President Trump may famously give away his government salary, but his business is still bringing in the cash--at least for now.
The President of the United States is paid in quarterly installments of $100,000, working out to $400,000 annually. President Trump has famously donated this government salary to various agencies, from national parks to health and human services.
With his high net worth, it’s easy to see why. But the fact is, the Trump businesses, which the president hasn’t divested, are still raking in the dough.
The latest numbers indicate that the president’s business interests have generated $1.9 billion in revenue during his first three years in office or just over $600 million per year.
Of course, revenues are only part of the picture. Golf courses and commercial real estate, the bulk of the Trump financial empire, have considerable maintenance expenses. That lowers the take-home profit to about $470 million, or just over $156 million per year.
Interestingly, while Trump is best known for throwing his name on everything, known in business circles as a “licensing deal,” the real profit margins come from the real estate holdings. Even the president’s golf courses, which have earned him plenty of flack for enjoying during his tenure in office, have mostly lost money during his presidency.
The much-touted hotel business, which has generated tremendous flack as a potential conflict of interest, has also fluctuated in terms of revenue and profitability, with the Trump-branded hotel in Vancouver recently declaring bankruptcy.
While the various elements of the Trump empire create a total profit and cash flow every year, that may be a bit more tenuous going forward. The high percentage of cash generated from commercial real estate, which Trump still mostly holds in the New York area, remain in danger as long as work-from-home trends and the exodus from the tri-State area continue.
That may explain why the president took to Twitter on the 19th anniversary of the 9/11 attacks to congratulate JPMorgan Chase for ordering its workers back to the office.
The most recent calculation from the Forbes 400 is that Trump’s net worth slumped $600 million to $2.5 billion. That puts the billionaire down 64 slots on the Forbes 400 list, to 339 out of 400. That’s about 1/78th the wealth of Amazon founder and CEO Jeff Bezos, currently the world’s wealthiest at just under $200 billion. But at least he was the best-performing billionaire during the 2020 primaries.
If the current trends in New York City real estate continue, it’s possible that Trump could find himself both out of office and in a cash crunch at the same time. Should that happen, at least he’ll have the pension from his time as president. For now, though, The Donald is still raking in the cash.
Last modified: September 23, 2020 2:29 PM