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User Info Beaker! (Podcast); entered at 2020-01-12 10:56:46
Tickerguy
Posts: 161139
Registered: 2007-06-26
@Whitehat -
Quote:
what the Medicaid expansion states did was to keep people making just above the poverty level from revolting softly. this is why Bloomberg supports Obamacare. it is a taxpayer and inflation transfer to keep people working in urban areas where they could normally not afford to live. economically it is a circular firing squad. without Obamacare there was going to be a giant sucking sound as businesses and workers in the coverage hole above Medicaid stopped working or left or dropped out somehow. so we keep the mismanaged urban areas solvent with inflation. remember as i said above, everyone gets cut in an actual fix. healthcare admin is a major upper class employment in my market. what happens when these people cannot keep their assets and can never replace their income?

Yep.

Florida is not a Medicaid expansion state.

My kid does not have "Clinton" as her last name and her interests do not lie in STEM-style fields where she could at least climb on board in a major metro area. I told her I would NOT subsidize her getting a "degree" in a field that would NOT pay enough to be worth the cost of the so-called "education", and in the ones where it still did make some sense she had no interest. She has an account that was turned over to her at 21 and was originally intended for school -- not enough to cover it all these days even not at a "high brow" place, but enough to put a real serious dent in it, which is hers to do with as she wishes (I have no idea what's in there now as a few years have gone by since.) I didn't buy one of the "pre-pay" tuition and fee plans with it as even quite early in her life I suspected she hadn't inherited the STEM gene from me, and if she did and I was wrong the funds + a decent scholarship would be enough, but if not, well, either she goes in a field that makes no sense or the funds are lost. That's nuts.

Well, now what? She's doing ok but has exactly zero incentive to try to walk her way up the ladder because at the point she becomes exposed to the medical insurance scam she's ****ed. The REALLY ugly part of it is that in a non-expansion state there's a cliff at the lower end; there's both a LOWER cutoff which is a HARD cutoff for an Obamacare policy subsidy and a phase-out which for an unmarried person starts right around $22,000. If you are over but near the lower-end cut-off each year you must decide whether to take the subsidy on your projected income for the NEXT year, and if you do it and are wrong (e.g. you get laid off or fired and miss the lower end of income for the year due to a month or two of not having a paycheck) you're ****ED as you have to repay the entire subsidy back when you file your taxes! How would you like to have to come up with $5,000 NOW when you had $14k in income last year?

The same thing happens on the other end but at least in that case you have some money. If I projected $24,000 of income and make $30,000 I'll be forced to cough up a big check, but at least I made the other $6,000. Provided I didn't spend all of it I'll bitch and moan but I've got it. For the person on the LOWER end they're just plain old-fashioned rat****ed.

Now what do you do in December as the deadline approaches? You're over the minimum this year so you would have been ok, but you had no way to know that in January of the previous year, and now you have to guess for the next year! You don't get penalized because the unsubsidized cost of insurance was too high as a percentage of income, but you also don't have it. If you have a serious problem you go bankrupt -- that's what. The only good news is that as a young person your odds of said serious problem are small in relative terms compared with someone who is older.

GOD HELP YOU, however, if you're one of those young people who has a congenital condition of some sort that bites you as a youth. Oh by the way, this is a risk that any young person thinking of starting a family has to contemplate too; if you pull a gray ball out of the hat when you make a kid and said kid has some sort of significant medical problem not only are they ****ed YOU ARE PERMANENTLY ****ED TOO as if you fall off the bottom of that income ladder, and gee, that wouldn't be NEARLY CERTAIN to happen if you had to provide a lot of care to said child with said condition YOUR SUBSIDY DISAPPEARS AND YOU ARE INSTANTLY BANKRUPTED. The only good news is that even in non-expansion states if you have dependents you qualify for Medicaid. But to have and keep that qualification you CAN'T make any material amount of money or it goes away and you're ****ed again. Oh, and you can't have any money in the bank either -- so forget about socking back six months of income like EVERYONE should do, because that INSTANTLY voids your Medicaid elegibility, kids or no kids!

Oh by the way my daughter has a few friends with serious congenital issues. She knows how badly that can screw you because she's seen it. The risk of the event is something anyone who decides to have a kid has to accept but that if it happens that the medical system will financially******you for life and destroy you is not something that anyone should accept; indeed, in my view those who designed the medical system to exploit people like this deserve to be hanged low-and-slow so they strangle to death and their carcass left on the gallows to be picked clean by buzzards.

There's no way out of this box for a young adult who's in that "no-man's" land. If you're in the $40-50k+ income range then as a self-employed individual you're REALLY ****ed because there's no subsidy at all, and you take it right up the *******. But for those young people that, in a "starter job", even professionally, is a tough sell unless you went and got $100 large worth of college debt!

And they wonder why there's no household formation? She's no dummy and has refused to play the "watch me blow my own head off financially" game with these **********s, and I don't blame her.

Oh well - my family's line ends with me, and I'm ok with that.

As you get older it gets even worse. Now you're basically FORCED into the "wage slave" positions where the business gets most of the health insurance bill because the price of trying to do it yourself is outrageous. My effective tax rate between $25-$45k approaches 75% and that's in a zero-income-tax state! Live in an income tax state where they hit you for 5-6% from the first dollar or close enough to it, which is most of them that have one (if they're bracketed you max the bracket REAL LOW) and now we're in the 80% effective tax rate area! And guess what -- when starting some new small business enterprise if you DON'T wind up in that "air pocket" for a year or two you're a ****ing genius -- you ALMOST ALWAYS will, simply because you have to in order to get the damn thing off the ground.

I can do a lot of contract work but I refuse, because I can't possibly tailor my income accurately enough. Passive income, yes -- I can hit the number I want without too much trouble, although I must ALWAYS make sure if I miss it's on the high side and I have to pay back some subsidy, because if I miss LOW then I get ass-hammered for $10 large+ at the end of the year! Obviously I don't let that happen.

**** THESE PEOPLE; they ought to be hanged or even better, tied to a post then slathered in honey in a pen full of feral, hungry hogs.

Last modified: 2020-01-12 12:00:50 by tickerguy

2020-01-12 10:56:46