Facts About Ryan's Plan vs. President Obama's Plan:

(From the Wall Street Journal)

Medicare Overhaul is at the Forefront of the Debate

Ryan's Plan

• Does not affect Medicare for those now 55 years of age and older.
• For those under 55, Medicare is changed to a "premium support" system based on private insurance plans when they reach 65, the age of eligibility. "The government would pay the first $15,000 in premiums." The amount is means tested, so some people would get more.

The Obama plan relies on Obamacare which includes cuts to Medicare providers and other methods to control costs, such as the "central planning agency," Independent Payment Advisory Board.  (quotation attributed to Larry Kudlow, economist)

Medicaid for the Poor

• Ryan's plan changes Medicaid for the poor to a block grant, providing flexibility to states.

Obama again relies on Obamacare which actually expands coverage thereby increasing costs.

Social Security Reform

• Ryan's plan "requires the president to submit a plan for Social Security long-term finances and calls on Congress to consider it." The budget plan does not specifically make changes.

President Obama has said he wants bipartisan cooperation in addressing the problem.

Corporate Taxes

• Ryan calls on decreasing the top rate from 35% to 25%. Offsets are made by removing certain deductions and credits, currently unspecified.

President Obama has called for lower tax rates, but hasn't specified the amount or changes in deductions and/or credits.

Individual Taxes

• Ryan's plan decreases the top rate from 35% to 25% and eliminates or reduces certain deductions and exceptions that are currently unspecified.

President Obama said the would raise the top tax rate from 35% to 39.6%. He also said in his speech at George Washington University that he would raise taxes on the "wealthiest 2%."


The Resolution now goes to the Senate where it is expected to be defeated by the Democrats.