Net Income Capped at $25,000
WASHINGTON, D.C.—New rules cap net income at $25,000 per year for everyone, from common man to millionaire, beginning January 1. The War Labor Board (WLB) and Department of the Treasury today accepted responsibility for the new wage rules issued by Office of Economic Stabilization director James F. Byrnes and approved yesterday by President Roosevelt. The WLB will govern salaries under $5,000, while the Treasury will manage salaries between $5,000 and $25,000. Small firms are exempted from the order, as are salaries set by federal or state statute. Despite his exemption, President Roosevelt has asked his annual $75,000 stipend be reduced to the maximum outlined in the new rules. The Office of Economic Stabilization was established on October 3 by executive order issued by President Roosevelt.