- President Barack Obama turns 58 on Aug. 4.
- The former president continues to grow his wealth with book and Netflix deals.
- Since leaving the White House, he continues to earn more than $200,000 a year as an annual pension.
Barack Obama certainly has a lot to celebrate on his upcoming birthday on Aug. 4, when he turns 58. The former president has continued to succeed after leaving the White House, with one of his more recent achievements being his and wife Michelle Obama’s Netflix deal.
Celebrity Net Worth reported Obama’s net worth as $40 million, but according to an estimate by Analytics@American, American University’s business analytics program, the Obamas could make as much as $242.5 million post-presidency.
- Net worth: $40 million
- Date of birth: Aug. 4, 1961
- Primary sources of wealth: Presidential salary and pension, book and Netflix deals
- Career highlights: Former president, Nobel Peace Prize
Barack Obama’s Net Worth: $40 Million
Obama has an estimated net worth of $40 million, according to Celebrity Net Worth, in part due to earning $400,000 a year throughout his entire eight-year term as president of the United States. On April 15, 2016, Obama released his 2015 tax returns, which showed that he and his wife filed jointly and reported an adjusted gross income of $436,065. They paid $81,472 in taxes according to their 18.7% tax rate. They also donated a total of $64,066 to more than 30 charities.
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A Timeline of Barack Obama’s Wealth
How did Obama grow his fortune? Here’s a timeline of his accomplishments that have added to his earnings over the years, as chronicled by Business Insider:
- 2004: He earned a salary of $80,287 from the Illinois Senate and $32,144 from the University of Chicago Law School, where he lectured. Obama also had investments in three different assets — including the Vanguard Wellington Fund — evaluated between $100,000 and $200,000.
- 2005: Obama received a multi-book deal with Random House and was given a $1.9 million advance after January 2005 for “The Audacity of Hope,” plus royalties, following his appearance at the 2004 Democratic National Convention. He also earned just over $847,000 that year from another book advance for “Dreams From My Father,” plus $378,237 from additional book royalties.
- 2006: Obama reported book royalties for “Dreams From My Father” of a little less than $150,000, plus $425,000 from royalties for “The Audacity of Hope.”
- 2007: Obama earned almost $3.3 million from Random House book royalties and almost $816,000 from Dystel & Goderich for “Dreams From My Father.” He acquired U.S. Treasury notes valued between $500,000 and $1 million, and he invested in two 529 college savings plans — valued at between $50,000 and $100,000 each to start — for his daughters.
- 2008: When Obama was elected president, he owned somewhere between $1.1 million and $5.1 million in U.S. Treasury bills.
- 2009: Obama won the Nobel Peace Prize, which came with a $1.4 million award. He donated it to a number of different charities.
- 2009-2015: Obama earned $400,000 a year as president and continued to earn book royalties, as well as interest on his investments.
- 2016-2017: Newsweek reported that Obama’s annual pension after leaving the White House is more than $200,000. He also has received fees as large as $400,000 for public speaking events. The Obamas also signed a book deal together with Penguin Random House reportedly worth more than $65 million for two books written separately by each of them.
- 2018: The Obamas founded Higher Ground Productions and signed a production deal with Netflix, according to CNBC.
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Barack Obama’s Life Beyond the Presidency
Obama is now one of four living former presidents, and he has returned to his community activist roots, working on issues that were important to him during his presidency, such as gun control, immigration, nuclear nonproliferation, race relations and criminal justice reform. Through various organizations, social media, speaking engagements and his production company, Obama continues to raise awareness of these issues and pursue social change.
According to the 1958 Former Presidents Act, Obama will receive the salary of a Cabinet secretary for the rest of his life. That amount is his $205,700 annual pension. Among the other perks are health insurance and round-the-clock Secret Service protection until his death.
The cost of Secret Service protection is not made public, but Obama will also receive funds for an office, staff and related expenses, which George W. Bush took advantage of to the tune of almost $1.1 million in 2015.
Barack Obama’s Book and Netflix Deals
Obama is gearing up to increase his sphere of influence — and potentially his net worth — as a producer. He and his wife signed a deal to produce series and films for Netflix, according to a May 2018 press release from the company.
The multiyear deal could include scripted and unscripted series and films that will be made available to over 151 million Netflix subscribers in more than 190 countries. Netflix did not disclose the financial details; however, The New York Times reported that similar deals have been valued at tens of millions over several years.
The Obamas will produce content for the streaming service under the entity Higher Ground Productions. “Barack and I have always believed in the power of storytelling to inspire us,” Michelle Obama said in the official announcement.
The power couple’s storytelling has already proved lucrative. Their most recent book deal with Penguin Random House, for example, is worth anywhere from $30 million to $65 million, NBC News reported.
President Barack Obama and Michelle Obama have entered into a multi-year agreement to produce films and series for Netflix, potentially including scripted series, unscripted series, docu-series, documentaries, and features.
— Netflix US (@netflix) May 21, 2018
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Barack Obama’s Speaking Fees
Many presidents establish foundations and enjoy lucrative second careers as in-demand speakers and authors, and the Obamas are as popular as ever. The former president gave a speech in September 2017 at a healthcare conference run by the trading and investment firm Cantor Fitzgerald, according to The New York Times. His fee for that event was reported to be $400,000, the same as his presidential annual salary.
Analytics@American estimated that the Obamas could make about 50 speeches a year, earning “a conservative $200,000 apiece.”
Barack Obama’s Real Estate
Obama is the first former president in nearly 100 years to remain in Washington, D.C., after leaving office. He and the family remained in town so his youngest daughter, Sasha, could finish high school. She graduated this June.
Their digs are located in the area’s posh Kalorama neighborhood, where first daughter Ivanka Trump also owns a home. The Obamas bought the house for $8.1 million, according to CNBC. They also kept their Chicago home in the historic Hyde Park neighborhood.
With their post-presidential speaking and book deals, real estate holdings and production company, the Obamas are primed to maintain a considerable amount of wealth and influence beyond their time in the White House.
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