Obamacare to cost average of $20 Thousand per family

[Raidenx]

Thoughts? THIS IS GREAT YAY!

(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).”

http://cnsnews.com/news/article/irs-...e-20000-family

[Jaxi]

This might be a silly question, but the penalty does not apply if you're already covered under health insurance, yes?

[Wells]

They're not assuming anything. Its a number they're using for an example. Just the asshats and CNS being asshats.

[Deleted]

I'm just glad that I live in a country where this basic human right is practically free.

[Zenaur]

A webpage completely formed around being a conservative new source. THAT sounds like a reliable and unbiased media outlet.

retard.

[Prokne]

They're not assuming anything. Its a number they're using for an example. Just the asshats and CNS being asshats.

It does use the word assumed and we all know what that means.

I would guess a family of 4-5 probably pays at least $12k per year for health insurance today and thats probably a low estimate. I would expect that number to go up in 3 years since healthcare costs are currently rising very fast. It would go up even without Obamacare.

[Corleggy]

You know it's fact when they don't even mention the actual name of the thing they are making an article about.

[Tjaeden]

Even if these numbers are true - I'm not seeing a problem. People need to have health insurance - and it needs to be paid for.

[Zenaur]

what kind of a person makes 120,000 and has no form of health insurance. get real. it even says in your post "2.5 percent of taxable income" so when the 'average' family who dont have healthcare makes between 40-50k 2.5% of taxable income is $1,000. your article is a joke. Dont spread misinformation, no reason to bring others down to your level.

[KrazyK923]

Conservative website lies about Obamacare?

I CAN'T BELIEVE THEY---Zzzzzzzzzzzzz

[someotherguy]

This might be a silly question, but the penalty does not apply if you're already covered under health insurance, yes?

Assuming the health insurance you have meets the requirements (which it will most likely - but that's my assumption, and some might argue - for example it needs to cover birth control?), than you won't pay the penalty/tax.

[s_bushido]

I CAN'T BELIEVE THEY---Zzzzzzzzzzzzz

Made my day. Thanks.

[RaoBurning]

Well, you spend more on band-aids than you do stitches, I guess.

^ Metaphorical. Allegorical?

[Tradewind]

Please let this include posts from people talking about how "socialized medicine is evil!" and then blissfully touting that they have health insurance.

[Adam Jensen]

Made my day. Thanks.

I know. It's at the point now where the rest of us expect this type of bullshit.

[Stommped]

Conservative website lies about Obamacare?

I CAN'T BELIEVE THEY---Zzzzzzzzzzzzz

An article that makes it seem like Obamacare isn't the best thing since sliced bread?

MUST BE LIES

[Garnier Fructis]

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.

HA! My family only has 3 members.

[Tinykong]

People need to have health insurance - and it needs to be paid for.

The health insurance industry has won, they've convinced people that health insurance is "needed."

[JakeSteel]

I think it's stupid that there's a "penalty" for not having insurance.

[Grakey]

Even if these numbers are true - I'm not seeing a problem. People need to have health insurance - and it needs to be paid for.

Just keep adding it to the tab, right?