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#1385557 - 01/31/13 10:12 PM IRS: Cheapest Obamacare Plan $20,000 Per Family
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Registered: 01/16/12
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IRS: Cheapest Obamacare Plan Will Be $20,000 Per Family
January 31, 2013
By Matt Cover





(CNSNews.com) – In a final regulation issued Wednesday, the Internal Revenue Service (IRS) assumed that under Obamacare the cheapest health insurance plan available in 2016 for a family will cost $20,000 for the year.

Under Obamacare, Americans will be required to buy health insurance or pay a penalty to the IRS.

The IRS's assumption that the cheapest plan for family will cost $20,000 per year is found in examples the IRS gives to help people understand how to calculate the penalty they will need to pay the government if they do not buy a mandated health plan.

The examples point to families of four and families of five, both of which the IRS expects in its assumptions to pay a minimum of $20,000 per year for a bronze plan.

“The annual national average bronze plan premium for a family of 5 (2 adults, 3 children) is $20,000,” the regulation says.

Bronze will be the lowest tier health-insurance plan available under Obamacare--after Silver, Gold, and Platinum. Under the law, the penalty for not buying health insurance is supposed to be capped at either the annual average Bronze premium, 2.5 percent of taxable income, or $2,085.00 per family in 2016.

In the new final rules published Wednesday, IRS set in law the rules for implementing the penalty Americans must pay if they fail to obey Obamacare's mandate to buy insurance.

To help illustrate these rules, the IRS presented examples of different situations families might find themselves in.

In the examples, the IRS assumes that families of five who are uninsured would need to pay an average of $20,000 per year to purchase a Bronze plan in 2016.

Using the conditions laid out in the regulations, the IRS calculates that a family earning $120,000 per year that did not buy insurance would need to pay a "penalty" (a word the IRS still uses despite the Supreme Court ruling that it is in fact a "tax") of $2,400 in 2016.

For those wondering how clear the IRS's clarifications of this new "penalty" rule are, here is one of the actual examples the IRS gives:

“Example 3. Family without minimum essential coverage.

"(i) In 2016, Taxpayers H and J are married and file a joint return. H and J have three children: K, age 21, L, age 15, and M, age 10. No member of the family has minimum essential coverage for any month in 2016. H and J’s household income is $120,000. H and J’s applicable filing threshold is $24,000. The annual national average bronze plan premium for a family of 5 (2 adults, 3 children) is $20,000.

"(ii) For each month in 2016, under paragraphs (b)(2)(ii) and (b)(2)(iii) of this section, the applicable dollar amount is $2,780 (($695 x 3 adults) + (($695/2) x 2 children)). Under paragraph (b)(2)(i) of this section, the flat dollar amount is $2,085 (the lesser of $2,780 and $2,085 ($695 x 3)). Under paragraph (b)(3) of this section, the excess income amount is $2,400 (($120,000 - $24,000) x 0.025). Therefore, under paragraph (b)(1) of this section, the monthly penalty amount is $200 (the greater of $173.75 ($2,085/12) or $200 ($2,400/12)).

"(iii) The sum of the monthly penalty amounts is $2,400 ($200 x 12). The sum of the monthly national average bronze plan premiums is $20,000 ($20,000/12 x 12). Therefore, under paragraph (a) of this section, the shared responsibility payment imposed on H and J for 2016 is $2,400 (the lesser of $2,400 or $20,000).”

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#1385566 - 01/31/13 11:10 PM Re: IRS: Cheapest Obamacare Plan $20,000 Per Family [Re: ]
Lucinda Knotts Offline
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Registered: 01/11/11
Posts: 1781
Loc: USA
ahahahahahaa.... you actually think people will believe that hoax? How about a citation in the Federal Register which would document the "final regulation?"

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#1385604 - 02/01/13 11:29 AM Re: IRS: Cheapest Obamacare Plan $20,000 Per Family [Re: Lucinda Knotts]
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Posts: 7644
Originally Posted By: Lucinda Knotts
ahahahahahaa.... you actually think people will believe that hoax? How about a citation in the Federal Register which would document the "final regulation?"


If it is a BS story, it no worse than what rolls off our worthless presidents peripheral cyanosis lips.

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#1385614 - 02/01/13 12:22 PM Re: IRS: Cheapest Obamacare Plan $20,000 Per Family [Re: ]
Lucinda Knotts Offline
Senior Member

Registered: 01/11/11
Posts: 1781
Loc: USA
Now, now Chicago... no need to disparage the president. This just shows that you didn't bother to check out the article and that you just post anything you can find that criticizes an Obama initiative. Turns out, there appears to be such a regulation in the Federal Register, but as I read it, the emphasis was not on the cost of health insurance premiums (chicken little the sky is falling!) but rather on how the penalty (aka "shared responsibility payment") will be calculated.

