The Medicare provisions of the health care reform law are estimated to result in a net reduction of $428 billion in Medicare spending between 2010 and 2019, taking into account $533 billion in Medicare savings and $105 billion in new Medicare spending during the 10-year period.
In addition, the law generates Medicare-related revenue through the higher Medicare payroll tax ($87 billion in revenue through 2019), by imposing an annual fee on branded prescription pharmaceutical manufacturers and importers ($27 billion in revenue through 2019), and by eliminating the tax deduction for employers who receive Part D retiree drug subsidy payments, beginning in 2013 ($5 billion in revenue through 2019).
What is the Independent Payment Advisory Board?
What Will the Affordable Care Act (ACA) Cost?
What Happens to the Federal Budget Deficit under the Affordable Care Act (ACA)?
What Does Medicare Have to Do With the Federal Budget Deficit?