Today, Americans are facing dramatically increased health care costs, with millions losing coverage and one in three cutting back on daily living expenses to cover medical bills.
Is there anything about America's health care system that is not confusing and crooked? All of it - health insurance, Medicare, the myriad health plans I am part of through retirement, all of them are confusing to me. I do not understand the jargon and I know through experience that the jargon is deliberately confusing. They state on their correspondence things that are not even relevant to my insurance or care. When I ask why they put that sentence prominently below the balance they say, oh we used to do it that way but not any more. Then why is the sentence there?
When I was working, HSAs were offered for, I believe, catastrophic care, but I did not know they were also tax shelters. Omg.
Thanks for pointing out another trump GOP pay to play scam. Another idea with original good intentions becomes a tax loophole for the wealthy. Standard GOP mantra of save the wealthy and kill the poor and middle class, both literally and figuratively. And one thing to add to your review of the GOP HSA scam, those on Medicare are not allowed to setup an HSA. So if someone on Medicare has high out of pocket costs, they are not eligible for an HSA, but elon musk is eligible and profiting off the backs of the taxpayer again... The Epstein Class propers as the workup class suffers.
While these accounts (like 401ks too) help the wealthy, they also help the top maybe 30% of Americans. I'm sure a lot of readers here (such as myself) have an HSA or 401k. These are effectively tax breaks for people who have enough money to save anyways.
I'm of the opinion that we won't get to a truly fair system of universal healthcare or guaranteed income until sacrifices are made not just by the top 1% but the top 10% and top 30%. These little tax breaks are nice for us (an extra grand or two at tax time) but can be abused by the ultra rich for much larger savings.
Many of us will need to sacrifice these nice-to-haves to create a system that works better for us all.
I would go further and say that if you went to the top 10% and said would you forfeit your Social Security checks for a tax deductible donation they would say sure. For most at the top of the earnings scale the thousand or so bucks every month is inconsequential.
Probably but I would also like to put in a word that there shouldn't be an income limit on social security taxes. Instead, start taxing after you have made your first $5K, and continue however much you make for the rest of your working life. It's a fact that richer people tend to live longer so they should actually be paying on ALL their income, not just some limited amount, to offset the extra years they will probably see after retirement.
I thought about that, but I don't have a good answer for it. I do know the tax on capital gains needs to be restored, perhaps with some limits so it doesn't hurt middle class people saving for retirement, but possibly that tax could become a way to send more money to the collective social security fund.
Agreed, the income cap is a relic like the AMT and needs to be scrapped. Richer people also usually take better care of themselves so their “angle of descent” as I like to call it is more of a cliff…
I see these mfers have gotten more creative. Years ago when HSAs were relatively news I got my first taste as a public employee. You were eligible if you had the highest deductible plan (catastrophic care by another name). There was one big difference from this plan: It was “Use it or Lose it.” A penalty for lower earners who didn’t guesstimate their eligible medical expenses correctly. HSAs do nothing for people who have an unexpected diagnosis' or injury. On the other hand it prevented higher earners from “gaming the system.” Of course the HSA corporations make much more money now under this scheme.
The HSA plan your old job offered is how I remember the ones offered at places I've worked. They were use it or lose it, you could only be reimbursed from what was collected at that point of the year and you had to submit proof of expenditure, like a bill from the doctor or a receipt for prescription to collect.
From what is described in the article, someone can take the pre-tax deduction, not use it for medical care and redirect the ending balance to an IRA. The whole thing is misaligned.
Yup. (Think there were some over the counter medically related supplies on the permission list.) It was a bad excuse for offering very high deductibles & low coverage allegedly for “healthy people”. They’ve made it a tax evasion tool for people who have plenty already.
Trump and his GOP cronies never met a scam they couldn’t profit from or exploit in the most creative way possible. Add this HSA one (the name itself is oxymoronic) to the growing list of crooked schemes. Thanks as always, Judd, for shining the light on these cockroaches.
Again - thank you for excellent research and clear writing that makes my blood curdle and boil. I wish all Americans would read this article today! So important to see the ways income inequality (and grift) is working to the bane of most of us. Many thanks for your work.
This is the clearest explanation of yet another gift to the wealth class that I have read. This is by far the most informative use of this platform.
Thank you Judd.
Of course this company has a stupidly inaccurate name like HealthEquity. There's nothing equitable about its proposed reforms.
Very Orwellian! Up is down.
Is there anything about America's health care system that is not confusing and crooked? All of it - health insurance, Medicare, the myriad health plans I am part of through retirement, all of them are confusing to me. I do not understand the jargon and I know through experience that the jargon is deliberately confusing. They state on their correspondence things that are not even relevant to my insurance or care. When I ask why they put that sentence prominently below the balance they say, oh we used to do it that way but not any more. Then why is the sentence there?
