MSP premiums going up

[GenesisGT]

In Ontario it came off of every one of my pay cheques.

The premium is deducted from pay and pensions of those with employment income or pension income of more than $20,000 a year, as part of federal and Ontario income tax. To ensure that employers do not incur added costs to change their payroll systems, the premium is included on pay stubs as a component of the income tax withheld.

Individuals who do not have taxes deducted at source or make instalment payments pay the premium when they file their personal income tax and benefit return.

[Smurf]

Some do, some don't, but I will guarantee that all provinces collect the money from the taxpayer one way or another. I believe the ones that keep hidden in their taxes are probably smarter as they don't have the problems we are seeing here. These premiums are part of the reason our government can claim low income tax rates. It has to come from somewhere, be it direct premiums or hidden in taxes. Kind of blows away our low income tax rates doesn't it.

[oneh2obabe]

BC is the only province you have actually send in money once a month

True but saying no other province(s) charges health premiums is incorrect.

Ontario: The premium is deducted from pay and pensions of those with employment income or pension income of more than $20,000 a year, as part of federal and Ontario income tax. To ensure that employers do not incur added costs to change their payroll systems, the premium is included on pay stubs as a component of the income tax withheld.

Individuals who do not have taxes deducted at source or make instalment payments pay the premium when they file their personal income tax and benefit return.

[annexi]

Yah true but you're missing my point. It's the principle of them being able to continually hike fees in perpetuity with nothing to keep them in check.

All things get more expensive over time. It's called inflation. Govt services are not exception.

True, but I'm betting the rise in rate fees surpass inflation rates.

[GordonH]

So for a single person above the cutoff of MSP assistance (your by-weekly pay before deductions is $1,156)

Your MSP is going up $2.75 per month & income tax is going down $3.49 per/month.


Added: this is based on comparing deductions on January 1, 2014 & January 1, 2015.

[Captain Awesome]

True, but I'm betting the rise in rate fees surpass inflation rates.

3.9%

Quite comparable to the level of national inflation.

[Smurf]

I believe they also have a lot of things to deal with that aren't considered when calculating inflation. Their expenses probably rise a lot more than inflation.

[Captain Awesome]

Yes. Inflation levels vary by sector - for example inflation of the post-secondary education is far greater than level of national inflation along with food or housing costs.

But it would be very naive to expect prices to stay the same for everything.

[kumazatheef]

Ouch! I will be forking over $1728 next year for this tax.

That means you're in the bucket of family for $144 ... which was previously $138.50 ... so you're net difference is $66 for the year. Don't eat out once or thrice and you'll break even.

[Smurf]

Just remember this when our government tries to tell you how low our BC income taxes are. But also remember these fees are hidden in most other provinces taxes. It has to be paid somehow and we are the payers in the long run, not the government.