What Effect Does Obamacare Have On Medicare? 
Though many will claim Obamacare , which is designed to cover non-Medicare beneficaries , does not have any effect on Medicare , such a statement would be false . There are many provisions in the Affordable Care Act that call for funding reductions in the Medicare payment system , including a provision , including the following : * Medicare Funding Cuts of $ 457 Billion by 2020 . Approximately 50 % of cuts are proposed to come from Medicare providers in the form of reduced reimbursement rates . These cuts are expected to offset 30 % of the cost of reform for those under 65 . * Fewer Providers expected to be available 96 % of Providers in US Accept Medicare 80 % Accept New Medicare Patients -LRB- 60 % in Texas -RRB- Medicare Enrollment Growing by 10,000 people per day 28 % of New Medicare Recipients Has Trouble Finding A New Primary Care Doctor in 2012 30 % Proposed Reimbursements Reductions will lead to even fewer doctors accepting Medicare More Providers Opting-out of Medicare System -LRB- including the Mayo Clinic -RRB- Fewer Doctors + More Patients = Longer Wait Times * Medicare Advantage Funding Cuts $ 135 Billion through 2019 , including $ 7 Billion this year 2014 , . This has already lead totewer Plan Choices , Reduction in Benefits andHigher Premiums for many . * Tax Increases 3.8 % Additional Medicare Tax on High Earners 3.8 % Tax Increase on Investment Income 2.3 % New Tax on Medical Devices $ 72 Billion in New Taxes to Insurance Companies These taxes that will eventually by passed on to consumers in form of higher prices ! * Closing the Donut Hole * 50 % discount on brand name drugs * 7 % discount on generics * Consumer Rebates for Reaching Gap * By 2020 , the Donut Hole will be replaced with 25 % cost sharing on all medications * 3.4 million Americans Will No Longer Fall in to the Donut Hole Each Year * 27.5 million Americans that Never Reach the Donut Hole Will Pay More for Their Drugs * More Free Preventative Care Services are now availablerventions for tobacco users * Creation of Accountable Care Organizations and Independent Advisory Board Accountable Care Organizations - places a degree of financial responsibility on the providers in hopes of improving care management and limiting unnecessary expenditures . ACOs that lower the cost of care for their members will by paid 50 % of the cost savings generated by the Center for Medicare and Medicaid Services . Independent Advisory Board Goal of reducing the per capita rate when growth in Medicare spending exceeds targeted rate . Board will recommend changes that become a bill and sent to the President and Congress to pass . If not passed , Congress must provide a budget with equivalent funding cuts . 