Financial Collapse – Threat Assessment Part 3: Obama Care
Financial Collapse – Threat Assessment Part 3: Obama Care
This is the third post in our “Financial Collapse – Threat Assessment” series. All of the threats are interrelated and have the ability to collapse our economy in concert or individually. For that reason, we have discussed them as individual threats. To have two or more occur simultaneously, would intensify the magnitude of the meltdown. If you have not had a chance to read the previous 2 parts here are the links to Part 1: US Debt and Part 2: Global banking System Meltdown.
Obama care has some serious risks associated with it. The obvious is that the hoards of people who are already supported by the government will be receiving health care at the expense of the productive citizens who pay taxes. We have successfully added $6 trillion to the national debt since Obama was sworn into office. These additional costs will only add to the deficit which, in turn, will speed the pace at which our national debt grows out of control. Government assistance grew 23% under Obama’s first term. Nearly half of all Americans receive some type of government benefit. This is unsustainable and we are about to add to the staggering burden that our country is collapsing under. Now that I have stated the obvious, let’s look a little deeper.
In 2014, one of the most destructive provisions of Obama Care kicks in. This provision forces employers of businesses with more than 50 employees to provide health care to their workers who average 30 hours per week or more. If they don’t, the employer will be fined $3000 per employee. Let’s say you have a business that has managed to survive Obama’s first term. You presently have 65 employees. No one knows for sure how much the plans will cost, but let’s be extremely conservative and say $1500 per year. Realistically, that may purchase a high deductible plan that won’t satisfy Obama Care requirements. 65 employees times $1500 is $97,500.00. To a lot of small businesses, that is the margin they operate on. They have two choices; close the doors or lay off 16 employees to get under the 50 person threshold so they are not responsible for providing health care. Most will lay off workers and downsize. This will happen over and over in thousands of businesses in America.
Other large business who can’t possibly get under the 50 person threshold will cut hours to get as many workers as possible under the 30 hour per week boundary. White Castle is considering cut backs and Darden Restaurants are already experimenting with utilizing part time workers rather than full time employees. Darden restaurants include Longhorn Steak House, Olive Garden, Red Lobster, and Bahama Breeze. Most all of the hourly employees at these chains will be capped at 28 hours per week. This trend will likely move throughout the service industry as restaurants and hotels depend on low labor costs to maintain margins. Any company that has been considering outsourcing customer service to India or other cheap labor countries will act to avoid these additional costs. Unemployment and underemployment will sky rocket past depression era levels. Many people with full time work will find themselves with part time work and many more be unemployed entirely. Obama Care is an economic time bomb that we won’t survive.
At this point you may be thinking Prepper Recon has officially endorsed Mitt Romney. If you are a regular reader, you know that is not true. I voted for Ron Paul in the primaries and am sadden by our choices. This election is about defeating Obama Care and hopefully buying ourselves a few more years to wake up more of our fellow Americans. If we don’t vote for Romney, the collapse will be here sooner than many of us will be able to prepare for. Even if you are hunkered down and ready for TEOTWAWKI, every day there are new brothers and sisters waking up and joining the prepper movement. Think of them when you cast your vote. A few more years can make a huge differences in the amount of preppers who survive to help us rebuild. Dr Paul is retiring this year, but his ideas are not. If you have not read ” The Revolution” by Ron Paul, I encourage you to pick up a copy and pass it on when you are done. If we can bite the bullet and choose the lesser of two evils this time around, perhaps we will have a better choice in 2016.
Happy Prepping!
