Mac OS

Monday, April 18, 2011

The Obamas: A two-thirds pay cut in 2010

By Charles Riley, staff reporter


NEW YORK (CNNMoney) -- President Obama and the first family earned about two-thirds less in 2010 than the year before, and donated about 14% of their income to charity.

The Obama family, in tax returns released Monday by the White House, reported an adjusted gross income of $1,728,096, down from about $5.5 million in 2009.

The Obamas reported paying $453,770 in federal taxes. They donated $245,075, or 14% of their income, to 36 different charities. Fisher House Foundation, a charity that works with veterans, took home the biggest single donation.

The president earns a salary of $400,000 for his day job. His paycheck was much higher because his books -- "Dreams From My Father," "The Audacity of Hope" and "Of Thee I Sing: A Letter to My Daughters" -- continued to register strong sales. But those sales were not nearly as strong as they were the year before.

Obama is donating the proceeds from the latest book, "Of Thee I Sing," to a Fisher House scholarship fund for children of fallen and disabled soldiers. This year, the contribution was $131,075.

The Obamas donated $15,000 to the Clinton Bush Haiti Fund, and $10,000 to the Boys & Girls Club of America.

In 2009, the Obamas paid about a third of their income -- $1.8 million -- in federal taxes.

Obama said in a speech last week that top earners -- himself included -- should pay higher taxes.

"I don't need another tax cut," he said. "Warren Buffett doesn't need another tax cut."

Also released was the return of Vice President Joseph Biden and his wife, Jill. Their adjusted gross income was $379,178, on which they paid federal taxes of $86,626.

The Bidens donated $5,350 to charity, in both monetary and in-kind donations, an amount equaling 1.4% of their adjusted income. The biggest donation listed on the tax return is a $1,400 donation to the Northern Virginia Community College Alumni Scholarship Fund.

Elizabeth Alexander, Vice President Biden's press secretary, issued a statement to CNN that emphasized that the Bidens also donate their time to charitable causes.

"The charitable donations claimed by the Bidens on their tax returns are not the sum of their annual contributions to charity. They contribute to many causes with their time, as well as their checkbooks," she said.

Last-minute talks underway as NFL lockout looms

Representatives of the National Football League and its players’ union met on Thursday to try and thrash out a last-minute labour deal and avoid a possible lockout next season.


With the current collective bargaining agreement set to expire at 11:59 p.m. EST (0459GMT), time was quickly running out for the feuding parties to reach a compromise.

No one attending the meeting gave any indication of whether a lockout was inevitable though local media speculated the union would choose to decertify and challenge the NFL in court under antitrust law.

The union and the NFL are at odds over how they should divide the $9 billion annual revenues that are generated by America’s most popular sport.

Under the current agreement the players get around 60%. But the NFL and team owners want a bigger slice of the pie to fund, in part, the building of new stadiums.

The feuding sides have spent months trying to negotiate a deal but have failed to reach an agreement, raising the possibility that next season could be interrupted by a lockout.

The last time the NFL season was affected by a labor dispute was in 1987 when the league brought in replacement players for a strike, which lasted 24 days.

Life beyond the "Hold Out"

Bruce Allen: NFL lockout hasn’t impacted Redskins’ draft plans

Washington Redskins General Manager Bruce Allen says although the NFL lockout has made for a very different offseason, the team’s draft plans haven’t been impacted in any way.

Allen and the Redskins will enter the NFL draft – which takes place April 28-30 – with more needs than usual because lack of a new collective bargaining agreement (CBA) has kept teams from filling out their rosters with free agents. Normally the free agency period would have gotten underway March 4, and then most squads would have turned to the draft to meet needs they weren’t able to address in free agency.

The Redskins addressed one need by signing free safety O.J. Atogwe just before the 2010 league year ended on March 3. But they haven’t been able to attempt to re-sign offense starters Santana Moss, a receiver, and Jammal Brown, a right tackle, or cornerback Carlos Rogers. And they still need a quarterback, nose tackle and pass-rushing help.

The Redskins have the 10th overall pick in the draft and the 41st overall pick (which is in the second round), but lack third- and fourth-round picks. They have two fifth-round picks, a sixth and three seventh-round picks, but the chances of landing an immediate starter in rounds five through seven aren’t great.

Some draft analysts have surmised that the lack of a free agency shopping period will cause teams to “over-reach” or draft players at need positions significantly higher than they are rated.

But Allen said the Redskins are approaching the draft as they would in any other year.

“I think the draft process is pretty standard. [The lockout] really hasn’t changed the way we evaluate the players,” Allen said while taking a break between leading children on a Redskins-sponsored Easter egg hunt at Deanwood Community Center on Saturday. “We miss seeing the players in our building. That’s different, and you miss that camaraderie, but the preparation doesn’t change.

“A lot of people, in previous years, go by the draft board, and go by the rating. Don’t try to over-reach on a player. Obviously, if you thought someone was going to go, you might have to take him a half-a-round higher than you would have projected. We’re going to follow our draft board. And I think that’s the safest way to do it. If it’s a position we feel we have a need, then that works out even better for us.”