Do you have an Obamacare policy and receive subsidies to help pay the high cost of your healthcare? Have you filed your federal income taxes?
If the answer to both is yes, then there seems to be a good chance that you may be receiving a bill, demanding you pay back part or all of your subsidy.
The problem began to surface back in January. At that time, H&R Block estimated that around half of the 5.5 million Obamacare enrollees would find out that they received more subsidy than they were entitled to, resulting in an average payback of $208.
However, now that the filing date for income taxes has passed, H&R Block’s estimate falls way short of reality. The latest figures released by the tax preparation giant indicate the number of Obamacare enrollees who are having to payback part of their subsidies is closer to two-thirds, or nearly 3.7 million people. Additionally, instead of paying back an average of only $208, the real average payback figure is closer to $729.
Now realize that most people that received subsidies qualified because they don’t make a lot of money or at least enough to live very comfortably. That means receiving a bill demanding $729 in many cases is going to be a backbreaker.
To add to their financial woes, their current subsidies are being reduced to match the income reported on their taxes, meaning they will be paying higher monthly premiums than perhaps they can afford. In some cases, it may force individuals or families to drop their coverage because they can longer afford the monthly premiums.
How many straws will it take to break the Obamacare camel’s back? It seems every week there is another report on some aspect of Obamacare that shows the failure of our national socialistic healthcare plan.
Earlier this week I reported that 35% of Covered California policy holders dropped their coverage. Before that I’ve reported that the entire financial structure of Obamacare is collapsing because too few young healthy people are enrolling and too many older less healthy people have enrolled. This imbalance is causing a financial drain on the system, which they expected to work the other way around.
The promised coverage for pre-existing conditions is turning out to be far too expensive for many people that needed it. In my own case, due to pre-existing health condition of my wife and me, a cheap bronze plan would cost us $816 a month, and that would only pay 60% of our medical costs after we met our $4,000 deductible. I don’t know of many people that can afford that much.
Too many people with serious illnesses and conditions are finding out that Obamacare will no longer cover the expensive medications they need. These people have to make difficult decisions of what bills not pay in order to get their meds or to go without their meds suffer the ravages of their illnesses and conditions. One can’t help but realize that some Americans may die sooner than they should because of the unfair rules and regulations of Obamacare.
The cons of Obamacare are so numerous that they far outweigh the few pros, if there are any. The entire Affordable Care Act needs to be scraped as soon as possible. I don’t know that a workable solution is, but I do know that Obamacare is a nightmare that could cause the collapse of the American economy sooner than many people realize.