While the spectacle of presidential campaigns often revolves around policy debates and political rallies, a pertinent question lingers in the minds of many: “How Much Money Does A President Get?” It might surprise you to learn that the U.S. president’s salary has remained unchanged for over two decades. As we approach the upcoming election, let’s delve into the specifics of the presidential compensation package.
The current annual salary for the President of the United States is $400,000. This figure, established under Title 3 of the U.S. Code, is paid monthly. Interestingly, this is the same salary that presidents earned in 2001, meaning neither Kamala Harris nor Donald Trump, should they win the upcoming election, will receive a higher base pay than their predecessors in this role.
Beyond the base salary, the presidential compensation package includes several allowances to support the demands of the office. These include a $50,000 annual expense allowance, which is non-taxable, a $100,000 travel account, and a $19,000 entertainment budget. These allocations are intended to cover the various costs associated with the president’s official duties and responsibilities.
Furthermore, it’s crucial to remember the significant non-monetary benefit: residency in the White House. This iconic mansion serves as the president’s official residence, effectively covering housing costs during their term.
The last time Congress approved a raise for the U.S. president was in 1999, taking effect in 2001. Prior to this, from 1969 to 2001, the presidential salary was $200,000 per year. During a 1999 hearing discussing the proposed increase, it was highlighted that the compensation for “one of the most difficult, demanding and important jobs on the face of the earth” had stagnated for three decades. This stagnation occurred while private-sector CEO salaries experienced substantial growth, raising questions about the relative value placed on the presidential role from a compensation perspective.
Government reform expert Paul C. Light, in his testimony, advocated for a presidential pay raise, arguing it would “signal that the American political system values its chief executive enough to occasionally boost the base salary.”
A Historical Perspective on Presidential Earnings
When considering “how much money does a president get,” it’s insightful to examine historical presidential salaries adjusted for inflation. Looking back, the real value of the presidential salary has fluctuated significantly over time.
According to data from the University of Michigan, referencing Congressional Quarterly’s “Guide to the Presidency,” and inflation calculations from Officialdata.org, here’s a glimpse into presidential earnings across different eras, adjusted to today’s dollar value:
- 1789: $25,000 (equivalent to approximately $895,741 in today’s dollars)
- 1873: $50,000 (equivalent to approximately $1.3 million today)
- 1909: $75,000 (equivalent to approximately $2.6 million today)
- 1949: $100,000 (plus $50,000 taxable expense account) (equivalent to approximately $1.3 million today)
- 1969: $200,000 (plus $50,000 taxable expense account) (equivalent to approximately $1.7 million today)
This historical data reveals that, in real terms, U.S. presidents in earlier periods, particularly in 1909, were compensated at a significantly higher level than presidents today. The $400,000 salary, while substantial, represents a considerable decrease in real value compared to certain points in history.
Presidential Income Beyond the White House Salary
The financial narrative of a U.S. president extends beyond the annual salary earned while in office. Former presidents continue to receive compensation and benefits after leaving the White House. Since 1958, the Former Presidents Act has provided former presidents with an annual pension, which currently exceeds $200,000. They are also entitled to office space and travel expenses, ensuring continued support for their post-presidency activities.
Furthermore, a significant source of income for many former presidents comes from avenues such as book deals, speaking engagements, and media ventures. Presidential memoirs, in particular, have become a lucrative avenue. Ulysses S. Grant pioneered this trend, completing his memoirs shortly before his death in 1885. With the exception of presidents who died in office like Franklin Delano Roosevelt and John F. Kennedy, almost every modern president has penned a memoir.
Barbara Perry, co-chair of the Presidential Oral History Program at the Miller Center at the University of Virginia, explained to CBS MoneyWatch, “It’s where a lot of money comes from after they have been president. Written memoirs have earned them millions.” These post-presidency endeavors can significantly enhance a former president’s financial standing, often dwarfing the annual salary earned while in office.
In conclusion, while the annual presidential salary of $400,000 is a notable figure, it’s crucial to consider the additional benefits, historical context, and post-presidency income streams to fully understand “how much money does a president get,” both during and after their time in office. The financial compensation for the U.S. president is a multifaceted issue, reflecting the evolving value and demands of this unique and powerful position.
