More Americans Have Health Insurance (Whether They Want it or Not)
The latest Gallup survey shows the rate of American adults without health insurance dipped to an all-time-low of 11.9 percent in the first quarter of this year, down from 12.9 percent at the end of 2014 and 18 percent in mid-2013. That means nearly nine in 10 adults now say they have health coverage, which Gallup attributes primarily to provisions in the Affordable Care Act.
So far, the White House estimates that more than 16 million people have gained health coverage through Obamacare.
Related: Obamacare Goes to Court as Uninsured Rate Hits New Low
Gallup notes that the uninsured rate is likely to continue trending downward this year as more people sign up for coverage during the special enrollment period, which ends on April 30. The administration granted extra time to people who were unaware of the law’s individual mandate requiring everyone to have health coverage or be subject to a tax penalty.
The pollsters noted that there are, of course, other factors that have helped lower the percentage of uninsured people in the U.S., including the improving economy and a falling unemployment rate. Even so, they suggested that Obamacare played the largest role: “The uninsured rate is significantly lower than it was in early 2008, before the depths of the economic recession, suggesting that the recent decline is due to more than just an improving economy.”
Related: Poll Shows Why Obamacare Ruling Could Be Devastating
The poll of 43,575 adults over the first three months of the year suggests that the health care reform law is succeeding in its primary goal of expanding access to coverage, though questions remain about just how affordable that care is — and whether the law will be undone by a Supreme Court ruling, scheduled to be announced in June in the case of King v Burwell. The high court’s interpretation of language in one sentence of the Affordable Care Act will determine whether roughly 8 million people will lose health insurance subsidies. Read about the case here.
Top Reads from The Fiscal Times:
- 6 Popular Social Security Myths Busted
- The Battle Is On to Save Military Bases from Closure
- The 10 Worst Places for Obamacare in 2015
Marco Rubio Says There’s No Proof Tax Cuts Are Helping American Workers
Sen. Marco Rubio (R-FL) told The Economist that his party’s defense of the massive tax cuts passed last year may be off base: “There is still a lot of thinking on the right that if big corporations are happy, they’re going to take the money they’re saving and reinvest it in American workers,” Rubio said. “In fact they bought back shares, a few gave out bonuses; there’s no evidence whatsoever that the money’s been massively poured back into the American worker.”
For Richer or Poorer: An Updated Marriage Bonus and Penalty Calculator
The Tax Policy Center has updated its Marriage Bonus and Penalty Calculator for 2018, including the new GOP-passed tax law. The tool lets users calculate the difference in income taxes a couple would owe if filing as married or separately. “Most couples will pay lower income taxes after they are married than they would as two separate taxpayers (a marriage bonus), but some will pay a marriage penalty," TPC’s Daniel Berger writes. “Typically, couples with similar incomes will be hit with a penalty while those where one spouse earns significantly more than the other will almost always get a bonus for walking down the aisle.”
Trump Administration Wants to Raise the Rent
Housing and Urban Development Secretary Ben Carson will propose increasing the rent obligation for low-income households receiving federal housing subsidies, as well as creating new work requirements for subsidy recipients. Some details via The Washington Post: “Currently, tenants generally pay 30 percent of their adjusted income toward rent or a public housing agency minimum rent not to exceed $50. The administration’s legislative proposal sets the family monthly rent contribution at 35 percent of gross income or 35 percent of their earnings by working 15 hours a week at the federal minimum wage -- or approximately $150 a month, three times higher than the current minimum.” (The Washington Post)
New Push for Capital Gains Tax Cut
Anti-tax activists in Washington are renewing their pressure on lawmakers to pass new legislation indexing capital gains taxes to inflation. The Hill provided an example of such indexing that Grover Norquist recently sent to Treasury Secretary Steven Mnuchin: “Under current policy, someone who made an investment of $1,000 in 2000 and sold it for $2,000 in 2017 would pay capital gains taxes on the $1,000 difference. But if capital gains were indexed, the investor would only pay taxes on $579, since $1,000 in 2000 would be equivalent to $1,421 in 2017 after adjusting for inflation.” Proponents of indexing say it’s just a matter of fairness, but critics claim that it would be just another regressive tax cut for the wealthy. Indexing would cost an estimated $10 billion a year in lost revenues. (The Hill)
Bernie Sanders to Propose Plan Guaranteeing a Job for Every American
Sen. Bernie Sanders (I-VT) is preparing to announce a plan for the federal government to guarantee a job paying $15 an hour and providing health-care benefits to every American “who wants one or needs one.” The jobs would be on government projects in areas such as infrastructure, care giving, the environment and education. The proposal is still being crafted, and Sanders’ representative said his office had not yet come up with a cost estimate or funding plan. Sen. Kirsten Gillibrand (D-NY) last week tweeted support for a federal jobs guarantee, but Republicans have long opposed such proposals, saying they would cost too much. (Washington Post)