Obamacare Is Sucking Up To 10% Of Americans' Incomes

Tyler Durden's picture

The latest dilemma facing economists is why "unequivocally good" low oil prices haven't sparked excuberant consumer spending across America. We have discussed the simple (though awkward for the establishment) answer many times - soaring costs for 'shelter' and healthcare have hoovered up every penny saved (and more); and now, a new study proves it- exposing the reality that many Obamacare customers pay more than 10 percent of their incomes toward coverage (and some paying considerably more).


The shocking findings show that, as CNBC summarizes, One in 10 Obamacare customers who earn between just two and five times the federal poverty level will have coverage costs that exceed 21 percent of their incomes, an analysis by the Robert Wood Johnson Foundation and the Urban Institute found.

And the median Obamacare customer who earns in that range spends more than 10 percent of their income on monthly premiums and out-of-pocket health expenses, the analysis found.


"Many who have modest incomes have high financial burdens even with average medical expenses," the report said.  


"For those at the top of the [health] spending distribution, financial burdens are very high."

"You start to get hit pretty hard," said John Holahan, an Urban Institute fellow, and co-author of the report.

So in case you were wondering why your 'pocket book' never improved - it's simple - the commandeerer in chief's plan has sucked up all your extra savings.

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Full Urban.org Study below:

Obamacare Costs

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Cognitive Dissonance's picture

As far as the "Health Care" industry is concerned........Mission Accomplished

VinceFostersGhost's picture



This is a big f_ckin deal - Uncle Joe

Took Red Pill's picture

How many of the world's 50 wealthiest nations provide free and universal health coverage? The answer is, of course, 49.The entire wealthy or "developed" world does so, with the exception of the United States

surf0766's picture

Then move to one of the 49

pods's picture

I laugh when I hear them call it "healthcare."

Ain't nothing healthy about it. I did well avoiding the system so far. Premiums are still low thank heavens.

So much fucked up with the system in the US you cannot even find out where to start to sort it out. Gordian knot.


Agstacker's picture

No kidding I did the math when they announced the tax 'penalty' for not having insurance, WAY cheaper than shelling out hundreds of dollars a month with a 5K or higher deductible needed before they kick in a penny.  I've been uninsured for over 5 years now, only went to the dentist a couple of times and the eye doc, paid cash both times.

KesselRunin12Parsecs's picture
KesselRunin12Parsecs (not verified) Agstacker Dec 28, 2015 9:15 AM

 "I will pay Obama's gas & mortgage"

~Jospeh Peggy

TeamDepends's picture

If you like your disposable income, you....

KesselRunin12Parsecs's picture
KesselRunin12Parsecs (not verified) TeamDepends Dec 28, 2015 9:23 AM

...can DISPOSE of it (& be left with hope & change for your efforts).

new game's picture

if you are healthy the only option is opt out. set the premiums aside and watch it grow. what part of self insured don't you understand. oh to be healthy. that is the issue. food, exercise and positive attitude and premium free and watch the account grow...

as predicted, the healthy say fuck off.

everybody in my family premium free, ha. fuck off fascist healthcare!

the healthy pay for the irresponsible unhealthy fuks, don't be a fool. opt out.

insurance needs idiots to pay for their liabilities, all playing on fear. insurance=fear...

ps. i got an terror policy with very high premiums just for you, ha again.

Fish Gone Bad's picture

Avoiding the western diet may let one dodge: cavities, diabetes, heart disease, hypertension, alzheimers, hypothyroidism, cancer and obesity (and probably a few others).  Wherever the europen explorers brought white flour and sugar, these diseases followed...

Handful of Dust's picture

I was going to reply to your commnet ... but I forgot what I was going to say.

oldmanofthesee's picture

I think it was....."appropriate to place Obama and suck, in the same headline".

COSMOS's picture

http://salaries.texastribune.org/  scroll towards the bottom.  You are paying for somebody's lifestyle and it ain't yours.



look at the pigs at the trough


Theosebes Goodfellow's picture

I knew we were screwed the moment Obama named it the "Affordable Care Act".


That guy just kills me! No, I mean it. Really. kills. me.

(And I don't even need to depend on the VA!)

JRobby's picture



Yes Goodfellow, once one understands the language "inverse speak" it is easy to understand at least some of what comes out of the mouths of elected GOVT "servants"

Ghordius's picture

it's only a Gordian knot if the adoption of a well-tested other method/system as solution would have a violent result

nearly thirty other so called first world countries have a system that works and is affordable... particulary in comparison

but the "US healthcare" industry insists that it's... socialist

overmedicatedundersexed's picture

Ghordius, ever see any surveys of england's hospitals for example, the infection rates, the open wards - filth and doctor strikes?? for many years we avoided that minimum care model in USA and by the very fact that so many elites from around the world COME HERE for serious conditions.makes it all too obvious, you live with minimal care often poor care vs the old system we had in USA..which provided excellent care for a very long time. not now.

seems ,i guess. I am always running into exceptions, like a canadian friend who told me of the horrors of canadian wait lists and refusal of care ..it's free up there in canada but it is often not available also.

