When President Joe Biden leaves the White House on Jan. 20, he will be entitled to an annual presidential pension equivalent to a sitting cabinet secretary’s salary: $246,400.

That’s already generous but, thanks to a quirk in the law, taxpayers will be on the hook for even more. Because of his 36 years in the U.S. Senate and eight years as vice president, Biden will also receive a congressional pension worth $166,374 per year. Biden’s ability to double-dip highlights how pensions once designed to provide retired elected officials with financial security now far exceed what is necessary to achieve that goal.
Most former presidents enjoy significant wealth, but none have this extraordinary arrangement — the total $413,000 annual pension exceeds even a sitting president’s salary of $400,000. Thankfully, Senator Joni Ernst has introduced legislation to reform these excessive perks and bring much-needed fiscal responsibility to the system.
The federal government’s support for former presidents is rooted in the Former Presidents Act (FPA) of 1958, which was originally designed to prevent financial hardship for former commanders-in-chief. The FPA was passed after President Truman reportedly faced financial struggles upon leaving office — though it later turned out that Truman was in better financial shape than he let on at the time. Despite this, pension benefits for retired presidents have grown increasingly generous, even as modern presidents have amassed substantial personal wealth after leaving office.
Consider the net worths of recent former presidents: Donald Trump, who is returning to office, is estimated to be worth $2 billion, while Barack Obama and George W. Bush each hold assets in the tens of millions. Biden, heading into retirement, has an estimated net worth of $9 million.
Despite this significant wealth, taxpayers continue to cover generous pensions, as well as the cost of perks such as office rent, expenses, supplies, and staff salaries — expenses that coll...