Tesla Shareholders Approve Elon Musk's Pay Package
Tesla shareholders have approved a pay package for Elon Musk that could allow him to earn stock worth approximately one trillion dollars over the next decade.
Approval and Conditions
At Tesla's annual shareholder meeting, 75% of voters supported the package, according to preliminary results. The package is conditional: Musk would receive no salary but could unlock Tesla stock valued near one trillion dollars if the company meets specific targets within ten years.
Performance Targets
- Musk must increase Tesla’s market capitalization from around $1.5 trillion to more than $8.5 trillion.
- Other financial and operational goals must also be achieved.
Context and Comparison
For perspective, Nvidia, the most valuable company currently at $4.83 trillion, pays its CEO $50 million annually, and he owns 3.5% of the company.
Musk’s Current Wealth and Past Packages
Elon Musk is already extremely wealthy, estimated at $460 billion according to the Bloomberg Billionaires Index, largely due to Tesla's stock price, which is about $465 per share—over 400 times its value at the 2010 IPO.
A previous pay package worth $55.8 billion faced legal challenges after a judge ruled the board was too close to Musk in designing the deal.
— Bloomberg Billionaires Index and Tesla shareholder meeting reports, 2025
Summary: Elon Musk’s new Tesla compensation plan sets an unprecedented milestone, potentially awarding him stock worth nearly one trillion dollars if ambitious company targets are met.