Biden to announce plan to keep Medicare solvent beyond 2050
Kevin Dietsch

Tax hikes and drug pricing negotiations will be among the measures President Joe Biden will propose to ensure Medicare is funded for the next two decades. The plan will be part of the White Houseâs 2024 budget proposal, which is set for release on Thursday in Philadelphia. 
âMedicare is more than a government program. Itâs the rock-solid guarantee that Americans have counted on to be there for them when they retire,â Biden wrote in a guest essay in The New York Times on Tuesday.
The plan is set to address a looming funding crisis for a key Medicare trust fund expected within five years, according to some forecasters.
Bidenâs proposal would increase the net investment income tax to 5% from 3.8% for all Americans earning more than $400K annually. The plan will also expand the tax, applying it to additional types of income from pass-through firms.
âThis modest increase in Medicare contributions from those with the highest incomes will help keep the Medicare program strong for decades to come,â Biden wrote.
In addition to taxes, Biden proposes expanding Medicareâs ability to negotiate drug costs, a historic move introduced with the Inflation Reduction Act last year.
Major pharma companies: Pfizer (NYSE:PFE), Merck (NYSE:MRK), Bristol-Myers Squibb (NYSE:BMY), Eli Lilly (NYSE:LLY), AstraZeneca (AZN), GSK (GSK), Sanofi (SNY) (OTCPK:SNYNF), Novo Nordisk (NVO), Abbott (ABT), AbbVie (ABBV), Gilead (GILD), Johnson & Johnson (JNJ), Biogen (BIIB), Amgen (AMGN) and Moderna (MRNA)
Selected managed care players: UnitedHealth Group (UNH), Humana (HUM), Elevance Health (ELV), Centene (CNC), CVS Health (CVS)
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