Now, let's put this in perspective...WASHINGTON – President Barack Obama's health care law would let several million middle-class people get nearly free insurance meant for the poor, a twist government number crunchers say they discovered only after the complex bill was signed.
The change would affect early retirees: A married couple could have an annual income of about $64,000 and still get Medicaid, said officials who make long-range cost estimates for the Health and Human Services department.
Up to 3 million more people could qualify for Medicaid in 2014 as a result of the anomaly. That's because, in a major change from today, most of their Social Security benefits would no longer be counted as income for determining eligibility. It might be compared to allowing middle-class people to qualify for food stamps.
We're not talking about Medicare here. Why? Because not all early-retirees are old enough to qualify for Medicare insurance. As such, they're in limbo as far as their health insurance is concerned. As an early retiree, they'd lose their health insurance as provided by their previous employer. Yes, they'd be eligible for COBRA, but as most people know COBRA (and SOBRA) are extremely expensive insurance plans. Thus, even if an early retiree were to find themselves as "empty nesters" - middle-aged individuals whose homes may be paid for (or nearly paid off) or whose children have grown up and moved out, having no pension plan that includes continued health insurance at a reasonable price at or near what they were paying while employeed will very likely place these people in great financial hardship even as early retirees.
Now, those who are jumping off the cliff over "middle-aged former working class Americans having to pay into Medicaid" are just being partisan. Think about how the Medicaid system works...
It is a joint-venture insurance program between the Federal government, the state, the individual and the health care provider. The Fed and the States pay equal amounts into the Medicaid system. The client pays a co-pay to Medicaid and the health care provider either accepts the bill in whole or on a sliding fee scale. Either way, the client still has to pay something towards the health care treatment he/she receives. In short, IT'S NOT FREE MEDICAL CARE! Now, for the down side of not allowing this "rider" to happen w/early retirees...
They run the risk of going bankrupt. Let's say we have an early retiree of age 55, he can't qualify for Medicare until at 62.5 at the earliest. His health insurance from his previous employer jumps up from $275/mo. to $425 - it nearly doubles!!! He has no children living with him, his spouse was a stay-at-home mom being responsible for raising her children and keeping a household (home schooling and all because that's what many Conservatives claim is a better way to educate our children as opposed to sending them to public schools). He has a 401K plan from his job...for argument sake let's say it's worth $100,000. Seems like alot of money, right? A retired person should be able to live off that for a very long time. But...
How much is real cost-of-living these days? How much does it take an individual to live on for a full year? According to 2009 Census data (which was the most current info I could find), the average median income in the U.S. was $50,221. Using my $100K example of an individual's 401K plan investment earnings (a figures I openly admit is an example and may not be the average for most middle-class wage earners), you can see that over half of an early retiree's networth may very well get drawn down by his cost-of-living alone.
Think it through, people...put your selfishness and partisanship aside long enough to get the facts, learn the truth and care alittle.
Last edited by Objective Voice; 06-23-11 at 11:47 AM.
The road to Hell and the road to Jahannam is the same damn road.
I became a conservative by being around liberals. I became a libertarian by being around conservatives. ~ Greg Gutfeld.
Also you leave out responsibility in the example .. are you going to retire at age 55 .. if you can't afford to live and need government assistance ? Just another shining example of your liberal thinking process .. hell just give help to anyone that is too dumb or lazy to take care of themselves
Last edited by The Barbarian; 06-23-11 at 11:26 PM.