So although thousands of federal employees may be furloughed after the sequester takes place, don’t fear, President Obama won’t see a pay cut. The Budget Control Act, which was signed into law by Obama in 2011, will take affect on March 1st. The President will be exempt from the effects of the sequestration, which he has threatened will be devastating.
report published last month by the Congressional Research Service--“Budget Sequestration and Selected Program Exemptions and Special Rules"--identifies certain programs that are exempt from sequestration and lays out special rules that govern the sequestration of others.
Section 255 of the Budget Control Act includes “Compensation for the President” as one of those exemptions (Page 19).
“Most exempt programs are mandatory, and include Social Security and Medicaid; refundable tax credits to individuals; and low-income programs such as the Children’s Health Insurance Program, Supplemental Nutrition Assistance Program, Temporary Assistance for Needy Families, and Supplemental Security Income,” the
“Some discretionary programs also are exempt, notably all programs administered by the Department of Veterans Affairs,” it said. “Also, subject to notification of Congress by the president, military personnel accounts may either be exempt or reduced by a lower percentage,” the report states. (The report states in a footnote that the White House notified Congress last year of President Obama's intention to exempt military personnel accounts from sequestration.)
Pensions for former presidents are also exempt, according to the
It is good to know that the President’s income is safe, when thousands of Americans could be forced out of work. He preaches about how the sequestration could be devastating to many people, but how worried can he really be when his livelihood is safe.