Andrew Yang is a 2020 Democratic presidential hopeful who favors a guaranteed $1,000/month income for all American citizens over the age of 18; Andrew Yang proposes a $1,000 monthly universal basic benefit, he calls the Freedom dividend, for every American over the age of 18 who does not receive social security income. Those who qualify for social security income would receive the greater amount of either their designated social security benefits or the $1,000 monthly Universal Basic Income benefit. Andrew Yang proposes this $1,000 monthly guaranteed income benefit for every legal American adult be funded in part by a 10 percent value added tax system.
A $1,000 monthly universal basic income benefit system for American citizens between ages 18 to 65 would cost ca. $2 trillion dollars currently each year . A 10 percent Value added tax system like that implemented in Australia would generate ca. $800 billion annually of current value U.S. Dollars If this system of taxation were implemented in the U.S. If this Universal Basic Income Benefit were non-tax-exempt from federal income taxes, this would generate ca. $450 billion of tax revenue, based on the average annual U.S. income of $50,000 being taxed at a marginal tax rate of 22 percent. This Universal Basic Income Benefit could replace ca. $350 billion annually of federal welfare spending presently on food stamps, housing, education, job search programs , unemployment compensation and subsidized crop insurance. The remaining $400 billion needed to completely fund this universal basic income benefit system could be funded by Increasing the top marginal federal income tax rate from 37% to 43% along with increasing the second highest top marginal federal income tax rate from 35% to 38%, (These income tax hikes would now currently generate an additional ca. $200 billion/yr. of tax revenue), an additional 50 cent/gallon fuel excise tax, an additional 50 cent tobacco excise tax on each pack of cigarettes, a 50 percent increase of excise taxes on adult beverage alcohol content, a doubling of federal excise taxes on air travelers and national park visitors, (These excise tax hikes would currently generate an additional ca. $110 billion/yr of tax revenue) and the reduction of the exemption on the federal estate tax from $10 million to $5 million, (this would generate an additional ca. $40 billion/yr of tax revenue) , increasing the limit of annual income from $131k to $200k subject to social security taxes , ( this would currently generate ca. $60 billion/yr. of additional revenue),
In addition to his freedom dividend ( Universal Income Benefit system), 2020 Democratic Presidential hopeful Andrew Yang wants universal health care. Expanding Medicare Part A coverage from covering only senior citizens to Universal Medicare Part A (hospital insurance) for everybody could be done at a present annual cost of ca. $700 billion. This could be mostly paid by eliminating nearly $500 billion of annual federal spending currently towards Medicaid. A $1,000/month Universal Basic income benefit virtually eliminates poverty, this elimination of poverty along with universal Medicare Part A health insurance coverage, eliminates the need for federal government spending on Medicaid. The remaining $200 billion annual cost for funding Universal Medicare A hospital insurance could be paid by a modest rise in the corporate income tax from 21 percent to 25 percent.
Medicare Part B could then become a public option health insurance plan with affordable premiums for most anybody. .....
What is Universal Basic Income? - Andrew Yang for President
