Direct Spending on Healthcare
A family of four with at least one member in worse health and a $100,000 income on individual market or exchange coverage spends $30,400 per year (30% of their income) on health. This includes $12,900 (13% of their income) in out-of-pocket health spending, $12,450 (12% of their income) in health insurance premiums, and approximately $5,050 (5% of their income) in state and federal taxes that fund health programs.
Additional Contributions by Employers
In this scenario, we estimate that the employer is contributing an additional $1,450 in Medicare payroll taxes, not shown in the chart above. When combined, this family’s spending on health care and the money spent by their employer on their behalf totals $31,850.