Re:61% of Americans paid no income taxes in 2020
by toast0 on Thursday August 19, 2021 @12:18PM
(#28235740)
I think Medicare is clearly a tax, it can't be an insurance program because there's no connection between 'premiums' and benefits.
Social security is nominally a government sponsored pension, but the payout ratios are weird, and it's compulsory, so I feel it's fair to call it a tax.
Same with at least the employee portion of compulsory unemployment insurance. Maybe that's generally an actuaraily sound program (I think the employer contributions may be), but in times of economic stress, payments increase and I don't think that's covered by premiums. I know there's a cap on benefits, but I'm not sure if there's a cap on contributions? Anyway, seems similar to Medicare and I'd call it a tax, too.
Social security is nominally a government sponsored pension, but the payout ratios are weird, and it's compulsory, so I feel it's fair to call it a tax.
Same with at least the employee portion of compulsory unemployment insurance. Maybe that's generally an actuaraily sound program (I think the employer contributions may be), but in times of economic stress, payments increase and I don't think that's covered by premiums. I know there's a cap on benefits, but I'm not sure if there's a cap on contributions? Anyway, seems similar to Medicare and I'd call it a tax, too.