Repealing the unpopular long-term care insurance program and regressive payroll tax

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How was the new long-term care insurance program and payroll tax established?

With no House Republican votes, the new long-term care insurance payroll tax was established by the passage of House Bill 1087 in the 2019 legislative session. House Bill 1087 created the Long-Term Care Services and Supports Program to provide individuals who have paid into the program for a specified period of time with a limited lifetime benefit (up to $36,500) to assist with future long-term care costs. To pay for the new program, the legislation created a new payroll tax – one of several tax increases passed by majority party Democrats since 2019.  More information on this program and tax can be found at wacaresfund.wa.gov.

How will this impact workers in Washington state?

Eventually, workers in Washington state will pay $0.58 per $100 of their earnings to fund the program. Those who pay into the program are eligible for a lifetime maximum benefit of $36,500. Estimate your payments here.

What House Republicans believe

Comment on House Bill 1594: Repealing the long-term services and supports trust program

The House Republican bill to repeal the new long-term care insurance program and payroll tax is House Bill 1594. You can share your views on this bill with your state lawmakers by going to this link, clicking on “Comment on this bill,” entering your address, providing your name and email address, and sharing your position and comment. Finish by clicking on “Send Comment.” This is a direct way for you to be involved in the legislative process.

Comment on House Bill 1913: Replacing the long-term services and supports trust program with affordable and optional long-term care insurance coverage

The House Republican bill to repeal the long-term care insurance program and replace it with an optional and affordable alternative is House Bill 1913. You can share your views on this bill with your state lawmakers by going to this link, clicking on “Comment on this bill,” entering your address, providing your name and email address, and sharing your position and comment. Finish by clicking on “Send Comment.”

Washingtonians said they did not want this program and tax

In the November 2019 general election, 62.92% of Washington voters said House Bill 1087, which was designed to levy 0.58% tax on wages to fund a program for long-term healthcare services, should be repealed in Advisory Vote No. 20.

What is long-term care insurance?

According to the Office of the Insurance Commissioner’s website: “Long-term care insurance helps with many medical, personal and social services for people with prolonged illnesses or disabilities. It can include home health care, adult day care, nursing home care and group living facility care.”

Long-term care insurance is defined in RCW 48.83.020.

Note: The content of this web page should not be considered or construed as legal, financial or health care services advice from the House Republicans Caucus, including its members and staff. This content is meant to be informative, including the explanation of the legislation that created and changed the Long-Term Services and Supports Trust Program and how it impacts workers, retirees and employers in Washington state. This web page will be updated when new information on the Trust Program becomes available.