Barack Obama became president in 2009 with relatively little wealth. So how is his net worth continuing to skyrocket even now?
Barack Obama’s Net Worth Skyrocketed After His Presidency – Here’s Why
Barack Obama was the 44th president of the United States of America. He was also the first African American president in history.
Obama has continued to do well after his terms in the White House. So, what is Barack Obama’s net worth?
Read on to find out his net worth, the surprising ways he earned it, and how he spends his money as a father and former president.
What Is Barack Obama’s Net Worth?
The former president, Barack Obama, currently has a net worth of approximately $70 million.
Surprisingly, his net worth before becoming president was $1.3 million – still a tidy sum, but nothing compared to his current wealth.
The bulk of his money was earned after Donald Trump succeeded him as president, and it’s only continued to grow.
How Did Barack Obama Earn His Net Worth?
Have you ever wondered about the source of Barack Obama’s wealth? The former president has grown his fortune over his adult years from these accomplishments.
2004 was a remarkable year for Obama. It was his first year in the Illinois State Senate. During that time, he had several investments, one of which was the Vanguard Wellington Fund.
If you remember Barack Obama from his days as Senator from Illinois or before, you know that he’s come a long way. Barack had a salary of $80,287 as a senator.
His investments have continued to grow as he earns more money than he spends.
Book Deals and Royalties
Obama has received numerous book deals and royalties over the year. For instance, in January 2005, he got one with Random House, where he got a $1.9 million advance. The advance was for The Audacity of Hope. Another book that earned him an advance of over $847,000 is Dreams From My Father.
Furthermore, between 2016 and 2017, the Obamas signed a book deal with Penguin Random House. This deal was estimated to be over $65 million. The power couple authored the two books.
In 2006, Barack received royalties from the two books, Dreams From My Father and The Audacity of Hope. They were around $150,000 and $425,000, respectively. The following year, he earned around $3.3 million in book royalties from Random House.
Presidential Salary and Pension
During his term as the president of the U.S., Barack Obama had a primary source of his wealth. What’s more, even after retirement, he still earns his pension. During his 8-year term as the president of the U.S., Barack Obama had annual earnings of $400,000.
Furthermore, upon leaving the White House, Barack Obama continued to earn over $200,000 in annual pension.
Selling his Political Memoir
Other than earning from his presidency, Barack Obama has made money from selling memoirs. His memoir, “A Promised Land,” was first released in November 2020. Notably, this is one of the top-selling memoirs. After a month of its release, 3.3 million copies of the memoir had been sold out.
Therefore, this latest book from Barack Obama has been a great success for the former president and has earned him money.
Public Speaking Fees
Barack Obama is an in-demand speaker. He was invited to speak at public speaking events several times a year. Such opportunities also add to his bank account. For example, in September 2017, the former president gave a speech during the healthcare conference run. He earned a total of $400,000 from this event.
Furthermore, Obama is reported to have earned $800,000 for his speeches to Northern Trust Corp and the Carlyle Group. In 2017, he earned around $1.2 million from his three talks to Wall Street firms.
Barack Obama’s financial successes can be traced to sources other than those mentioned. One of these is the Netflix production deal he signed back in 2018 with his wife, Michelle Obama. They are the founders of Higher Ground Productions.
According to The New York Post, their Netflix deal is estimated to be around $50 million. So, you can look forward to more series and films from this power couple on Netflix.
How Does Barack Obama Spend His Money?
Barack Obama spends his money in the following ways…
Purchasing Growth Plans for the Daughters
The Obamas think long-term when spending their money. Barack Obama purchased age-based growth plans for paying for college education for their two daughters, Malia and Sasha. Each of these plans was worth $50,000 and $100,000.
Obama and his family have remained in Washington, D.C., even after his term in office. The family lives in the posh Kalorama neighborhood. They bought the 8,200 sq. ft. mansion for $8.1 million, as reported by CNBC.
Additionally, the Obamas are still the owners of their home in Chicago. They bought it for $1.65 million back in 2005.
The Obamas also purchased a 6,892 sq. ft. house worth $11.75 million. It is on Martha’s Vineyard and reportedly overlooks the Edgartown Great Pond.
Barack Obama and his family have gone on lavish vacations since leaving the White House. They’ve been to Southern California, Necker Island, and the island of Tetiaroa, among others. During such vacations, they check in to luxury resorts and spend thousands of dollars per night.
Unfortunately, estimating the amount of money they spend on these vacations is tricky. This is because the General Services Administration provides him with enough money to cover such expenses.
Barack Obama spends a good amount of his money on his wardrobe, which isn’t a part of the presidential package. The former president and the first lady have been spotted donning designer clothes and casual, relatable, and affordable brands.
The former president has been a part of different charities. For example, together with his wife, Michelle, they donated $64,066 to over 30 charities in 2015. Furthermore, Obama donated his $1.4 million Nobel Peace Prize Award in 2009 to different charities.
From 2009 to 2015, the Obamas spent about $1.1 million on charity. Notably, over half of the donations were given to charity organizations for children.
Barack Obama Net Worth – Nowhere to Go but Up
Barack Obama was the 44th president. Before venturing into the presidency, he was not wealthy for much of his adult life.
Notably, he has made most of his fortune from his book deals and royalties. He has a supportive wife and partner, the former first lady, Michelle Obama. They are great public speakers and earn some money from the same. They spend on vacations, styling, buying property, and donating to charity.
Born in 1961, Obama is still relatively young and has many years left to invest his family’s fortune and give back to the community.