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#1385655 - 02/01/13 03:21 PM Re: IRS: Cheapest Obamacare Plan $20,000 Per Family [Re: Lucinda Knotts]
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Originally Posted By: Lucinda Knotts
Now, now Chicago... no need to disparage the president.
Why not? You flaming libtards did it to the Shrub.


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#1385678 - 02/01/13 06:17 PM Re: IRS: Cheapest Obamacare Plan $20,000 Per Family [Re: ]
cwjga Offline
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Registered: 11/06/08
Posts: 4955
Loc: NY

Voted for Free Healthcare? IRS Says Cheapest Obamatax Plan is $20,000
Kyle Becker February 1, 2013 2:31 pm


Just like with the tax hikes in the fiscal cliff deal, Democrat supporters are in for some unpleasant surprises. A report from CNS News shows that the cheapest plan the IRS says Americans can buy or pay a penalty tax is… $20,000. Check this out:


In a final regulation issued Wednesday, the Internal Revenue Service (IRS) assumed that under Obamacare the cheapest health insurance plan available in 2016 for a family will cost $20,000 for the year.

Under Obamacare, Americans will be required to buy health insurance or pay a penalty to the IRS.



Oh, now that’s defending the middle class! Pay for cadillac coverage or go onto the Obamatax farm… as if Americans are sheeple. Got to love how Democrats respect individual rights in this country.

But w-w-wait it gets worse? This is only the pricetag for the bronze plan for a family of five?


“The annual national average bronze plan premium for a family of 5 (2 adults, 3 children) is $20,000,” the regulation says.

Bronze will be the lowest tier health-insurance plan available under Obamacare–after Silver, Gold, and Platinum. Under the law, the penalty [sic] for not buying health insurance is supposed to be capped at either the annual average Bronze premium, 2.5 percent of taxable income, or $2,085.00 per family in 2016.

That’s great. Insurance companies will make out like bandits if Americans carry private coverage or will become part of the bureaucratic mess that will surely emerge from the nationalization of one-sixth of the economy. Now, that’s “choice.”

If you don’t currently live in one of nearly half the states refusing to put into place the Obamacare insurance exchanges, you might want to forget about calling the IRS to have them explain what’s expected of you, and instead, call a moving company. If that’s not possible, one could always try requesting a waiver; that’s what the politically connected friends of President Obama did.
_________________________
I had health insurance, but it didn't cover the murder of innocent children. So it was cancelled.

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#1385711 - 02/01/13 11:52 PM Re: IRS: Cheapest Obamacare Plan $20,000 Per Family [Re: cwjga]
Lucinda Knotts Offline
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Registered: 01/11/11
Posts: 1781
Loc: USA
Gee, cwjga, does YOUR health insurance plan cost $20,000 per year? Mine (self and family coverage) doesn't. It's less than half that. So where do you get that the cheapest plan available WILL be $20,000 (other than what is assumed in order to project an example cost for the penalty for not getting any insurance)

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#1385744 - 02/02/13 09:39 AM Re: IRS: Cheapest Obamacare Plan $20,000 Per Family [Re: Lucinda Knotts]
cwjga Offline
Senior Member

Registered: 11/06/08
Posts: 4955
Loc: NY
Originally Posted By: Lucinda Knotts
Gee, cwjga, does YOUR health insurance plan cost $20,000 per year? Mine (self and family coverage) doesn't. It's less than half that. So where do you get that the cheapest plan available WILL be $20,000 (other than what is assumed in order to project an example cost for the penalty for not getting any insurance)


Actually it was close to that several years ago, so we dropped to a high deductible plan and started a medical savings account.
_________________________
I had health insurance, but it didn't cover the murder of innocent children. So it was cancelled.

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#1385746 - 02/02/13 09:44 AM Re: IRS: Cheapest Obamacare Plan $20,000 Per Family [Re: cwjga]
kyle585 Offline
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Registered: 02/18/09
Posts: 9490
Loc: Somewhere out there
http://vitals.nbcnews.com/_news/2013/01/...e-the-same?lite

Buying your own health insurance will never be the same

By RICARDO ALONSO-ZALDIVAR, The Associated Press

This fall, new insurance markets called exchanges will open in each state, marking the long-awaited and much-debated debut of President Barack Obama's health care overhaul.

The goal is quality coverage for millions of uninsured people in the United States. What the reality will look like is anybody's guess — from bureaucracy, confusion and indifference to seamless service and satisfied customers.

