11/18/2013

Why do Democrats like marriage penalties so much?: Now the marriage penalty in Obamacare

For decades we had a severe marriage penalty in the income tax system.  With that largely solved, now we have a marriage penalty for high income earners in Obamacare.  From The Atlantic:
The first time I heard Nona Willis Aronowitz talk about getting divorced to save money on health insurance I thought she couldn't really be serious. We were at Monte's, an old Italian place in South Brooklyn, having dinner with a group of New York women writers in late July. 
"Don't do it!" I urged her, certain, having watched my friends over the years, that no matter how casually she or her husband might treat the piece of paper that says they are married, getting unhitched would inevitably change their relationship as profoundly as getting hitched in the first place. 
But with the arrival of the Affordable Care Act's insurance exchanges, the question for Nona and her husband Aaron Cassara moved from the realm of casual conversation to a real financial conundrum. . . . 
Any married couple that earns more than 400 percent of the federal poverty level—that is $62,040—for a family of two earns too much for subsidies under Obamacare. "If you're over 400 percent of poverty, you're never eligible for premium" support, explains Gary Claxton, director of the Health Care Marketplace Project at the Kaiser Family Foundation. 
But if that same couple lived together unmarried, they could earn up to $45,960 each—$91,920 total—and still be eligible for subsidies through the exchanges in New York state, where insurance is comparatively expensive and the state exchange was set up in such a way as to not provide lower rates for younger people. (Subsidy eligibility is calculated using a complicated formula involving income in relation to the poverty line, family size, and the price of plans offered through a state's marketplace.) . . . .

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2 Comments:

Blogger RS said...

It's not that they like marriage penalties, it's that they want to reward the poor single mothers.

Ignorance of causality is near universal in progressives.

I blame George Bush.

11/18/2013 4:43 PM  
Blogger Martin G. Schalz said...

Once again the Democrats have come up with a new way to destabilize society via destroying the family structure.

As you have pointed out in the past Dr. Lott, crime stats from about 1960 onward show a correlation between higher crime rates, and the destruction of the 'nuclear family' via welfare rules that ensure a high penalty for having an intact family.

As for this current mess, perhaps it is just that once an ideation takes root, the Dems simply continue with it.

Does this apply to Gay couples too? Or is it only to be applied to hetero marriage?

11/20/2013 11:43 AM  

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