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Bernie Sanders new review of Elizabeth Warren’s Medicare for All plan

Bernie Sanders new review of Elizabeth Warren's Medicare for All plan

 

  • Senator Bernie Sanders on Thursday tightened his criticism of his progressive rival, Senator Elizabeth Warren, stating that her Medicare-for-All plan would be “quite a success” for average workers and employers.
  • During an interview for the “Deconstructed” podcast, moderated by journalist Mehdi Hasan and published Thursday, Sanders supported the main idea of ​​Warren’s plan, which aims to provide every American with comprehensive health benefits, with virtually no deductibles, co-payments, or premiums.
  • However, he expressed concern that this would ultimately harm the companies and their employees.
  • Economists such as Howard Gleckman of the Tax Policy Center described Warren’s taxation method as “regressive” and effectively as “a blanket tax on all employees of the same company”.
  • Further information can be found on the homepage of Business Insider.

Senator Bernie Sanders has tightened his criticism of his progressive rival, Senator Elizabeth Warren, stating that her Medicare for All would be “quite a hit” for average workers and employers.

During an interview for the “Deconstructed” podcast, moderated by journalist Mehdi Hasan and published Thursday, Sanders supported the main idea of ​​Warren’s plan, which aims to provide every American with comprehensive health benefits, with virtually no deductibles, co-payments, or premiums.

However, he expressed concern that this would ultimately harm workers and stated that payroll tax, as proposed as a financing option, would bring in more taxes from wealthy workers.

“If you charge a company that hires workers for $ 40,000 or $ 50,000 with a poll tax of $ 9,500, that’s quite a success, quite a success,” Sanders said, referring to a unified tax, the employers For each employee, the same amount will be used to fund Medicare for All.

It is the final salvo of the Democratic candidate in the financing structure that drives Warren forward. Last Friday, Sanders told ABC News that his overall health plan was “much more advanced” to protect the interests of middle-class families.

Warren launched its $ 20.5 trillion plan last week, and nearly half of it depends on $ 8.9 trillion of employers’ current health spending being redirected to the federal budget.

According to their plan, employers would pay a per worker rate equal to 98% of their health care expenses and increase payments annually to keep up with health care costs. Companies with fewer than 50 employees would be exempted if they do not already provide insurance cover.

It was criticized by some experts. Economists such as Howard Gleckman of the Tax Policy Center described Warren’s taxation method as “regressive” and effectively as “a blanket tax on all employees of the same company”.

Bernie’s example

He outlined an example of a company that offers workers’ insurance that costs $ 10,000 a year, with the employer taking $ 7,000 and the workers paying the remaining $ 3,000. Warren would effectively charge the employer $ 6,860 – or 98% of what he is currently spending – to fund his employees’ health insurance.

But it would be a blow to companies that already offer generous healthcare because their employees would be placed in a government insurance plan available to everyone else. And the tax would replace employers’ current health spending and serve as an indirect tax on workers, the economist said.

Low paid workers would absorb a much larger share of their salary through health care than high earners such as business people.

“In contrast, a simple income tax or a well-thought payroll tax would be much more progressive,” Gleckman wrote in TaxVox.

Warren defended her plan as a slightly cheaper option to take out health insurance that would benefit companies overall.

“We stabilize it to 98% of what they’re paying for, and you do not have to have HR departments that struggle with insurance companies,” Warren told ABC News. “So that’s something that will help employers”

Research has shown that the rapid rise in the cost of US health care over the past two decades has put pressure on wages.

Although Sanders recently said he had no plans to release a Medicare for All payment plan soon, the Vermont Senator issued a list of nine options that could eventually be paid for the plan. Among the options is a payroll tax of 7.5 percent for employers, which would bring in $ 3.9 trillion in a decade.

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