Exchanges will offer individuals and their families a choice of private health plans resembling what workers at major companies already get. The federal government will help many middle-class households pay their premiums, while low-income people will be referred to safety-net programs they might qualify for.

Most people will go online to pick a plan when open enrollment starts Oct. 1. Counselors will be available at call centers and in local communities, too. Some areas will get a storefront operation or kiosks at the mall. Translation to Spanish and other languages spoken by immigrants will be provided.

When you pick a plan, you'll no longer have to worry about getting turned down or charged more because of a medical problem. If you're a woman, you can't be charged a higher premium because of gender. Middle-aged people and those nearing retirement will get a price break: They can't be charged more than three times what younger customers pay, compared with six times or seven times today for most private plans.

The Affordable Care Act is the biggest thing that's happened to health care since Medicare and Medicaid in the 1960s. But with open enrollment for exchange plans less than 10 months away, there's a dearth of consumer information. It's as if the consumer angle got drowned out by the political world's dispute over "Obamacare," the dismissive label coined by Republican foes.

Yet exchanges are coming to every state, even those led by staunch GOP opponents of the overhaul, such as Govs. Rick Perry of Texas and Nikki Haley of South Carolina. In their states and close to 20 others that are objecting, the exchanges will be operated by the federal government, over state opposition. Health and Human Services Secretary Kathleen Sebelius has pledged that every citizen will have access to an exchange come next Jan. 1, and few doubt her word.
_________________________
All NY taxpayers pay more because the tribes refuse to pay.


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#1385863 - 02/03/13 09:46 AM Re: IRS: Cheapest Obamacare Plan $20,000 Per Family [Re: cwjga]
cwjga Offline
Senior Member

Registered: 11/06/08
Posts: 4955
Loc: NY
Originally Posted By: cwjga
Originally Posted By: Lucinda Knotts
Gee, cwjga, does YOUR health insurance plan cost $20,000 per year? Mine (self and family coverage) doesn't. It's less than half that. So where do you get that the cheapest plan available WILL be $20,000 (other than what is assumed in order to project an example cost for the penalty for not getting any insurance)


Actually it was close to that several years ago, so we dropped to a high deductible plan and started a medical savings account.



I should add that thanks to the birth control mandate aas well as others I have no doubt it will be $20,000 by 2016. Going up 20% this year thanks to all the free things. The largest increse I have ever gotten.
_________________________
I had health insurance, but it didn't cover the murder of innocent children. So it was cancelled.

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#1385947 - 02/03/13 06:56 PM Re: IRS: Cheapest Obamacare Plan $20,000 Per Family [Re: Lucinda Knotts]
mikey Offline
Member

Registered: 03/03/12
Posts: 194
Loc: Rochester NY
Lucinda Knotts...who pays for the other half? Your employer? The policy costs are out of control.

I was going to leave my job and start a small business..enough for me and my wife to survive and not be hassled by corporate life anymore. we had a "let's just get by" mentality. Went to MVP and asked to see what a plan would be for the two of us....standard plan...$500 co-pay on ER, drug plan...you know the drill. Today's cost: $2084 per month...PER MONTH. That's a big nut to crack before any other business or living expense. The only people you'll see starting businesses are those who have a lot of money or those who have health care programs through an employer of a spouse. You aren't reflecting the true cost of your health care plan...not by a long shot unless you are willing to take on massive deductibles...massive enough to capture your income if you take meds of any kind.

Health care is not affordable and it won't be. Take the article seriously...better yet, call me a liar, call MVP and request a rate for a couple, standard kind of plan with standard deductibles. Post the price. Seeing is believing.

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#1385980 - 02/03/13 11:54 PM Re: IRS: Cheapest Obamacare Plan $20,000 Per Family [Re: mikey]
Lucinda Knotts Offline
Senior Member

Registered: 01/11/11
Posts: 1781
Loc: USA
I agree that if you're going for health insurance all on your own the cost of premiums is really high. That's the whole point behind the Affordable Care Act, group plans and exchanges. For example the total premium for MVP standard self and family under the Federal Employees Health Benefit Program (FEHBP) is $1068.38 per month, just about half what you were quoted. And before you go railing about Federal employees, keep in mind that MVP has to be competitive with the other plans offered under the FEHBP. Competition leads to lower premiums.

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#1386049 - 02/04/13 02:11 PM Re: IRS: Cheapest Obamacare Plan $20,000 Per Family [Re: Lucinda Knotts]
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Registered: 01/16/12
Posts: 7644
Originally Posted By: Lucinda Knotts
I agree that if you're going for health insurance all on your own the cost of premiums is really high. That's the whole point behind the Affordable Care Act, group plans and exchanges. For example the total premium for MVP standard self and family under the Federal Employees Health Benefit Program (FEHBP) is $1068.38 per month, just about half what you were quoted. And before you go railing about Federal employees, keep in mind that MVP has to be competitive with the other plans offered under the FEHBP. Competition leads to lower premiums.


