Presidential Allowance Modernization Act

To amend the Act of August 25, 1958, commonly known as the Former Presidents Act of 1958 1. Short title This Act may be cited as the Presidential Allowance Modernization Act 2. Amendments (a) Relating to a former President The first section of the Act entitled An Act to provide retirement, clerical assistants, and free mailing privileges to former Presidents of the United States, and for other purposes (a) Each former President shall be entitled for the remainder of his or her life to receive from the United States— (1) an annuity at the rate of $200,000 per year, subject to subsection (c); and (2) a monetary allowance at the rate of $200,000 per year, subject to subsections (c) and (d). (b) (1) The annuity and allowance under subsection (a) shall each— (A) commence on the day after the individual becomes a former President; (B) terminate on the last day of the month before the former President dies; and (C) be payable by the Secretary of the Treasury on a monthly basis. (2) The annuity and allowance under subsection (a) shall not be payable for any period during which the former President holds an appointive or elective position in or under the Federal Government or the government of the District of Columbia to which is attached a rate of pay other than a nominal rate. (c) Effective December 1 of each year, each annuity and allowance under subsection (a) having a commencement date that precedes such December 1 shall be increased by the same percentage as the percentage by which benefit amounts under title II of the Social Security Act (42 U.S.C. 401 and following) are increased, effective as of such December 1, as a result of a determination under section 215(i) of such Act ( 42 U.S.C. 415(i) (d) (1) Notwithstanding any other provision of this section, the monetary allowance payable under subsection (a)(2) to a former President for any 12-month period may not exceed the amount by which— (A) the monetary allowance which (but for this subsection) would otherwise be so payable for such 12-month period, exceeds (if at all) (B) the applicable reduction amount for such 12-month period. (2) (A) For purposes of paragraph (1), the applicable reduction amount (i) the sum of (I) the adjusted gross income (as defined by section 62 (ii) $400,000, subject to subparagraph (C). (B) In the case of a joint return, subclauses (I) and (II) of subparagraph (A)(i) shall be applied by taking into account both the amounts properly allocable to the former President and the amounts properly allocable to the spouse of the former President. (C) The dollar amount specified in subparagraph (A)(ii) shall be adjusted at the same time that, and by the same percentage as the percentage by which, the monetary allowance of the former President is increased under subsection (c) (disregarding this subsection). . (b) Relating to the surviving spouse of a former President (1) Increase in amount of monetary allowance Subsection (e) of the section amended by subsection (a) is amended— (A) in the first sentence, by striking $20,000 per annum, $100,000 per year (subject to paragraph (4)), (B) in the second sentence— (i) in paragraph (2), by striking and (ii) in paragraph (3), by striking the period and inserting ; and (iii) by adding after paragraph (3) the following: (4) shall, after its commencement date, be increased at the same time that, and by the same percentage as the percentage by which, annuities of former Presidents are increased under subsection (c). . (2) Coverage of widower of a former President Such subsection (e), as amended by paragraph (1), is further amended— (A) by striking widow widow or widower (B) by striking she she or he 3. Rule of construction Nothing in this Act shall be considered to affect— (1) any provision of law relating to the security or protection of a former President or a member of the family of a former President; or (2) funding, under the law amended by this section or under any other law, to carry out any provision of law described in paragraph (1). 4. Effective date; transition rules (a) Effective date This Act shall take effect on the date of enactment of this Act. (b) Transition rules (1) Former Presidents In the case of any individual who is a former President on the date of enactment of this Act, the amendment made by section 2(a) shall be applied as if the commencement date referred in subsection (b)(1)(A) of the section amended by this Act coincided with such date of enactment. (2) Widows In the case of any individual who is the widow of a former President on the date of enactment of this Act, the amendments made by section 2(b)(1) shall be applied as if the commencement date referred to in subsection (e)(1) of the section amended by this Act coincided with such date of enactment.

Summary: Presidential Allowance Modernization Act - Revises provisions relating to presidential pensions to&nbsp;allow former&nbsp;Presidents&nbsp;an annuity&nbsp;of $200,000&nbsp;and an additional monetary&nbsp;allowance&nbsp;of $200,000 per year. Reduces such pension by the amount that a President's adjusted gross income in a taxable year exceeds $400,000.&nbsp; Increases from $20,000 to $100,000 the annual annuity of a surviving spouse of a former President.