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In reply to the discussion: Sanders will increase total fedreal taxes with 25 % to pay for his health plan and free college. [View all]Ezior
(505 posts)Strictly speaking, it's not a tax in Germany, because we have companies running the health care system. They are very strictly regulated though.
Employees pay 7.3% of their salary before taxes
Employers pay another 7.3% of monthly salaries before taxes
=> I think this is like a 14.6% income tax.
However, companies can ask for "additional fees" on top of that. Usually it's 0.5% - 2%, depending on the company, paid entirely by the employee. (This is the same for every customer of the insurance company. So pre-existing conditions do not lead to higher additional fees.)
If you earn more than 4,350.00 ($~5,150) a month, you only pay 7.3% of 4,350.00, so the premiums are capped at 317.55 ($377) for employee and employer each, plus "additional fees" for the employee. And if you earn more than 4,800 / month, you can opt out of this system and buy "normal" private insurance, which is usually cheaper than 635 / month, because premiums depend on your health status and not on income level.
"Normal" private insurance companies are also required by law to offer basic insurance plans for 635 if you can't use the normal "strictly regulated" system, they can't kick you out of these plans and have to accept anyone, no matter which pre-existing conditions you might have. Most patients can join the normal system though, that basic private insurance plan is usually just a fill-in for edge cases (freelancers wo can't afford a free-market plan because of bad pre-existing conditions, etc).
The plans include dental and mental health care, though you'll only get cheap dental stuff, so many patients buy private insurance for better dental care. The plans don't include eyeglasses. There is a small surcharge for medication (5-10 each), a higher surcharge for dental prosthetics (35%-50%), 10 per day in hospital, and a few more. Accumulated surcharges per year are limited to 1% (chronically ill patients) or 2% (everyone else) of your yearly income.