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Sorry, the "most" statement was in terms of the federal budget since they are federal programs. I see that 24% and 25% going to social security and health care
by bko 10y ago
Sorry, the "most" statement was in terms of the federal budget since they are federal programs. I see that 24% and 25% going to social security and health care (although that includes CHIP and ACA), so about 2/3rds goes to Medicare and Medicaid. So, yes, you're right. Not most, but a significant portion. And also I would point out that since the elderly are relatively wealthy compared to the young that generally fund these programs, this tax is also regressive.
The tax structure is complicated in the US and is hard to tease out who pays for what programs, even leaving aside "fairness". But I think that's another point of criticism that makes Americans skeptical of the prudence of their tax dollars.
> Social Security: Last year, 24 percent of the budget, or $888 billion, paid for Social Security, which provided monthly retirement benefits averaging $1,342 to 40 million retired workers in December 2015. Social Security also provided benefits to 2.3 million spouses and children of retired workers, 6.1 million surviving children and spouses of deceased workers, and 10.8 million disabled workers and their eligible dependents in December 2015.
> Medicare, Medicaid, CHIP, and marketplace subsidies: Four health insurance programs — Medicare, Medicaid, the Children’s Health Insurance Program (CHIP), and Affordable Care Act (ACA) marketplace subsidies — together accounted for 25 percent of the budget in 2015, or $938 billion. Nearly two-thirds of this amount, or $546 billion, went to Medicare, which provides health coverage to around 55 million people who are over age 65 or have disabilities. The rest of this category funds Medicaid, CHIP, and ACA subsidy and exchange costs. In a typical month, Medicaid and CHIP provide health care or long-term care to about 72 million low-income children, parents, elderly people, and people with disabilities. (Both Medicaid and CHIP require matching payments from the states.) In 2015, 8 million of the 11 million people enrolled in health insurance exchanges received ACA subsidies, at an estimated cost of about $28 billion.
http://www.cbpp.org/research/federal-budget/policy-basics-where-do-our-federal-tax-dollars-go http://www.cbpp.org/research/federal-budget/policy-basics-wh...