IRS: Cheapest Obamacare Plan Will Be $20,000 Per Family

[petegz28]

(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 a 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

[suzzer99]

Originally Posted by alpha_omega

Such as who? could you be more specific?

For example: someone in their 20s with no health insurance, who if they get in a car wreck or get a serious disease, are going to rack up a huge bill and then not pay for it. That money comes out of all of our health insurance and health care costs. I personally know several people who fit this description.

On the other side of the people who will be massively helped are people like my uncle. He was a general contractor who had his own private insurance. He fell off a ladder and shattered both of his ankles. The insurance paid for the surgery, but then immediately jacked up his rates 4 times. He's been forced to either take corporate jobs, or risk going without insurance ever since. The ACA is going to be a godsend for him. The really funny thing is, he's had almost no complications from the surgery, and is extremely healthy. But because he has pins in his ankles and is over 50 now, he's basically uninsurable on the private insurance market.

He's not asking for a handout, all he wants is the same access to health care that people who work for large corporations get. Or for that matter – people in every other developed nation on earth, and Massachusetts and Hawaii, and people over 65, and people who are indigent in this country. People who work for very small businesses (who often can't in for afford group insurance, especially if someone who works there is actually sick) or are self-employed, and aren't married to someone with good insurance, are in the donut hole. They get completely screwed over by our current healthcare system.

[frazod]

Originally Posted by La literatura

And that explains why you spend the work days doing, well, this.

And your doing it makes perfect sense, since your Uncle Billy runs your firm, right?

[La literatura]

Originally Posted by frazod

And your doing it makes perfect sense, since your Uncle Billy runs your firm, right?

Oh, I'm glad to help you sort out the confusion. See, I'm a law student, which is different than an actual lawyer who you work for. The actual lawyers who pay for your unproductive ass have actually graduated from law school and passed the bar, which I haven't had the opportunity to do yet.

[frazod]

Originally Posted by La literatura

Oh, I'm glad to help you sort out the confusion. See, I'm a law student, which is different than an actual lawyer who you work for. The actual lawyers who pay for your unproductive ass have actually graduated from law school and passed the bar, which I haven't had the opportunity to do yet.

Sorry, I guess you're just a pre-snot-nosed puppy lawyer, assuming your stupid ass ever makes it that far.

Next time I'm driving through Iowa I'll look for you behind the counter while I'm getting gas.

[La literatura]

Originally Posted by frazod

Sorry, I guess you're just a pre-snot-nosed puppy lawyer, assuming your stupid ass ever makes it that far.

Next time I'm driving through Iowa I'll look for you behind the counter while I'm getting gas.

I warmly invite you to spend a lot of time doing that. That sounds as productive as your typical work day.

[Detoxing]

Originally Posted by stonedstooge

Should have circled the 3rd item as well. Added to the Welcome Wagon package for the illegals

It says immigrants, not Illegals.

Learn to read.

[petegz28]

Originally Posted by La literatura

You do realize that your reputation on this site, aside from being a right-wing mouthpiece, is for throwing temper tantrums about sports, correct?

You do realize I don't give a shit, right? Obviously not.

[Comrade Crapski]

Originally Posted by Direckshun

I'm pretty sure orange was criticized on this website for frequently linking to Huffington Post.

Yet I'm supposed to give two shits about CNS News.

Look, I'm sensitive to the issue of Obamacare, its strengths and its shortcomings. But I don't give two shits about CNS.

**** off, scumbag.

[cosmo20002]

Originally Posted by La literatura

So you intentionally started a deceptive thread for the purpose of me calling out your low character? Is this the purpose of most of your threads?

In the defense of pete, BEP, CoMo, and the like (sorry to leave so many of you out, but I ain't got all day)--I don't think they start deceptive threads/make deceptive posts on purpose. They are just really gullible and desperate.

[Comrade Crapski]

Originally Posted by La literatura

Oh, I'm glad to help you sort out the confusion. See, I'm a law student, which is different than an actual lawyer who you work for. The actual lawyers who pay for your unproductive ass have actually graduated from law school and passed the bar, which I haven't had the opportunity to do yet.

Jenson, you ever find out who killed your arkansas transvestite girlfriend?

[CoMoChief]

Originally Posted by cosmo20002

In the defense of pete, BEP, CoMo, and the like (sorry to leave so many of you out, but I ain't got all day)--I don't think they start deceptive threads/make deceptive posts on purpose. They are just really gullible and desperate.

This coming from the guy who thinks Obama's our lord and savior.

You're nothing but a mindless silly liberal...

[Otter]

An organization that is 16.5 trillion in debt isn't a good candidate for running anything.

Anyone who thought this would benefit is either fresh off the banana boat or plain dumb.

[blaise]

Originally Posted by Direckshun

I agree. Pete's total reliance on Drudge is an old routine.

Oddly enough it never bothered you when orange did it with the Huffington Post.

[suzzer99]

It would be nice if we could have something like a "just the facts" Obamacare thread with no partisan bickering and pissing contests. Impossible I know.

[petegz28]

Originally Posted by suzzer99

It would be nice if we could have something like a "just the facts" Obamacare thread with no partisan bickering and pissing contests. Impossible I know.

That's because the facts are still coming out. Nevermind they seem to be ever-changing.