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Medicare’s hidden surtax could shut out millions of dual-income families

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Intermediate times are coming. And America’s next big tax battle may not be over billionaires, yachts or real estate moguls.

It may be more than a small tax that most Americans don’t even know exists.

A hidden tax Democrats may quietly push during the midterm elections is the 0.9% Medicare tax, one of Obamacare’s less talked-about deductions. But since Medicare is the largest item in our growing deficit, the Dems will look for any way to fund this growing debt.

And here’s the scary part. Millions of families don’t even realize they’re paying it until it’s tax time.

FOX NEWS POLL: A GROWING NUMBER OF VOTERS FEEL THE RICH DON’T PAY ENOUGH

Some taxpayers may find their Obamacare surtax even worse. (Stock)

The tax first came in 2013 as part of the Affordable Care Act. On paper, it sounds harmless enough. Politicians bill it as a “tax on the rich” designed to help fund Medicare.

But like most things in Washington, what starts out as “only for the rich” slowly creeps into the upper middle class.

Here’s how it works.

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If you’re married filing jointly, if your earned income exceeds $250,000, you pay an additional 0.9% Medicare tax (this is on top of the 1.45% you already pay) on the amount above that limit. For individual filers, the trigger is $200,000.

That means a married couple making $400,000 will owe tax on $150,000 of their income above the threshold.

That equates to an additional tax bill of $1,350.

THAT’S WHY YOU MAKE SIX FIGURES AND STILL LIVE TO PAY PAY

It’s not a disaster for high earners, but it’s enough to make people angry when they receive it unexpectedly.

And that’s why this tax is politically attractive.

It is hidden.

AMERICANS HAVE NEVER SEEN THE ACCESS TO OTHER THINGS THAT WILL HAPPEN, BUT WHY DO WE FEEL SO POOR?

But like most things in Washington, what starts out as “only for the rich” slowly creeps into the upper middle class.

Unlike Social Security taxes, most people don’t see the Medicare surtax clearly excluded from the payment. Employers only begin to withhold additional tax if each employee’s wages exceed $200,000.

That creates a nasty surprise for two-income families.

Consider this:

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  • The first spouse earns $180,000.
  • The second spouse gets $150,000.

Together, the family made $330,000, which is more than the $250,000 marriage limit.

"TAX BILLIONS" Analilia Mejia's campaign logo

Analilia Mejia campaign logo, April 21, 2026. (Getty Images)

But neither employer withheld surtax because neither spouse exceeded $200,000.

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Therefore, the couple usually only receives additional tax when they file their return.

The implication is that Washington has found a way to blind the taxpayers until it’s too late.

So why does this affect politics?

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It’s not a disaster for high earners, but it’s enough to make people angry when they receive it unexpectedly. And that’s why this tax is politically attractive.

Because Medicare funding is becoming one of America’s biggest financial problems.

The government needs money. There is a lot.

And increasing the Medicare surtax is politically easier than cutting benefits for the elderly.

BILL MAHER CALLS OUT BERNIE SANDERS, SAYS HE’S TIRED OF HEARTING THE RICH ARE NOT PAYING THEIR FAIR SHARE OF TAXES.

That is why this could be one of the secret tax increase battles of the next election cycle.

The Dems’ message is simple: “Pay high-income earners less in taxes to save Medicare.”

This route polls well. But here is the danger.

JONATHAN TULEY: SANDERS’ TAX ON THE RICH IS LOOKING AT CONSTITUTION HOT TIME.

America already has a shrinking number of taxpayers who are shouldering most of the financial burden. The top 10% of earners already pay the largest federal income tax.

Yet every time Washington needs more money, the same answer keeps coming back, which is to find another way to squeeze the “rich.”

The problem is that in 2026, “rich” means:

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Unlike Social Security taxes, most people don’t see the Medicare surtax clearly excluded from the payment.

And when politicians realize that voters tolerate “small hidden taxes,” they rarely stay small forever.

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That’s how the tax system works in America.

One small surtax at a time.

CLICK HERE TO READ MORE FROM TED JENKIN

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