BOSTON – Under the financing provisions of the federal Patient Protection Affordable Care Act (ACA), some Massachusetts residents will face an annual Medicare payroll tax increase of 62%, according to a new Pioneer Institute policy brief, New ACA Medicare Payroll Tax Hits Massachusetts, $1.7 Billion Over 10 Years. The new study, authored by Pioneer Health Care Policy Director, Josh Archambault, and Pioneer intern, Sadat Donkor, estimates that this one tax increase will cost some Massachusetts wage earners an additional $165,550,909, approximately $1,655,509,087 over 10 years, to help finance the ACA.

For illustration, Pioneer calculated the impact of this additional Medicare tax on the top ten highest paid athletes (and Gisele Bündchen) in Massachusetts. If the players receive their full wages as reported by Boston Business Journal, these athletes combined will pay close to $1,500,000 a year, and $15,000,000 over 10 years. Tom Brady and Gisele Bündchen will pay roughly $526,950 this year alone.

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