Wisconsin's Hidden Health Care Tax

The Hidden Health Care Tax on Wisconsin employers has continued to grow, reaching $960 million in 2013 alone.  This nearly $1 billion tax is the result of Wisconsin’s BadgerCare (Medicaid) program only paying for 65 percent of the cost of hospital care for patients, resulting in health care costs getting shifted over to private payers.  This Hidden Health Care tax rivals what is paid by Wisconsin families and businesses through the state’s motor fuel tax ($999 million) and corporate income tax ($967 million).

The Hidden Health Care Tax was originally named by Wisconsin's state chamber, Wisconsin Manufacturers and Commerce (WMC) because of its impact on Wisconsin businesses and those that provide health insurance to their employees.  In some areas of Wisconsin, the cost of government cost shifting results in up to 27 percent of the price paid by commercial health insurers for hospital care.  The Hidden Health Care Tax has a significant impact on the cost of doing business in Wisconsin.

Wisconsin's Medicaid reimbursement rates are the 2nd worst in the country.  Help cut the Hidden Health Care Tax on Wisconsin families by encouraging your legislator to increase Medicaid reimbursement for Wisconsin's hospitals.

WHA Contacts

Kyle O'Brien

Senior Vice President
Government Relations




Jenny Boese

Vice President
Federal Affairs & Advocacy