When Jerome Powell walks into his office at the Federal Reserve, he’s arguably among the most powerful economic figures in the the world. Yet his official salary is modest compared to many private-sector executives. This disparity often surprises people. In this article, I break down what Powell is officially paid, how that number is determined, how it compares historically and with other public officials, and what hidden or debated aspects may lie underneath.

The Role & Legal Framework

To understand Powell’s salary, you need context on how the Fed’s leadership pay is structured.

• The Chair of the Federal Reserve is one of the most visible federal positions. The Chair is appointed by the President and confirmed by the Senate.
• In U.S. pay law, the Chair of the Fed is classified under the Executive Schedule, Level I pay classification.
• According to the published “Executive Schedule” pay tables as of 2025, Level I salary is $250,600 per year.
• However, many reports and public statements show that Powell’s actual compensation has been cited as $190,000/year.

Why the gap? Some possibilities include pay freezes, congressional constraints, differences between base vs adjusted pay, or that published “levels” don’t always reflect actual disbursement.

What Reports Say: $190,000 vs Official Tables

A. The $190,000 Figure

• Many reliable articles list Jerome Powell’s salary as $190,000/year.
• Powell himself has publicly referred to that figure. For example, he was once asked what he earns, and responded “around $190,000.”
• TheStreet, in a 2025 profile, lists his current salary as $190,000 and notes financial disclosure filings showing his net worth between $20 million and $55 million.
• CoinCodex cites the $190,000 salary as part of its net worth estimation.
• Other sites (e.g. Paywizard) also show $190,000 as his reported salary.

B. The Official / Theoretical Level I Pay

• The Wikipedia page for “Chair of the Federal Reserve” notes the Chair’s salary is set at Executive Schedule, Level I, and cites a salary of $246,400.
• The Executive Schedule table (January 2025) lists $250,600 for Level I positions.
• Some media sources note that while people claim $190,000, others assert that according to the Office of Personnel Management, the more accurate figure is $226,300.

Thus, there is a discrepancy between what is “on paper” under pay tables and what is commonly reported / paid out (or at least publicly acknowledged).

Historical Perspective & Comparisons

To help readers understand whether Powell’s salary is high or low in relative terms, let’s compare across time and roles.

Role / Period	Salary / Compensation	Notes / Source
Jerome Powell (recent)	$190,000 (commonly cited)	Public media / Powell statement
Executive Schedule Level I	$250,600	Published government table
Bloomberg comparison	Speaks of Powell’s salary being comparable to a mid-level banking associate	Bloomberg: “Jerome Powell earns the same paycheck as a Wall Street banking associate.”

From that, one sees:

• The “publicly cited” figure is materially lower than the top Level I bracket.
• The “earnings as a Fed Chair” are modest relative to corporate leadership salaries, but reflect the public / institutional nature of the role.
• The gap invites questions about why the “published level” and “actual pay” diverge.

Possible Explanations & Ambiguities

Why is Powell’s salary often quoted as ~$190,000 despite higher Level I pay tables? Here are plausible factors:

• Pay freeze or legislative constraints: Federal pay is often subject to freezes, budgetary rules, or adjustments controlled by Congress, which may hold the actual disbursement lower than nominal rates.
• Base vs gross vs adjusted pay: The published Level I rate might represent a cap or full base, but actual take-home or allocated pay could be lower when adjusted for legal constraints, benefits, or other offsets.
• Benefit packages / allowances: Some compensation might be in non-salary form—e.g. perks, retirement benefits, expense allowances—that aren’t part of the base pay figure.
• Historical precedent / inertia: The $190,000 number has been cited for years; changing that number may require legislation or administrative approval, so pay may lag official schedule changes.
• Misreporting / rounding / public simplification: Public articles frequently round or simplify pay figures rather than deal with complexities of federal pay law.
• Dual roles / overlapping constraints: The Chair remains member of the Board of Governors under constraints; some overlapping salaries / caps may apply.

Given those complexities, treating $190,000 as a working “public figure” is reasonable—while acknowledging the discrepancy with Level I tables.

What the Salary Means

From my perspective, here are some observations / implications:

• The modesty of Powell’s public salary underscores that the Fed Chair is seen as a public service position, not a profit-driven CEO role.
• Because much of his influence is structural (monetary policy, regulatory leverage) rather than tied to profit, compensation is decoupled from private markets.
• The discrepancy between the “Level I published” figure and public reporting suggests institutional constraints over pay flexibility.
• For readers / followers of policy / economics, this offers a reminder: power ≠ high pay, especially in government / institutional roles.
• It also suggests that real value for Powell lies not in salary, but in prestige, influence, long-term legacy, and the non-financial motivations of central banking.

FAQs

• Q: What is Jerome Powell’s salary in 2025?
  A: The most commonly cited public figure is $190,000 per year. However, official Level I pay scales for similar positions list $250,600 annually for 2025.
• Q: Why does public reporting differ from official pay tables?
  A: Differences may come from pay freezes, administrative constraints, benefit / allowance structures, or that written schedules do not always translate into actual disbursement.
• Q: Does Jerome Powell receive bonuses or extra compensation?
  A: There is no widely cited bonus attached to the Fed Chair role. Additional income for Powell would more likely come from investments, assets, or benefits unrelated to base salary.
• Q: How does Powell’s salary compare to corporate CEOs?
  A: It is very modest in the private sector, where CEOs often earn millions in base pay + stock options + bonuses. Powell’s pay is lower but reflects the public institution role rather than profit incentives.
• Q: Can his salary change?
  A: Yes, in principle. Adjustments would require legislative or administrative action. This could involve updating pay tables, approving increases, or ending pay freezes.

Conclusion

Jerome Powell’s official salary as Fed Chair may appear surprisingly modest in the lens of modern executive pay. While $190,000 is widely cited and publicly confirmed by Powell, federal pay tables suggest a higher nominal Level I salary in 2025. The difference is likely due to institutional constraints, pay freezes, and the public service character of the position.

In the end, the more interesting story isn’t just the number itself, but what it reveals: that in some roles, influence and duty matter more than big salaries. And for readers of your site focused on leadership, governance, or economics, it provides a striking example of how compensation and power don’t always align as they do in business.