; frequency (1) In general The annuity and allowance under subsection (a) shall each— (A) commence on the day after the date on which an individual becomes a former President; (B) terminate on the date on which the former President dies; and (C) be payable on a monthly basis. (2) Appointive or elective positions The annuity and allowance under subsection (a) shall not be payable for any period during which a former President holds an appointive or elective position in or under the Federal Government to which is attached a rate of pay other than a nominal rate. (c) Cost-of-Living increases Effective December 1 of each year, each annuity and allowance under subsection (a) that commenced before that date shall be increased by the same percentage by which benefit amounts under title II of the Social Security Act ( 42 U.S.C. 401 et seq. ) are increased, effective as of that date, as a result of a determination under section 215(i) of that Act ( 42 U.S.C. 415(i) ). (d) Limitation on monetary allowance (1) In general Notwithstanding any other provision of this section, the monetary allowance payable under subsection (a)(2) to a former President for any 12-month period— (A) except as provided in subparagraph (B), may not exceed the amount by which— (i) the monetary allowance that (but for this subsection) would otherwise be so payable for such 12-month period, exceeds (if at all) (ii) the applicable reduction amount for such 12-month period; and (B) shall not be less than the amount determined under paragraph (4). (2) Definition (A) In general For purposes of paragraph (1), the term applicable reduction amount means, with respect to any former President and in connection with any 12-month period, the amount by which— (i) the sum of— (I) the adjusted gross income (as defined in section 62 of the Internal Revenue Code of 1986) of the former President for the most recent taxable year for which a tax return is available