What the Law Really Says About Paid Endorsement
Contributions vs. Expenditures
Under the Federal Election Campaign Act (FECA), “anything of value” given to a campaign is a contribution (52 U.S.C. §30101(8)). Conversely, money flowing from a campaign to a vendor is an expenditure—perfectly lawful if the payment reflects the vendor’s “usual and normal charge.” FEC.gov
In‑Kind Contributions and Personal Services
If a celebrity volunteers time to say “Vote for X,” that speech is an in‑kind contribution subject to the individual limit ($3,300 in 2025). Paying that celebrity fair‑market compensation converts the interaction into a commercial contract, not a contribution. But paying above fair market—or paying for a non‑existent service—could be treated as a disguised contribution, triggering civil penalties or even criminal charges if intent to evade limits is proven. FEC.govFEC.gov
Corporate & Nonprofit Pitfalls
Corporations are barred from contributing directly to federal candidates (52 U.S.C. §30118(a)). A campaign paying a corporation for legitimate services is exempt, but only if the campaign receives commensurate value. Overpayment or sham invoices invite FEC audits—and Justice Department prosecutions for wire fraud or false‑statements.
The FEC has repeatedly said campaigns may hire entertainers, provided the fee mirrors market rates (e.g., AO 1999‑34, AO 2004‑07). FEC.govsaos.fec.gov Trump’s blanket claim—“Candidates aren’t allowed to pay for ENDORSEMENTS”—is thus incomplete. Payment for bona‑fide entertainment? Usually OK. Payment in exchange for political speech alone? Potentially illegal.
