Biden Proposes an Increased Tax Rate on High Earners to Extend the Solvency of Medicare

President Biden is proposing to extend the solvency of the Medicare national healthcare program by 25 years with an increased tax rate on high earners.

The proposal, unveiled Tuesday morning, would fund the program into the 2050s by increasing the Medicare tax rate from 3.8 percent to 5 percent for households making more than $400,000 a year.

The Medicare trust fund is set to run out in 2028 under current tax and spending levels.

“Since Medicare was passed, income and wealth inequality in the United States have increased dramatically. By asking those with the highest incomes to contribute modestly more, we can keep the Medicare program strong for decades to come,” the White House said in a statement.

Read the source article at thehill.com