How much money does it take to elect a US president?

Running for president isn't cheap. The earlier one announces his/her candidacy, the higher the cost. There are no rules on how early a candidate can begin campaigning. Ted Cruz, for the 2016 elections, announced his candidacy in March 2015 itself, nearly 20 months before Election Day.

There is also no limit to how much a candidate can spend on their campaigns. For some, costs can even run up to $1 billion. It's not cheap to travel across the country for two years, sometimes even more, advertise, and also pay campaign workers.

Contributions are the most common source of campaign support. Political parties, charitable organisations, and political action committees are commonly used to aggregate funds to keep campaigns up and running.


Since 1976, candidates have been eligible to participate in a public financing system to pay for campaigns. Until the 2000 elections, all candidates nominated for president participated in this system by accepting government funds in exchange for a promise not to spend more than a specified amount.

However, this system became unappealing when major candidates realised they can often raise more money from private sources.

Candidates must set up a campaign organisation, called a political committee, and register it with the federal Election Commission. Once registered, these committees seek contributions, which they then report to the Federal Election Commission, which makes the information available to the public.

Federal law does not allow corporations and labour unions to donate money directly to candidates or national party committees. It also limits how much money individuals and organisations involved in political action may contribute to campaigns and parties.