You tell'um Timmy.

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#1386076 - 02/04/13 03:49 PM Re: IRS: Cheapest Obamacare Plan $20,000 Per Family [Re: ]
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Registered: 01/16/12
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Originally Posted By: Chicago Jesus
Originally Posted By: Lucinda Knotts
I agree that if you're going for health insurance all on your own the cost of premiums is really high. That's the whole point behind the Affordable Care Act, group plans and exchanges. For example the total premium for MVP standard self and family under the Federal Employees Health Benefit Program (FEHBP) is $1068.38 per month, just about half what you were quoted. And before you go railing about Federal employees, keep in mind that MVP has to be competitive with the other plans offered under the FEHBP. Competition leads to lower premiums.


You tell'um Timmy.
Oh wait, I'm sorry, I meant to say Cindy.

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#1386086 - 02/04/13 04:24 PM Re: IRS: Cheapest Obamacare Plan $20,000 Per Family [Re: Lucinda Knotts]
mikey Offline
Member

Registered: 03/03/12
Posts: 194
Loc: Rochester NY
I'm not railing against anyone other than our health care and govt. The IRS used figures that are expected to be real under the NEW 2016 rules....$20K in 3 years...sounds like no discount to me, period.

I am paying what you are, Lucinda because I could not leave my job, nor will I be able to retire.

You mislead the readers with your statement that health care costs half. It doesn't and it won't in the future.

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#1386100 - 02/04/13 04:54 PM Re: IRS: Cheapest Obamacare Plan $20,000 Per Family [Re: mikey]
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Registered: 01/16/12
Posts: 7644
Originally Posted By: mikey
I'm not railing against anyone other than our health care and govt. The IRS used figures that are expected to be real under the NEW 2016 rules....$20K in 3 years...sounds like no discount to me, period.

I am paying what you are, Lucinda because I could not leave my job, nor will I be able to retire.

You mislead the readers with your statement that health care costs half. It doesn't and it won't in the future.

Cindy misleads a lot of people kyle.

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#1386116 - 02/04/13 05:59 PM Re: IRS: Cheapest Obamacare Plan $20,000 Per Family *DELETED* [Re: ]
Timbo Offline
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Registered: 07/18/12
Posts: 7398
Loc: CNY
Post deleted by FL1 Mod 2
_________________________
Everyone's entitled to their own opinions, but not their own facts.

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#1386128 - 02/04/13 07:24 PM Re: IRS: Cheapest Obamacare Plan $20,000 Per Family [Re: Timbo]
ProAct Offline
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Registered: 07/19/10
Posts: 1255
Loc: New York State, Seneca County
Sounds like the misinformation is part of the "extermination of truth".

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#1386132 - 02/04/13 08:18 PM Re: IRS: Cheapest Obamacare Plan $20,000 Per Family [Re: ]
Lucinda Knotts Offline
Senior Member

Registered: 01/11/11
Posts: 1781
Loc: USA
Originally Posted By: Chicago Jesus
Originally Posted By: mikey
I'm not railing against anyone other than our health care and govt. The IRS used figures that are expected to be real under the NEW 2016 rules....$20K in 3 years...sounds like no discount to me, period.

I am paying what you are, Lucinda because I could not leave my job, nor will I be able to retire.

You mislead the readers with your statement that health care costs half. It doesn't and it won't in the future.

Cindy misleads a lot of people kyle.

There's nothing misleading about what I said. It's just factual information. If you want to see what the Federal community pays for health insurance, see the following charts. Note that the TOTAL monthly premium (which includes both the employee and the employer's share of the premium) is in the fourth column from the right. Of course we'll hear the shrieks and screams about how much the employees or annuitants benefit from the government contribution, but the TOTAL remains the same -- considerably lower than the horror stories spread by those who can't stand Obamacare.

Premiums for HMO plans

Premiums for fee-for-service plans

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#1386156 - 02/05/13 07:28 AM Re: IRS: Cheapest Obamacare Plan $20,000 Per Family [Re: Lucinda Knotts]
mikey Offline
Member

Registered: 03/03/12
Posts: 194
Loc: Rochester NY
Lucinda, health care does not cost what either you or I pay. Someone else is picking up half the tab. What don't you get?

Most anyone working for a corporation is also getting 1/2 their health care paid for...but to believe anything other than the facts about the cost of health care and the future cost of health care is a laugh.

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