PavlovPup's picture

There are people whoi slip through the cracks, but don't kide yourself it is much  much better than the alternitives. If you get sick up here, costs are not the first thing you worry about.


Ghordius's picture

first, the UK is not the only country that uses that model. it's one out of some 30 of the so called first world countries alone. the UK and Canada are two countries and hardly representative

second, "the elites" that come to the US for medical treatments have nothing to do with your healthcare. it's fully private clinics, with downpayments before treatments even start

third... the system you had before? I really can't talk about that, I have little knowledge of it. I vaguely remember that involved employers, which frankly sounds to my ears distasteful and neo-feudal. why don't you tell me why the Dems found it had to change? perhaps because it was not "universal"?

daveO's picture

Those countries are broke, too.

It seems a voluntary employer-based plan is far less 'feudal' than one where the the lords of DC dictate what the peasants will buy.

'Universal' care has nothing do with healthcare! It's about slavery. It's a Trojan Horse. It IS the new feudalism. 

You're apparently not old enough to remember when 'cash' doctor visits were reasonably priced, yet you call voluntary health insurance 'neo-feudal'. It was decades ago. It was before Medicare/Medicaid, funded with fraudulent FED fiat, drove prices through the roof. End the FED. 

Ghordius's picture

is it a kind of involuntary reflex, this "those countries are broke, too"? neo-feudalism, the way I understood this term, is about corporations fully owning their employees

"universal" in regard to healthcare means that you are not left in the gutter bleeding. you are picked up and your bleeding is fixed, first, and then, perhaps, a discussion about costs is done

I am more then old enough... and completely elsewhere

thinkmoretalkless's picture

That happens here too. Just visit an urban ER on a Saturday night. Insurance is just like the Federal Government, 1) sell with fear and promises. 2) charge up the wazzoo and keep the price increases coming. 3) Welch on the payout, slow play it, bait and switch, give them the shit product.

We are all going to die despite Eric Schmidt's brilliance....deal with it.

Killdo's picture

most things in America are neofeudal and based on slavery. They do want to fully own their employees and they want them scared and worried (they probably learned these tricks from religion)

I've lived in all 3 countries (US, Canada and UK) and American healthcare is not better even though it costs much more. I have noticed  how doctors push anti depressants no matter if you need them or not. And they are very pushy. The same goes for diabetes drugs (without telling you that diet and exercise can stop you from getting type 2 diabetes)

The foreigners that come to the US for treatments are usually misinformed (or believe Hollywood movies). I have met many disillusioned foreigners that were not happy with American doctors at all

I have never seen such predatory doctors (and vets) - it's all about pushing drugs. Curing you is the last thing they want. They want you to be their annuity. 

Even for dogs - vets sell food made of grains . I see many little terriers in San Francisco have diabetes (and are on expensive drugs). I had the same problem with my dog years ago and the groomer told me to stop buying the grain baased food (I used to buy from the same expensive vet). 

As soon as I removed grais my dog  became healthy and has been healthy ever since. 

I have heard many similar stories with American docotors and how they treat their patients - it's all about prescribing drugs (they get kickback for) and they don't even know how to interpret scientific data as well explained in this book by a director of Max Plnk Institute in Berlin: 


big pharma owns the doctors in the US. And they do whatever big pharma tells them

daveO's picture

The UK imports Pakistani Muslim doctors, some who like to blow things up! Hospice (euthanasia) was started in the UK right after...wait for it...national healthcare. 

pods's picture

The world system is socialist though.  The vast majority of R&D costs are paid by the US.  Other nations pay production costs (plus a small markup) because the FDA is the gold standard. Only very recently has the EP, JP and others started to play a role. For the longest time everyone "followed the FDA."

That is why there are re-importation laws in the US.

Almost all arguments about drugs are myopic and disingenuous.  They look at costs for bringing a drug to market. But you have to take into account that there are dozens of possible molecules that start out, with final approval of 1 drug having to shoulder the costs of all the non-selected ones. Especially when a new class is being looked at.

So your argument holds well, when looked at in singular.  But, when looked at as a whole, those systems depend on the larger system as a whole.

If you were to shoulder R&D costs on those other systems, they soon become unworkable.



Ghordius's picture

I frankly don't know enough about that to be drawn into particulars, here. call it a "jumping into the fray" because you mentioned a Gordian Knot

but if medical drugs development is shouldered by America... why are some of the most prestigious megacorps in that business based in Switzerland? a silly question to which I never had a satisfactory answer

BlindMonkey's picture

Pharma are global manufacturers and global distributors.  It doesn't matter where they are physically located.  I would therefore assume that the HQs are distributed according to how each sees the combination of tax exposure and liability.  The current merger of Pfizer and Allergen is a good example.  Pfizer wants to get the hell out of the US.

pods's picture

Oh I don't have the answers Ghordius, frankly I doubt anyone does.

I just hate how discussions tend to focus on single parts without taking into account the whole system, in an international sense.


