{"id":20753,"date":"2023-09-24T05:00:53","date_gmt":"2023-09-24T05:00:53","guid":{"rendered":"https:\/\/www.thinkadvisor.com\/2023\/09\/24\/medicares-chief-actuary-grades-a-proposal-to-hike-taxes-on-the-wealthy\/"},"modified":"2023-09-24T05:00:53","modified_gmt":"2023-09-24T05:00:53","slug":"medicares-chief-actuary-grades-a-proposal-to-hike-taxes-on-the-wealthy","status":"publish","type":"post","link":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/2023\/09\/24\/medicares-chief-actuary-grades-a-proposal-to-hike-taxes-on-the-wealthy\/","title":{"rendered":"Medicare’s Chief Actuary Grades a Proposal to Hike Taxes on the Wealthy"},"content":{"rendered":"
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A top Medicare official predicts that a tax bill could keep the program solvent for at least 75 years \u2014 if the bill raises as much money as supporters hope it will.<\/p>\n

Paul Spitalnic, chief actuary of the Centers for Medicare and Medicaid Services, the federal agency that runs Medicare, made that prediction in an analysis<\/a> of the possible impact of S. 1174<\/a>, the Medicare and Social Security Fair Share Act.<\/p>\n

What It Means<\/h2>\n

Agents and advisors who work with high-income clients may have to pay more attention to S. 1174, now that an agency has suggested that implementing it could keep Medicare solvent.<\/p>\n

The Medicare Part A Trust Fund<\/h2>\n

Medicare trustees now predict the Medicare Part A hospitalization program could empty out a trust fund that helps pay the claims by 2031. At that point, tax revenue and premium revenue would cover about 89% of projected Medicare Part A bills.<\/p>\n

The Net Investment Income Tax<\/h2>\n

Sen. Sheldon Whitehouse, D-R.I., wants to raise money to shore up Medicare by increasing the 3.8% net investment income tax. The tax affects the investment earnings of single taxpayers with modified adjusted gross income of at least $200,000 and couples with MAGI of at least $250,000 that file joint returns.<\/p>\n

S. 1174<\/h2>\n

S. 1174 and H.R. 4535<\/a>, a similar bill introduced in the House, would:<\/p>\n