Q: Would there be premiums for 21st Century Medicare? A: No because it would be tax-supported. Participation in the system would be free for all Americans. All a person would need to do to participate is enroll. Q: How will you finance 21st Century Medicare? A: There would be a 3% tax on all individual income and a 5% tax on all corporate income. That might be augmented by sales taxes on things like candy, soda pop, alcohol, tobacco, and marijuana.