Kaplan says Trump’s recent remarks about pulling back on federal funding of Medicare are result of “fundamental misunderstanding” of how the program works

According to the New York Sun, President Trump suggested during remarks at a private luncheon that the federal government may no longer support essential care programs and that states should instead rely on state-level funding to do so.

Professor and tax law expert Richard Kaplan says that the president’s remarks about Medicare, in particular, rest on a fundamental misunderstanding of how the program is financed.

“Medicare is almost entirely funded by the federal government through payroll taxes paid by almost all employees, the great majority of self-employed persons, and most employers; premiums paid by program enrollees; and general federal funds,” Kaplan said. “States have no role of any consequence.”

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