Highlights From Obama’s Budget Proposal

[cali]

much more at the link.

<snip>
President Obama’s budget would reduce the growth of federal health spending by $401 billion over 10 years.

The savings include $57 billion of higher payments by Medicare beneficiaries; cuts of $306 billion in projected Medicare payments to health care providers; and $19 billion to be squeezed out of Medicaid, the program for low-income people.

<snip>

The Obama White House has offered a pre-emptive reduction in the proposed budget for the Environmental Protection Agency, which always seems to be a favorite target of Republican budget-cutters on Capitol Hill.

The administration’s proposed budget for the fiscal year beginning Oct. 1 provides $8.2 billion for the E.P.A., a decrease of $296 million, or 3.5 percent, below current year spending.

<snip>

http://thecaucus.blogs.nytimes.com/2013/04/10/latest-updates-on-obamas-budget-proposal/

[ProSense]

1. Is anyone going to

"The savings include $57 billion of higher payments by Medicare beneficiaries; cuts of $306 billion in projected Medicare payments to health care providers; and $19 billion to be squeezed out of Medicaid, the program for low-income people."

...object to making high-income seniors pay a little more?

Wealthy taxpayers and the finance industry: The budget includes a number of tax hikes on upper-income Americans. Hedge fund managers and private equity partners will have to pay higher tax rates on their income (this is known as closing the “carried interest” loophole). The estate tax would revert to higher, 2009-era levels. And the budget would levy a new fee on the largest financial institutions. These three measures alone would raise $154 billion over 10 years.

Upper-income Medicare recipients: The budget proposes a hike in premiums for upper-income seniors enrolled in Medicare Parts B and D. This will raise $50 billion over 10 years.

http://www.washingtonpost.com/blogs/wonkblog/wp/2013/04/10/winners-and-losers-in-the-white-house-budget/

Here is a current chart of existing premiums to which this increase would apply: http://www.socialsecurity.gov/pubs/media/pdf/EN-05-10536.pdf

A Budget Focus on Inequality
http://www.democraticunderground.com/10022650258

[FLyellowdog]

2. This chart confused me. Can you help me understand?

Individuals with a MAGI of $85,000 or less
Married couples with a MAGI of $170,000 or less
Standard premium=$104.90 Your plan premium (nothing was posted)

Individuals with a MAGI above $85,000 up to $107,000
Married couples with a MAGI above $170,000 up to $214,000
Standard premium + $42.00 Your plan premium + $11.60 Is this the total premium or the increase?

It looks to me like the first lower income group has to pay more than the second higher income group. Is that what it is?

And if so, what's the WH's reasoning behind making those who have less pay more?

[ProSense]

3. First,

"It looks to me like the first lower income group has to pay more than the second higher income group. Is that what it is? "

...the chart shows the current law, and the increases proposed are on top of the amounts reflected. Secondly, the second group is paying "Standard premium ($104.90) + $42.00"

[FLyellowdog]

4. Thanks.

That's what I initially thought but then I over-thought it and everything got jumbled up.

No, I don't have a problem with those higher income levels paying more than the lowest one. Seems fair to me.

So the bruhaha over the SS proposal is...

While there are increases in the amounts of premiums for some, all people will continue to receive increased benefits but at a slower rate than we do now. So I take that to mean that we will not be able to keep up with the cost of living and therefore we'd be worse off.

What I can't find is exactly how much these cuts will actually cost us. One link I found said that the annual changes are estimated to be somewhere in the vicinity of 0.1 percent to 0.3 percent per year. But when posted a DUer read the article and took something different from it.

So how much will we lose in actuality?

I continue to want to support Pres. Obama but it's becoming increasingly difficult if everything I see here on DU is true.

Thanks again for your help.