Enrollment in health savings accounts up 87% since 2008

According to Forbes, more than 11 million Americans are now covered by an HSA plan.  That’s up 14% in one year and a mind-boggling 87% increase since 2008. Find the Forbes article here.

Health savings accounts were introduced as part of the Medicare Reform Act in 2004.  A health savings account combines a high deductible insurance plan (HDHP) with a tax-sheltered savings account that is similar to an IRA.

Deposits into the savings account are 100% tax deductible and can easily be accessed via check or debit card to pay for routine medical bills with tax-free dollars.  The high deductible plan provides valuable protection above the selected deductible amount.  Premiums are paid to an insurance company to provide the coverage under the insurance plan but those premiums typically are much lower than traditional plan premiums.

You can get quotes from major insurers that offer HSA-qualified high deductible plans through our site by clicking this link: Get HSA quotes.

For additional information, use the “contact” link and drop us an email or give us a call.

Our agency has been marketing these plans since day 1and we’ve been marketing medical savings accounts, the predecessor to health savings accounts, since 1999.

Obama’s Lawyer: Don’t Like the Individual Mandate? Just Make Less Money

In what can only be described as an incredulous turn of events, the Obama administration has gone from arguing “it’s a tax” to “make less money” in its effort to stave off legal challenges to the healthcare reform law.

Originally, the administration had tried to argue that the penalty for not purchasing individual coverage was just a tax, and as such, clearly met constitutional muster under the Taxing Clause.  But that argument has seen its better day, especially after being shredded apart by one lone Federal Judge in Florida.

Noting that the purchase requirement only kicks in after a minimal amount of income, acting Solicitor General Neal Katyal suggested to a Sixth Circuit panel that the way around the mandate simply is to make less money.  In most cases, a LOT LESS money.  Since even an hourly employee at McDonald’s would presumably make too much to avoid the mandate, most people would not make enough money to buy weekly groceries if they wanted to ensure that their income would not trigger the mandate.

This shows how desperate the administration is to salvage this mess – at any cost.  Instead of going back to the table and finding workable solutions with Republicans, the Democrats have held steady while their ship sinks deeper and deeper in the troubled legal waters.

As I’ve mentioned previously on this blog, we all had better hope that the court system shuts the door on this silly idea that the Government can force people to buy individual products or services from private companies.  Otherwise, we may all be forced to buy broccoli – if the Government says we must.

Our legal system has all but eradicated the 10th Amendment.  Hopefully, the Tenth can regain some footing during this process.

CDR

IRS Wolves Called Off – But Who Pays Now?

On April 15, President Obama signed legislation that rescinds the burdensome 1099 requirement that was inserted into the healthcare reform legislation to help fund Obamacare.

The idea was simple enough. Increase reporting of independent contractor work that is reported via 1099’s.

The Democrats figured this would get them a few extra $Billions in tax revenue.

Americans thought otherwise. The 1099 requirement was seen as an intrusive gesture into an already burdensome tax world. (The new requirement would basically mandate reporting of all expenses over $600 even to vendors who were not “employed” by a company.)

Americans won this round, and thus, the first demantling of Obamacare.

Whether further, meaningful demantling occurs will depend entirely upon the 2012 elections. Without stout majorities in both the House and Senate, effective legislation will not pass, regardless of the Party in the White House.

In the meantime, health plan premiums continue to rise with no abatement in sight. This is due in large part to Obamacare mandates, most noticeably the mandatory coverage of children (as dependents) under age 19 regardless of health conditions. Although this is a good thing for parents with children who have pre-existing conditions, unfortunately, the Democrats failed to offset this requirement by mandating that all children under 19 be covered under a health plan, regardless of health. Thus, the only ones left to subsidize the unhealthy children – are all the rest of us.

The sooner we face up to the fact that this is no longer “insurance,” the sooner we’ll be on the path to real discussion – whether or not we really want a socialistic healthcare system here.

As I’ve said countless times before, when the Democrats had the opportunity to shove something down our throats, they should have shoved an effective “single-payer” system instead of this monstrosity cleverly disguised as insurance coverage.

They had one shot to shove. They blew it. Now we’re going to be paying for it for decades and decades.

CDR