car.... This will only get messier. I wanted to post this for the people that supported the bill. I specifically picked a liberal site to get my link so they couldnt claim Fix bias. | | | |
Celanith (2274)
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2 years ago
| | Sounds like a big invitation for famine, pestilance and disease to come in. | | | |
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8. unique16 (1385)
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2 years ago
| | Hello Laglen, I saw this article too. It is shame these people will get fines. Especially the middle class people who have children in college or college and at home. It does not even matter if you single or married. To be hit these fines is hard for anyone and the IRS being the watch dog. What till court sytems get filled up with these cases and prisons etc... they will see how nutty this is... when we have crimes going on in our cities and people dieing etc... Thanks and have a great weekend Sincerely Unique16 | | | | | | |
laglen (7665)
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2 years ago
| | Cant wait to be sitting in a jail cell telling the drug addict beside me that I am in for not having health insurance. | | | |
Celanith (2274)
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2 years ago
| | And to add insult to injury Obama wants to give amnisty to several million ILLEGAL aliens. Who get lots of freebies and we get to pay for their health care too. Oh wait I will probably be in jail with you. Where they gonna put us all the jails are already full, you can fine people but how do you collect something someone doesn't have. I don't think they have at all realized how stupid this is and is not going to work. Maybe we will all be rounded up and put in concentration camps. Then they can force needles on us and pills down our throats and monitor us day and night. | | | |
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9. Celanith (2274)
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2 years ago
| | Collect from who? If I cannot afford medical how am I going to afford a fine on top of not affording medical? And it is against my relgious beliefs and I am low income we make less than $20,000 per year. Maybe I can get an Indian tribe to adopt me I know a lot of Yakima, Spokane and Colville and Couer d Alene Indians. I am part Blackfoot too. Maybe I should get a DNA test to see if I qualify for belated enrollment. This is stupid. It is not going to work. | | | | | | |
laglen (7665)
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2 years ago
| | If it is against your religion, your are exempt. I was thinking about starting my own! or becoming Amish - I could do it! | | | |
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10. EvanHunter (2233)
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2 years ago
| | What middle class? We live in the new America there isn't one. | | | | | | |
laglen (7665)
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2 years ago
| | there is your redistribution at work! how do you like your hope and change? | | | |
Celanith (2274)
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2 years ago
| | I would like to know why you think we don't have a middle class EvanHunter. I know we do I hear this all the time from people that make $40,000, $50,000 and up who have decent cars, can afford to buy food, have a college fund for their kids, nice furniture and if they are over extended on credit it is because they let greed not need control their finances. I also know many struggling with children after health problem set in or job loss and have not worked for 2-3 or 5 years or only sporadically living on under $20,000 and barely surviving or moving in with family to make it. Then you have those who make over $100,000 or better, Yes there is a middle class. I am tired of middle class people whining and say there is not one when obviously there is. I see lots of people still driving nice new shiny cars and shopping like no tomorrow and going on nice vacations. They are not rich but they sure the heck are middle class. While those who are truly poor but not homeless, make do, do without and vacation is a trip to a nearby lake to swim or fish and picnic on tuna sandwiches. The kids fish, the parents don't they just help bait the hook and stand nearby because they cannot afford a license. They go to the library to check out videos because they cannot afford to go to the cinama or even buy or rent a dvd, Eating out is a rare treat usually when someone else invites them to eat out and pays and birthdays are dollar store, hand made or regifted handed down toys or yard sale items. Do NOT tell me there is no middle class and some of the poor fall between the cracks they make a couple dollars too much to get help from assistance but not enough to buy their own insurance or have any health care. I know personally people from both classes of people and that does NOT count the homeless who choose to be and are drug addicts or alcholics but worse it does not count the new homeless who have children, lost their job, lost their rental home and live out of cars, tents or family is split up among shelters and at least one parent working at a McDonalds paying mininmum wage but not enough to get a rental with, rents have soared and aced many literally out of their homes and some lost their home they were buying and can't afford to rent either. So there is a middle selfish class who pretends that there is not one but they do not want to help others so they insist there is no middle class and it is a lie. These same people jump on the band wagon to donate dollars to other countries like Haiti or Chili after an earthquake or other places but turn their noses up the plight of their neighbors and fellow citizens at home on American shores and I am not talking about illegal immigrants who get a lot of freebies. America is broken because of greed, selfishness and indifference not to mention immorality and godlessness | | | |
EvanHunter (2233)
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2 years ago
| | Sure we have lots of stuff but how much debt do we have and how much of that stuff do we actually own not whats just owned by the bank? 30 years ago you could pay for a car in less than 3 years, 20 years ago 4-5 years, now we are up to 7 years to pay for the new vehicle you buy that wont even last the full warranty that's on the vehicle. Most every problem you have pointed out is caused by upper class. Only 6% of the population makes over 100k a year in the untied states, the average family income has been less since 2000. The trade deficit with china and NAFTA will put an end to the middle class its only a matter of time. There is no way that American workers can compete with billions of people who are literally working for slave labor. If you don't think that there is a organized plan to destroy the middle class than do the research yourself on incomes and cost of living over the past 10-30 years . Or maybe you are one of those people that think that well prices will drop when we Americans work for less, since 2000 we have worked for less and prices on vehicles, housing and food have still risen. As the old saying goes the poor get poorer and the rich get richer, "middle class" is just term for a numbers racket so people don't wake up and realize how we are getting ripped off by the rich and elite. Ever wonder why the definition of low income/poor has barely risen in income when inflation and cost of living has grown by leaps and bounds? Its to make us think we are doing alright when in reality they are sticking it to us. Not to mention to make the same income both parents now have to work compared to 50 years ago when most families were single income. Its not a question of what you have that you owe for its what do you have that you don't owe and in today's terms that's far less than 50 years ago. | | | |
laglen (7665)
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2 years ago
| | It is a thin line to middle class. It takes one company to lay off and BAM you are not middle class anymore. The majority of the middle class is so overextended in credit now, that one or two months and they will lose their homes. People do not buy homes then stay, they take one mortgage after another, buy new cars every 5 years or less. My ex-husband constantly buys new stuff then put the old loans on his new ones. Can you imagine paying for a boat that you sold 5 years ago for less than you owed? That is just nuts! I do not get this mind set. I pay cash for everything. I paid off and canceled my credit cards ten years ago and now refuse all credit. I own my vehicle. I do have a very small mortgage that we will have paid in ten more years then thats it! So when the economy tanks, I do not have the problems others do. But to reiterate, the middle class is dangerously close to extinction. | | | |
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