Friday, December 2, 2016
How Much Will ACA, SS Repeal Cost You?
"Under the proposal, a typical 65-year-old retiring in 2022 would be expected to devote nearly half their monthly Social Security checks toward health care costs, more than double what they would spend under current Medicare law,” says a Kaiser Family Foundation assessment. Medicare eligibility age would rise to 67 from 65, and the elderly will be required to contribute more of a small, fixed income toward health care. Of as much importance as anything else, however, is that it would repeal the government's mandate to negotiate prescription drug prices. That is a direct collapse before Big Pharma, whose profits would soar.
The Congressional Budget Office has concluded, "... the total cost of providing health care benefits (premium and other costs) to a typical 65-year old in a private plan would be about $20,500 in 2022. The government would contribute $8,000 or 39 percent toward the total cost, and the remaining $12,500 would be paid by the beneficiary. The CBO projects that out-of-pocket costs for the typical 65-year old would be more than twice as large under the proposal [as] under traditional Medicare ($5,630) in 2022, because the cost of providing benefits is greater under private plans than under traditional Medicare."
Kaiser has found "that for the average senior who receives ... $2,130 per month in Social Security benefits (in 2022, the year Ryan's plan would begin), a retiree would have to pay $1041.66 of that income for their healthcare." I depend heavily on Social Security (and Medicare) to live and that outlay would be devastating. My guess is that many elderly people would die because of the collapse of their income and Medicare coverage, which not only helps with treatment, but also--and as importantly--prevention.
(Graphic: Kaiser Family Foundation.)