Bush's Healthcare Plan

[Skeptic]

From Bush's State of the Union message to see
what he said his plan would do. Here it is:

"First, I propose a standard tax deduction for health
insurance that will be like the standard tax deduction
for dependents. Families with health insurance will
pay no income on payroll tax -- or payroll taxes on
$15,000 of their income. Single Americans with health
insurance will pay no income or payroll taxes on
$7,500 of their income. With this reform, more than
100 million men, women, and children who are now
covered by employer-provided insurance will benefit
from lower tax bills. At the same time, this reform
will level the playing field for those who do not get
health insurance through their job. For Americans who
now purchase health insurance on their own, this
proposal would mean a substantial tax savings --
$4,500 for a family of four making $60,000 a year."

I wanted to see the tax savings for families of
different incomes so first I calculated Bush's example
using 2006 tax tables. A family of four making
$60,000 would have 4 exemtions at $3300 each for an
Adjusted Gross Income of $46,800. Based on that AGI,
their taxes would be $6265. If we take a deduction
from their income of $15,000, Their AGI becomes
$31,800 and their taxes are $2505 resulting in a
savings of $2250 not $4500 as Bush said. Am I doing
something wrong? Even if I eliminate the 4 exemptions
it changes their taxes but not the difference between
the two amounts.

[Crowfoot]

Post by Skeptic
From Bush's State of the Union message to see
"First, I propose a standard tax deduction for health
insurance that will be like the standard tax deduction
for dependents. Families with health insurance will
pay no income on payroll tax -- or payroll taxes on
$15,000 of their income. Single Americans with health
insurance will pay no income or payroll taxes on
$7,500 of their income. With this reform, more than
100 million men, women, and children who are now
covered by employer-provided insurance will benefit
from lower tax bills. At the same time, this reform
will level the playing field for those who do not get
health insurance through their job. For Americans who
now purchase health insurance on their own, this
proposal would mean a substantial tax savings --
$4,500 for a family of four making $60,000 a year."
I wanted to see the tax savings for families of
different incomes so first I calculated Bush's example
using 2006 tax tables. A family of four making
$60,000 would have 4 exemtions at $3300 each for an
Adjusted Gross Income of $46,800. Based on that AGI,
their taxes would be $6265. If we take a deduction
from their income of $15,000, Their AGI becomes
$31,800 and their taxes are $2505 resulting in a
savings of $2250 not $4500 as Bush said. Am I doing
something wrong? Even if I eliminate the 4 exemptions
it changes their taxes but not the difference between
the two amounts.

Look, the guy is a stubborn moron; you're expecting him
to do a little basic math? Let alone tell the truth if Cheney
does it for him . . .

C

[Skeptic]

Post by Crowfoot

Post by Skeptic
From Bush's State of the Union message to see
"First, I propose a standard tax deduction for health
insurance that will be like the standard tax deduction
for dependents. Families with health insurance will
pay no income on payroll tax -- or payroll taxes on
$15,000 of their income. Single Americans with health
insurance will pay no income or payroll taxes on
$7,500 of their income. With this reform, more than
100 million men, women, and children who are now
covered by employer-provided insurance will benefit
from lower tax bills. At the same time, this reform
will level the playing field for those who do not get
health insurance through their job. For Americans who
now purchase health insurance on their own, this
proposal would mean a substantial tax savings --
$4,500 for a family of four making $60,000 a year."
I wanted to see the tax savings for families of
different incomes so first I calculated Bush's example
using 2006 tax tables. A family of four making
$60,000 would have 4 exemtions at $3300 each for an
Adjusted Gross Income of $46,800. Based on that AGI,
their taxes would be $6265. If we take a deduction
from their income of $15,000, Their AGI becomes
$31,800 and their taxes are $2505 resulting in a
savings of $2250 not $4500 as Bush said. Am I doing
something wrong? Even if I eliminate the 4 exemptions
it changes their taxes but not the difference between
the two amounts.

Look, the guy is a stubborn moron; you're expecting him
to do a little basic math? Let alone tell the truth if Cheney
does it for him . . .
C

No, I don't expect Bush to do his own arithmetic just as I don't
expect him to write his own speeches. But surely, since this
plan will no doubt be debated by congressmen and by television
commentators, the arithmetic has to be correct.

The thing that bothers me is that the lowest tax bracket is 10%
and the highest is 35%, so his plan seems to be giving those in
the upper tax brackets much more of a break than those in the
lower brackets.

[Crowfoot]

Post by Skeptic

Post by Crowfoot

Post by Skeptic
From Bush's State of the Union message to see
"First, I propose a standard tax deduction for health
insurance that will be like the standard tax deduction
for dependents. Families with health insurance will
pay no income on payroll tax -- or payroll taxes on
$15,000 of their income. Single Americans with health
insurance will pay no income or payroll taxes on
$7,500 of their income. With this reform, more than
100 million men, women, and children who are now
covered by employer-provided insurance will benefit
from lower tax bills. At the same time, this reform
will level the playing field for those who do not get
health insurance through their job. For Americans who
now purchase health insurance on their own, this
proposal would mean a substantial tax savings --
$4,500 for a family of four making $60,000 a year."
I wanted to see the tax savings for families of
different incomes so first I calculated Bush's example
using 2006 tax tables. A family of four making
$60,000 would have 4 exemtions at $3300 each for an
Adjusted Gross Income of $46,800. Based on that AGI,
their taxes would be $6265. If we take a deduction
from their income of $15,000, Their AGI becomes
$31,800 and their taxes are $2505 resulting in a
savings of $2250 not $4500 as Bush said. Am I doing
something wrong? Even if I eliminate the 4 exemptions
it changes their taxes but not the difference between
the two amounts.

Look, the guy is a stubborn moron; you're expecting him
to do a little basic math? Let alone tell the truth if Cheney
does it for him . . .
C

No, I don't expect Bush to do his own arithmetic just as I don't
expect him to write his own speeches. But surely, since this
plan will no doubt be debated by congressmen and by television
commentators, the arithmetic has to be correct.
The thing that bothers me is that the lowest tax bracket is 10%
and the highest is 35%, so his plan seems to be giving those in
the upper tax brackets much more of a break than those in the
lower brackets.

That should be no surprise. ALL Republican plans are aimed at
making the poor poorer (so they'll be desperate enough to work
three jobs all for crap wages), while increasing the disposable
income of the already rich in the hopes that some of it will be
used to make new shitty jobs at crap wages for poor people (and,
of course lots of upper-echelon white collar jobs for useless mutts
who can't make or produce anything at all but still get rewarded
as if they were champs).

It's not just the unfairness of it; it's the god-damned LYING
about it that makes people so angry. Thanks for exposing yet
another god-damned Republican lie.

C

[miles]

Post by Crowfoot
That should be no surprise. ALL Republican plans are aimed at
making the poor poorer (so they'll be desperate enough to work
three jobs all for crap wages), while increasing the disposable
income of the already rich in the hopes that some of it will be
used to make new shitty jobs at crap wages for poor people (and,
of course lots of upper-echelon white collar jobs for useless mutts
who can't make or produce anything at all but still get rewarded
as if they were champs).

Ya, we should punish people for being successful and take away any
incentive for doing so in the form of absurdly high taxes. There should
be no limit. If we need more taxes then raise successful peoples taxes
even higher.