Health and Taxes

I continue to have work crunch issues and will keep the post brief today/tonight.

In regards to health reform, someone wrote in to the Wall St Journal recently suggesting that instead of punishing people by increasing taxes on junk foods, soda, cigarettes and such, it would be better and less “paternalistic” to reward good behavior. The writer suggested a health credit.

This is not a new or bad idea. In fact, it is the type of incentive that employee wellness programs are encouraged to provide. And on a micro level it makes sense. If people test negative for tobacco, they can pay a lower premium or get a better insurance plan. If people either maintain a health promoting weight or take steps to get one, it can be rewarded. Having normal blood pressure or keeping it normal with diet, exercise and even medicine compliance, can be a means to lower a premium. Even tracking gym attendance can work on this small scale. Also, we would hope that the employee insurance system is a not for profit one and will not miss the lost revenue.

However, to monitor this nationally and give a tax credit is difficult on both ends. Do the fitness facilities become big brother? Do we have national gym card scanner data bases? And can we afford to take in less tax revenue? I do not really think so.

I want to be rewarded for my good behavior. At the same time, I understand that alcohol, tobacco, sweets, and more are things that I do not NEED to survive and if I have say six dollars to spend on any one of them, then I have seven dollars to spend. Taxing these items will give the local, state and federal governments some desperately needed funds. Additionally, if one cannot afford to buy these items it is likely to IMPROVE their health. Why in the world are people complaining about measures that could help people to live longer better?

On a different note, but in the same debate, some are suggesting a renewed push for gambling. Well, I have never been against gambling and am not now, but if I gamble my money away I have no money.. that is harmful. If I spend my money on junk food I lose more than my money and that could be more harmful. But if the taxes keep me from buying junk food I could keep both my money AND my health.