In My Opinion
It did not take a lot of analysis to persuade me. The Medicare Prescription Benefit is not a Benefit; it is a Rip Off.
Here are the facts: Joining the prescription plan means a $420 annual Premium. There is a $250 annual deductible. The plan pays 75% of Prescription Drugs between the $250 deductible and $2250. From $2250 to $3600 it pays Nothing. After $3600 The Plan pays 95% of prescription costs.
This rather complex formula is plotted in the figure below. The Green Line labeled Cost shows what you will pay for your Drugs. The Red Line shows what you pay without any coverage. The Blue line is your Savings line. Blue = Red - Green .
The Blue line is interesting. You don't save a cent until your drug costs reach $810. The maximum benefit is $1080. Well, you ask, what's wrong with that? If you are unfortunate enough to have bills from $2250 to $3600 you are stuck with no more coverage.
It is not clear to me whether Drugs purchased in Canada will be covered by the plan. I doubt it. That's what many do to Save money. If you save 33% by purchasing in Canada your drug costs are shown by the Yellow Line. This line crosses the Green Line at $1500. That means you don't save a cent until your drug costs reach $1500. $1500 is interesting to me because that's about what I pay each year.
Quite obviously if you can save 40% the crossover point moves further out.
For Most people the wisest thing to do is to self insure and shop for your drugs in Canada.
The big beneficiary of this program is the Drug companies. Seniors joining the plan will buy their drugs at high US Prices. They will be not be covered for Shopping in Canada. The Administration of the program will be oursourced to the Big insurance companies. What is missing is a strong government hand to negotiate reduced drug prices for the Medicare program. Meanwhile the Republicans will fleece the vast majority of Seniors to the tune of $420 a year. If enough seniors join the plan it could become a great source of revenue.
Unfortunately my Congressman, Tom DeLay, is at the Heart of this conspiracy. Writing him would be no help. And President George Bush, the misguided, thinks he is a big hero for providing this Benefit to Medicare recipients.
The only good feature of the program is that you can opt out. Which is what I will do.
Marion said "Your Blood Pressure is too High." I know Why.
Ed H
Dec.31, 2003
George Bush lead us to war because, he said, there was an immanent threat from Saddam Hussein and his Weapons of Mass Destruction.
We have not found any. In the mean time we have made a mess in Iraq, ruined friendships around the world, and piled up a lot of bills to pay. Not to mention needlessly placing our brave soldiers in harm's way.
We had him bottled up and he was certainly not a threat to the US. One false move and he would become history, as we aptly showed. We did not have to start a war; we have never done so in the past. Now we have a reputation as "Gunslinger."
This was reckless behavior. I agree with Wesley Clark.
It's time for a regime change. (In Washington DC)
Ed H
I feel we have made our point. Iraq has not cooperated on Disarmament.
The world seems to acknowledge that as a fact.
We have bottled up Iraq with sanctions. We have No Fly Zones where only we can fly.
We routinely blast Iraq Radar and SAM sites. It is doubtful that Iraq could mount a serious
offensive strike against any nation.
It seems we are in control of the situation. Certainly more so than Iraq.
It is not time for War... It is time for letting the message sink in.
The World wants Iraq to disarm. War is unnecessary; just keep up the pressure.
In time Iraq will change, if only because it needs to survive.
Patience is OK.
Ed H
The President's proposed Tax Break on Dividend Income is smoke-and-mirrors economics in its highest form. My retirement funds are in tax-deferred 401(k) and conventional IRA plans. These plans collect dividends now, but do not pay taxes on them. So there is NO double taxation, the principal reason advanced by the Bush Administration to abolish such taxation.
When I withdraw money from my IRA or my 401(k), I pay taxes as ordinary income on the withdrawals. That's the way these retirement savings programs work. Contributions, capital gains, and dividends are all taxed. That's where the double taxation occurs. The President is not proposing to exempt any of THESE dividends from taxation.
The only people who will benefit from removing individual taxes on dividends are the very wealthy who have large holdings in taxable brokerage accounts. We, the working middle class, put the overwhelming majority of our savings into our tax-deferred retirement plans. We will see no tax reduction at all.
In short, the working middle class sees no benefit. Only the very wealthy do.
Now you see tax relief. Now you don't.
Ed H
