12 members / 552 guests (24 hours)

An Interesting IDB update! And how IDB got even faster.  IDB is fast, reliable, and FREE to use. Just join and start posting!

Fed

Did you know that in 2014 the Federal Reserve Bank made 116 billion with expenses at 12 billion. That’s 104 billion in profit in just 1 year. Our payroll taxes go to pay them. They are also Tax Excempt!

Income and Expenses

Table 4 summarizes the income, expenses, and distributions of net earnings of the Reserve Banks for 2014 and 2013. Income in 2014 was $116,562 million, compared with $91,150 million in 2013.

Expenses totaled $12,579 million:

  • $6,862 million in interest paid to depository institutions on reserve balances and term deposits;
  • $3,926 million in Reserve Bank operating expenses;
  • $383 million in net periodic pension expense;
  • $112 million in interest expense on securities sold under agreements to repurchase;
  • $590 million in assessments for Board of Governors expenditure;
  • $711 million for new currency costs;
  • $563 million for Consumer Financial Protection Bureau costs; and
  • $2 million in other costs.

The expenses were reduced by $570 million in reimbursements for services provided to government agencies. Net deductions from current net income totaled $2,718 million, which includes $2,907 million in unrealized losses on foreign currency denominated investments revalued to reflect current market exchange rates, $110 million in net income associated with consolidated VIEs, and $81 million in realized gains on federal agency and GSE mortgage-backed securities (GSE MBS). Dividends paid to member banks, set at 6 percent of paid-in capital by section 7(1) of the Federal Reserve Act, totaled $1,686 million.

Comprehensive net income before interest on Federal Reserve notes expense remitted to Treasury totaled $99,653 million in 2014 (net income of $101,265 million, decreased by other comprehensive loss of $1,612 million). Earnings remittances to Treasury totaled $96,902 million in 2014. The remittances equal comprehensive income after the deduction of dividends paid and the amount necessary to equate the Reserve Banks’ surplus to paid-in capital.

Section 11 of this report, “Statistical Tables,” provides more detailed information on the Reserve Banks and the VIEs. Table 9 is a statement of condition for each Reserve Bank; table 10 details the income and expenses of each Reserve Bank for 2014; table 11 shows a condensed statement for each Reserve Bank for the years 1914 through 2014; and table 13 gives the number and annual salaries of officers and employees for each Reserve Bank. A detailed account of the assessments and expenditures of the Board of Governors appears in the Board of Governors Financial Statements (see section 12, “Federal Reserve System Audits”).

More tables and info here:

http://investmentwatchblog.com/did-you-know-that-in-2014-the-federal-reserve-bank-made-116-billion-with-expenses-at-12-billion-thats-104-billion-in-profit-in-just-1-year-our-payroll-taxes-go-to-pay-them-they-are-also-tax-excem/

RepliesTypeAuthorRecsPost DatePost
GNr4r4105/19/2017, 11:43am
  • Re: Fed
    Posted by r4r4 at 05/19/2017, 11:43am
    Recs: 1
    Type: GN
GNeasy005/19/2017, 12:00pm
  • Re: Fed
    Posted by easy at 05/19/2017, 12:00pm
    Recs: 0
    Type: GN