Proposal Health Cost Re-distribution
based on '90 total health costs of $666 billion
and national per capita income of $20,000
Private Sector
Health care share per capita $2,664
Employee's share 40% 1,066 x 102 million = $109 billion
Employer's share 60% 1,598 x 102 million = 163 billion
Employee Dependents
Women not working 18-65 2,664 x 14 million = 37 billion
Children under 18 2,664 x 64 million = 170 billion
Retirees 40% 1,066 x 30 million = 32 billion
Medicare portion of FICA
1.45% x $20,000 x 2 x 102 million = - 59 billion
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Net 180 million 452 billion
Increase +143 billion
Public Sector
Fed. 60% share for retirees 1,598 x 30 million = 48 billion
Fed. 100% for unemployed 2,664 x 8 million = 21 billion
Fed. 100% for poor/uninsured 2,664 x 32 million = 85 billion
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Total 70 million 154 billion
Decrease -143 billion
Grand Total 250 million = 606 billion
Rounding 1 billion
Savings from Medicare FICA 59 billion
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Proof 666 billion
Current Cost Distribution
Private Sector $369 billion
Federal health costs '90 297 billion
based on '90 total health costs of $666 billion
and national per capita income of $20,000
Private Sector
Health care share per capita $2,664
Employee's share 40% 1,066 x 102 million = $109 billion
Employer's share 60% 1,598 x 102 million = 163 billion
Employee Dependents
Women not working 18-65 2,664 x 14 million = 37 billion
Children under 18 2,664 x 64 million = 170 billion
Retirees 40% 1,066 x 30 million = 32 billion
Medicare portion of FICA
1.45% x $20,000 x 2 x 102 million = - 59 billion
----- -------------
Net 180 million 452 billion
Increase +143 billion
Public Sector
Fed. 60% share for retirees 1,598 x 30 million = 48 billion
Fed. 100% for unemployed 2,664 x 8 million = 21 billion
Fed. 100% for poor/uninsured 2,664 x 32 million = 85 billion
----- --------------
Total 70 million 154 billion
Decrease -143 billion
Grand Total 250 million = 606 billion
Rounding 1 billion
Savings from Medicare FICA 59 billion
--------------
Proof 666 billion
Current Cost Distribution
Private Sector $369 billion
Federal health costs '90 297 billion
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