Ghordius's picture

me too, and the "it's socialist and it works badly" meme tends to focus on comparisons with Canada and the UK only

but in the case of the drug industry, one "exceptionalistic" comment is possible: the US market for them is special, and way more expensive. I'd say... cornered

and this, as in my comment further below, smells of corruption

Not My Real Name's picture

Question, Ghordius: Do you consider yourself a socialist?

Ghordius's picture

my goodness, no. my political views could be summarized as centrist, in the old sense of the word

I am against excesses, radicalism and extremism

Liberty, Fraternity and Equality... in Moderation. Which is a virtue, btw

but being in the middle of the political spectrum makes me of course a target for all extremists from all three main political directions, and cranks, too

BOPOH's picture

I laugh when they call them a nation.

y3maxx's picture

..."We've Cypressed a few Americans"...

Puppet in Chief of the NWO

B H Obama

nscholten's picture

it isn't that fucking asy to move fucktard.  And maybe someone should stay and fix it.

overmedicatedundersexed's picture

red pill, could you define : "free health care"?? here in amerika you show up at an ER and no habla english and by gosh it;s alll free!!!!!!!!!!

overmedicatedundersexed's picture

for all you it's free in my country types: the most expensive care i have been envolved with, were, non citizens of usa,  who came here for OUR medicine.

care to explain dat??(.MDR TB, to long term  hyperalimentation as examples.) you ship your expensive cases to USA..that's the truth.


Ghordius's picture

indeed, I know some dozen cases of Britons, South Africans and Australians that went to the US for medical treatments

every and each case, though, paid a lot of money for those. and often, they shopped elsewhere for medicines, them being particularly expensive in the US

are you suggesting they could have had their treatments for free, or at a rebate? if yes, please tell how

Government needs you to pay taxes's picture

This nation's formula has worked for 250+ years.  Freedom and an opportunity to realize your career dream.  Nobody mentioned free shit when the Founders wrote the Constitution.  Now take your parasitic ass and choke yourself.

Ghost of PartysOver's picture

So true and so Trump'ish.   USSA needs a healthly does of Trumpism's or it will be, without a doubt, SCHLONGED (sic),

TruthHunter's picture

"Now take your parasitic ass and choke yourself."

If you are in the Health Care Industry or invest in the same, start with yourself.


BTW, if you are an undocumented tomato picker, repetitive motion injuies  will break

you down long before retirement.


You pay for cheap tomatoes  with your health care.

Bay Area Guy's picture

Took Red Pill:  Wow, do you mean to say that doctors, nurses, hospitals and pharmaceutical companies in those 49 other countries provide all their services without receiving ANY compensation?  How generous of them.

Of course, it's not free.  People in those countries are paying for their health care out of their taxes instead of paying premiums, copays and deductibles.  There is no such thing as "free" health care.

Took Red Pill's picture

Yes, that's true. But they are more efficent and much less expensive than our "for profit" system

Hobbleknee's picture

Yes, they're so efficient that people die waiting in line.


P.S. American healthcare is already subsidized (aka socialized) heavily, and that's one of the reasons why it's so expensive.

Not My Real Name's picture

Ah, yes, Red Pill ... There's that dreaded "P" word: profit. 

And your claim regarding solcialized medicine being "more efficient and much less expensive" than a true, unencumbered for profi system is laughable. Seems to me that you need a refund on your pills -- you clearly ingested the blue one. 

JRobby's picture

Healthcare Insurers make nice profits

Healthcare Industry makes nice profits

What concept are you not grasping? Can you read and understand a financial statement? Can you get your mind around the cost containment problem that has to exist when one profitable industry provides another profitable industry with ALL of it's revenues?

jme540's picture

But unlike the US healthcare, our healthcare was desinged to be cheap (but functional) - grumpy doctors, ugly (often state owned) hospitals, emphasis on preventive care, it is difficult to sue hospitals for damages etc. Is this what you want? Or do you want (not so much functional) luxury paid by someone else?

NoPension's picture

Took Red Pill.

Help me out here, sport.

Define free. Tell me, and anyone else, how these other countries, provide healthcare for FREE. The doctors and nurses don't get paid? Contractors build the hospitals at no charge? They donate their time? Medicine and supplies are magically produced for zero renumeration?
This sounds like a fairy tale. But, it can't be....because people keep bringing it up.
Free, universal health care!!!! Free. Fucking free!!! How is this?

Can they also do free food and water?
Free houses?
Free roads, bridges, power plants and wastewater?
Free military defense?

Or is it just magic free healthcare? Doesn't cost nobody chit.

Dixie Rect's picture

Amazing! How do they det doctors and nurses to work for free? They must also find Hospitals with free rent, no cost electricity, entire support staffs who work for nothing. If it is truly free, that seems to be the only logical way it would work. Free is free. Noone paying anything for anything. Wow.

Iam_Silverman's picture

"How many of the world's 50 wealthiest nations provide free and universal health coverage?"

Please explain this "free" part of your statement.  Do the doctors all work on a volunteer basis?  Do the hospitals write off all of their expenses as a loss?  I just cannot wrap my head around modern health care being provided to all the citizens of any country at absolutely no cost - to SOMEBODY.


It's sorta' like when I buy a new car and it comes with "free tires".  Somewhere in the price I've paid for those tires.