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‘Clarifying a Controversy’

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The Times’ clarification of the way the new expansion of Medicare is to be financed needs some further clarification by one of those few persons singled out to pay the bill:

Except for the nominal Medicare Part B increase of $4 per month, paid by every beneficiary, all remaining costs of the expanded benefits will be paid--in full--by only that 40% of the beneficiaries who pay $150 or more in income tax.

The surcharges quoted in the editorial, “$78 for a person with a gross income of $15,000, $307 at $25,000 up to a maximum of $800 for those with incomes of $40,000 or more,” represent only one-half of what couples will pay. And they pay double even though one spouse is not eligible for Medicare benefits and may never receive them. The true cost for couples in your examples are $156, $614 and $1,600.

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The Medicare surtax represents the first success that progressive taxation proponents have won in their long fight to index Social Security benefits to the basis of need. We are seeing a historic change as Washington converts the Social Security system from an earned retirement program to another welfare program.

KENNETH W. COLLINS

Lompoc

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