When I was working, HSAs were offered for, I believe, catastrophic care, but I did not know they were also tax shelters. Omg.
Yet another classic example of corporate socialism. The US Treasury directly giving up revenue to subsidize private, for-profit businesses.
Welfare for the Wealthy! Their lifestyle is not cheap.
Thanks for pointing out another trump GOP pay to play scam. Another idea with original good intentions becomes a tax loophole for the wealthy. Standard GOP mantra of save the wealthy and kill the poor and middle class, both literally and figuratively. And one thing to add to your review of the GOP HSA scam, those on Medicare are not allowed to setup an HSA. So if someone on Medicare has high out of pocket costs, they are not eligible for an HSA, but elon musk is eligible and profiting off the backs of the taxpayer again... The Epstein Class propers as the workup class suffers.
Use your savings account as a de facto HSA, at least you'll get some interest on it and no fees.
That is a good alternative.
While these accounts (like 401ks too) help the wealthy, they also help the top maybe 30% of Americans. I'm sure a lot of readers here (such as myself) have an HSA or 401k. These are effectively tax breaks for people who have enough money to save anyways.
I'm of the opinion that we won't get to a truly fair system of universal healthcare or guaranteed income until sacrifices are made not just by the top 1% but the top 10% and top 30%. These little tax breaks are nice for us (an extra grand or two at tax time) but can be abused by the ultra rich for much larger savings.
Many of us will need to sacrifice these nice-to-haves to create a system that works better for us all.
I would go further and say that if you went to the top 10% and said would you forfeit your Social Security checks for a tax deductible donation they would say sure. For most at the top of the earnings scale the thousand or so bucks every month is inconsequential.
Probably but I would also like to put in a word that there shouldn't be an income limit on social security taxes. Instead, start taxing after you have made your first $5K, and continue however much you make for the rest of your working life. It's a fact that richer people tend to live longer so they should actually be paying on ALL their income, not just some limited amount, to offset the extra years they will probably see after retirement.
The super rich often have not much W2 income, so we need to have taxes on wealth, too.
I thought about that, but I don't have a good answer for it. I do know the tax on capital gains needs to be restored, perhaps with some limits so it doesn't hurt middle class people saving for retirement, but possibly that tax could become a way to send more money to the collective social security fund.
Yeah, many things need to change
Agreed, the income cap is a relic like the AMT and needs to be scrapped. Richer people also usually take better care of themselves so their “angle of descent” as I like to call it is more of a cliff…
@Dr. Amy Acton These HSAs will probably be touted In Ram’s campaign. This is a great article to pull Democrat talking points.
I see these mfers have gotten more creative. Years ago when HSAs were relatively news I got my first taste as a public employee. You were eligible if you had the highest deductible plan (catastrophic care by another name). There was one big difference from this plan: It was “Use it or Lose it.” A penalty for lower earners who didn’t guesstimate their eligible medical expenses correctly. HSAs do nothing for people who have an unexpected diagnosis' or injury. On the other hand it prevented higher earners from “gaming the system.” Of course the HSA corporations make much more money now under this scheme.
The HSA plan your old job offered is how I remember the ones offered at places I've worked. They were use it or lose it, you could only be reimbursed from what was collected at that point of the year and you had to submit proof of expenditure, like a bill from the doctor or a receipt for prescription to collect.
From what is described in the article, someone can take the pre-tax deduction, not use it for medical care and redirect the ending balance to an IRA. The whole thing is misaligned.
Yup. (Think there were some over the counter medically related supplies on the permission list.) It was a bad excuse for offering very high deductibles & low coverage allegedly for “healthy people”. They’ve made it a tax evasion tool for people who have plenty already.
The profits made from health care scams are what makes reforms that are simple and obvious impossible to implement. Like medicare for all.
Trump and his GOP cronies never met a scam they couldn’t profit from or exploit in the most creative way possible. Add this HSA one (the name itself is oxymoronic) to the growing list of crooked schemes. Thanks as always, Judd, for shining the light on these cockroaches.
Had no idea these HSA accounts are vehicles for HNWI to divert taxes & also serve the wealthy as an investment vehicle. Maddening 🤨
Again - thank you for excellent research and clear writing that makes my blood curdle and boil. I wish all Americans would read this article today! So important to see the ways income inequality (and grift) is working to the bane of most of us. Many thanks for your work.
An EXCELLENT article and so important to spread! DEMOCRATS-DAMN IT help spread this information!
Poorly regulated capitalism is a rigged game, but I repeat myself.
Thank you for exposing this grift!
As always, a startling report.