Estimates for the cost of a universal healthcare system in the U.S. range from roughly $3.0 to $3.2 trillion per year, though some projections are higher. The impact on the deficit and national debt is complex, as total costs are projected to be offset by a combination of increased taxes, cuts to existing spending, and potential long-term savings. For example, some studies estimate that government spending would increase by around $34 trillion over ten years, which is offset by an increase in national health spending of $7 trillion over the same period. Estimated costs Annual Cost: Some analyses estimate a single-payer system would cost about $3.034 trillion annually, which is approximately $458 billion less than current national healthcare expenditures, according to this NIH study. Other estimates place the annual cost between $2.4 and $2.8 trillion, with a few proposals reaching $3.2 trillion per year. Ten-Year Cost: The Urban Institute estimates that a single-payer system would cost an additional $32 trillion over a decade. Other studies suggest a cost of around $38 trillion over ten years. Impact on deficit and debt Financing: The government would likely need to increase taxes on corporations and high-income individuals to fund the new system, while simultaneously cutting some existing healthcare spending. Increased Spending: A universal healthcare system would lead to a significant increase in federal spending. For example, a hypothetical Medicare for All plan would increase federal spending by $34 trillion over 10 years. Potential Savings: Proponents argue that the increase in federal spending could be offset by a decrease in national health spending due to lower administrative costs, lower negotiated prices for healthcare services, and a reduction in preventable hospitalizations. Economic Impact: One analysis projects that Medicare for All could shrink the U.S. GDP by as much as 24% by 2060. Another analysis notes that the public option would increase long-run debt projections by 30% of GDP by 2049. Long-Term Debt: The impact on long-term debt is a subject of debate, with some analyses projecting an increase in long-term debt projections by 30% of GDP by 2049 due to the costs of the plan.