Inflation has led the FEC to raise the limits on individual contributions to candidates by $400 per election. Individuals can now give up to $3,300 per election, compared to the previous limit of $2,900, coming to a total of $6,600 for the general and primary combined. Political fundraising has taken a major hit over the past two years and many major firms, both Democrat and Republican, have been forced into large layoffs. The FEC memo reads, Under the Federal Election Campaign Act (the Act), certain contribution limits are indexed for inflation every two years, based on the change in the cost of living since 2001, which is the base year for adjusting these limits.” The specifications of the new limit parameters are as followed:
- The limits on contributions made by persons to candidates (increased to $3,300 per election, per candidate)
- The limits on contributions made by persons to national party committees (increased to $41,300 per calendar year)
- The limit on contributions made by certain political party committees to Senate candidates (increased to $57,800 per campaign)
Campaign Finance Expert Dan Backer says of the new limits, “it’s an ironic testament to how bad our economy has gotten under Joe Biden that contribution limits rocketed up nearly 15%, which will help fuel the campaigns to defeat him.”
The FEC memo continued:
The inflation adjustments to these limits are made only in odd-numbered years. The per-election limits on contributions to candidates are in effect for the two-year election cycle beginning the day after the general election and ending on the date of the next general election (November 9, 2022 – November 5, 2024). All other contribution limits are in effect for the two-calendar-year period beginning on January 1, 2023 and ending on December 31, 2024.
National party committees may establish accounts to defray certain expenses incurred with respect to presidential nominating conventions, election recounts and other legal proceedings, and headquarters buildings. The contribution limits applicable to these accounts are 300% of the limits on contributions to national party committees, which means that the accounts may accept up to $45,000 per year from multicandidate committees and $123,900 per year from other contributors during the 2023-2024 election cycle. 52 U.S.C. § 30116(a)(1)(B) and (a)(9).
Surely, as the 2024 presidential election and primaries approach, the world of political fundraising will see a major boost and this big increase in contribution limits will add that. See the chart below for the full scope of campaign contribution limits in 2023-2024: