How much does the Pope earn? A look at Pope Leo XIV’s salary, perks, and tax status

Pope Leo XIV is expected to earn approximately $33,000 per month, totaling around $405,600 annually, according to Daniel Rober, a Catholic studies professor at Sacred Heart University, in a report by Fortune.

In addition to the salary, the pontiff enjoys a range of exclusive benefits, including round-the-clock meals, access to a personal vehicle (the Popemobile), a private pharmacy, and other privileges unique to the Vatican.

With an annual pay package nearing half a million dollars, the Pope’s salary is comparable to that of U.S. presidents and top university leaders.

It remains uncertain whether the new Pope will accept the proposed salary. Traditionally, popes have not received significant salaries, as the Vatican ensures most of their needs are met.

Perks given to Pope 

Pope Leo XIV is entitled to a wide range of privileges beyond his reported salary. Traditionally, popes are housed in the grand Apostolic Palace, though Pope Francis famously chose to live in the simpler Domus Sanctae Marthae guesthouse. All of the pope’s daily needs, including meals, clothing, and medical care, are fully covered by the Vatican.

He will have access to official transportation, including the Popemobile and private vehicles, and his safety and healthcare are managed by Vatican services. If Pope Leo XIV ever steps down, he would still receive a monthly pension of $3,300 (about Rs 2.8 lakh), along with continued support for living, food, and housekeeping.

In addition to these provisions, he will receive traditional papal symbols such as the Fisherman’s Ring, valued at $520,000, along with sacred vestments and papal regalia. These benefits highlight the spiritual and ceremonial stature of the papacy, along with strong material and institutional support.

Vatican's earning and financial issues 

Vatican which the smallest country in the world draws its income from diverse sources including donations, investments, tourism, and museum ticket sales. Although, Vatican's finances have long faced challenges.

One significant contributor in term of finances if Peter’s Pence, an annual offering from Catholics worldwide, contributing about £20 million annually, with the largest donations coming from the US, Germany, and Italy.

However, the Vatican's financial situation has worsened in recent years, with a growing annual operating deficit reaching over $90 million in 2023. The pandemic further exacerbated these issues, leading Pope Francis to implement major pay cuts in 2021. In November 2023, Pope Francis highlighted the "severe prospective imbalance" of the Vatican's pension fund, warning that it would continue to worsen without intervention.

Despite these financial hurdles, the Vatican remains dependent on its various revenue streams, including Peter’s Pence, which brings in $27 million annually.

Will he pay taxes? 

The U.S. requires all citizens, including those living abroad, to file annual tax returns. Unless Pope Leo XIV renounces his American citizenship, he may face unusual tax obligations due to his dual role as a clergyman and head of a foreign state.

While many nations exempt citizens abroad from taxes, the U.S. does not. Americans can usually exclude some foreign income, but this doesn’t apply to earnings from a foreign government—meaning the Pope's Vatican salary could be taxable.

He might benefit from the foreign tax credit if he pays taxes abroad, as he likely did while working in Peru, which taxes global income for full-year residents.