A government-run health insurance system dubbed as “Medicare for All,” and the Green New Deal represent the Democratic Party’s most prized policy proposals. Both make sweet-sounding promises but will deliver a bitter economic reality.
Conservative estimates for the cost of a government-run health care system, like the one being proposed by Sen. Bernie Sanders, range between $32 trillion and $36 trillion. It would force Americans to pay more than double the taxes they now pay. It would also create new taxes and vastly expand existing ones.
This government-run health care plan would impose an additional 4 percent income tax on employees, which is referred to as an “income-based premium paid by employees.” The addition of this tax would increase costs for individuals and families to the tune of $3.9 trillion. The Democrats’ plan would also add a 7.5 percent payroll tax on employers. According to estimates, this would increase taxes on employers by $3.5 trillion over 10 years.
The proposed government-run health care system would broaden the self-employment tax to require certain business owners to report more of their business income as salary. The move would increase taxes on