Chart: The Rising Cost Of Obamacare Fines

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Via the Daily Signal, here’s a chart showing how much the fines for failing to have health insurance under Obamacare are going up, and the IRS is the enforcement agency.

Obamacarefinesrise_v2-1024x907

In 2016 a family with household income of $50,000 will have to pay a fine of $1,250 if they are not compliant. That’s a lot of money, but the cost of having insurance for many middle and low income families will be too much to absorb, as explained in the Wall Street Journal. Even employees with mini-med type plans available will still be hit hard if they have dependents to cover.

The result: Only one of the 58 remaining full-time employees enrolled in a bronze plan; the rest will likely be in MEC plans.

What about the families of these workers? Employers don’t have to pay the premiums for coverage of dependents. So to cover a family of three, the employee in one of these restaurants can face a premium of $805 a month for a bronze plan, almost 70% of his monthly wage. Since ObamaCare considers this offer “affordable,” any family member who turns it down is ineligible for premium subsidies on an insurance exchange.

What about the mini-med plans? Although these plans are offered free to the employees, dependent coverage is not free. An employee has to pay about 25% of his income to cover a spouse and kid. If he doesn’t, the family faces a fine next April 15.

Let’s return to the workers in the survey whose hours were reduced to part time. They can get subsidized insurance through an exchange, but they will be asked to pay up to 9.5% of their income for what is unattractive coverage. Some of them previously had mini-med plans, but this kind of insurance is no longer available to them.

To recap: Almost half the workforce of these restaurants was involuntarily reduced to part time and has less income as a result. These employees have also lost the opportunity to have the coverage they most prefer: mini-med plans that pay for medical care they are most likely to need.

Those few remaining full-time employees will get mini-med insurance for themselves, but they are unlikely to be able to afford coverage for any dependents they have. (Read More)

The more you know about Obamacare, the more you realize how Orwellian the name “Affordable Care Act” really is.