Despite of his massive net worth hovering around $23.6 billion, Musk has never taken a paycheck from Tesla, refusing his $36,000 minimum salary every year.
Elon Musk choose to forgo a real salary at Tesla for now and said to achieve his goal to take Tesla a $100 billion market cap. If that happens then a big payday is coming for musk.
Musk has stated that he will not receive any form of payment or compensation until Tesla reaches $100 billion in market cap.
Earlier this year, Tesla shareholders decided to award Musk $2.6 billion in stock option in 12 tranches, or portions, over the next 10 years. However, the compensation will be based on the company’s stock market performance.
To get that compensation, Musk will have to guide Tesla networth to a valuation of more than $650 billion from its $50 billion current valuation. He could bring home as much as $55.7 billion over the next 10 years.
Also, compensation packages at Elon Musk SpaceX and The Boring Company are unknown, because those companies are privately held now.
Outside of Tesla, Elon Musk is the CEO of SpaceX(a space exploration company) ;Founder and CEO of mining company, The Boring Company.
Love him or hate him, Tesla CEO Billionaire Elon Musk has become one of the most talked CEO.
How he Actually Made It?
Musk made his first million when he sold his software company called Zip2(a web version of the telephone directory) with brother Kimbal Musk and another business partner, Greg Kouri to PC company called Compaq in 1995 for nearly $307 million. Musk’s(at 27 age) share netted for that deal was $22 million, according to the New York Post.
Musk then used $12 million of his own money to co-found X.com(an online banking service) in 1999, which after merging with a rival, was renamed to PayPal Inc. (PYPL). PayPal was sold to eBay in 2002, eBay bought PayPal for $1.5 billion. Netting Musk another $180 million after taxes.
Then after, Musk used his newfound fortune to lead his three main business interests that have been electric cars, solar energy, and space exploration, he summed up in 2012 Economist interview.
“They certainly were not picked because they had the highest return on investment,” Musk said in the interview. Also, mentioned “I could probably make a lot more money from, say, starting another Internet company.”
Instead, Musk says he pursued these interests just because of their broad potential social benefits—solving huge global problems that no one has yet solved.
Musk lead an early round of financing for Tesla in 2004. While the company struggled to gain traction, Musk moved to CEO position from the company’s board position in 2008.
That early investment in Tesla by Elon Musk has paid off as the company’s stock has jumped from $19 per share in 2010 to hovering around $340 in 2018.
Also, His money helped to launch the artificial intelligence company which was sold to Google between $400 million and $600 million.
Beyond he’s three main business interests, Musk has another ambition to revolutionize travel on earth. In 2013, He captured the attention of the world with his concept of “Hyperloop,” a series of tubes that could transport people in pods at a speed of 800 miles per hour.
In 2016, After gr0wing frustration with the “soul-destroying” traffic in Los Angeles, Musk launched another venture, the mining company “The Boring Company”, a tunnel construction project of SpaceX/Tesla “Hyperloop”(a series of tubes that could transport people in pods) that aims to alleviate traffic congestion by moving it underground with the speed of 220 miles per hour.
Musk mentioned that with a few updates it could get the pod to half of the speed of sound(343 m/s), which he estimated at 500 kilometers per hour(about 311 miles per hour).
To get the company off of the ground, Musk appealed to his followers to purchase The Boring Company hats, who purchased $840,000 worth of The Boring Company hats and also spent another $10 million on a limited edition Flamethrower sales.
Musk is using that money to dig a 6.5-mile proof of concept tunnel beneath in Los Angeles that musk hopes will result in a government contracts. In June 2018, Chicago Mayor Rahm Emanuel announced that “The Boring Company” will build and operate a multi-billion rapid transit link between the city’s O’Hare International Airport and its downtown area.
Elon Musk’s Early life and Education(Elon Musk Biography)
Elon Musk was born on June 28 in 1971 at Pretoria, South Africa. His mother, Maye was a model and dietician. His father, Errol was an electromechanical engineer in South Africa. Compared with his two siblings, Elon was a quiet child. When Musk was 10, his parents divorced.
Musk’s early education was plagued by bullying. At one time, he was hospitalized after some kids threw him down staircase. “I was the youngest kid in my grade, so I was quite small,” Elon Musk said in a Question and Answer with TIME. Perhaps he used to read books constantly. Musk started using computers at a very early age. Musk said that he learned to program at the age of 9 and earned $500 for creating a video game at the age of just 12.
After completing his high school in South Africa, Musk went to Canada to attend Queen’s University in Ontario at 17. “I left South Africa by myself, against my parents wish,” Musk said to the university’s alumni magazine. “I came to North America just because I felt this was where there was opportunity to do great things in technology” he explained.
In 1992, after completing two years at Queen’s University, Musk joined the Ivy League at the University of Pennsylvania. Two years later there, during the semester Musk was tasked with coming up with a business plan in one of classes. He then wrote a paper entitled as “The Importance of Being Solar.”
In that paper, Musk laid out his vision of the future of solar energy, detailing how solar panels work and why this technology will grow massively. He concluded the paper with a drawing of the “power station of the future,” which in his description featured two giant solar arrays, each four kilometers in width, that beamed solar energy back to a 7km antenna back on earth.
Musk scored 98 marks in that paper, according to Esquire.
Further, Musk graduated with a bachelor’s degree in Physics and Economics from The Wharton School of the University of Pennsylvania before he enrolled in Stanford’s program to pursue his Ph.D. Musk never finished the program, in fact not even lasting the 1st semester, and decided to launch his first startup, Zip2, with his brother and one more partner.
How Billionaire Elon Musk Spend His Money?
Elon Musk says he often works for 80, 90, and sometimes even 100 hours per week. In a Reddit AMA discussion, Musk said He sleeps for about six hours per night.
Recently, with Tesla under pressure to produce more automobiles, Musk said to CBS News that he has been sleeping on the car factory floor. “I don’t have time to go home and shower,” he said.
Elon Musk mostly spends his money in real estate.
Musk owns residential property worth more than $72 million in the Bel-Air neighborhood of Los Angeles, according to The Real Deal. His latest purchase: a $24 million estate in the Bel-Air area.
Musk also has a $17 million 1.67 acre mansion in Bel-Air that features 20,248 square feet, a two-story library, a home theater, personal gym and 1,000-bottle wine cellar, according to Variety.
When it comes to spending Musk don’t really see the price tag, what he likes he buys. In 2013, Musk purchased the Lotus Esprit submarine car used in a James Bond movie for $920,000, according to CNBC report.
Despite being Billionaire, Musk don’t spends on lavish vacations— or any vacations for that matter. In 2015, he said he’d only taken two weeks off since founding SpaceX about 12 years earlier.
Musk first Wife name is Justine Musk. Elon Musk divorced her in 2008 and married Talulah in 2010.Presently Elon Musk Wife is Talulah Musk. Musk has 5 young children. Musk said he takes his kids on an annual camping trip, according to his 2014 tweet. “I’m a pretty much a good dad,” Musk said. “I have the kids for slightly more than half the week and spend a fair bit of time with them. I also take them with me when I go out of town” musk explained.
At the end of the day, the multi-billionaire enjoys his inexpensive hobbies like listening to music, playing video games, and reading books. “Hang out with kids, see friends, normal stuff,” he said. “Sometimes go crazy on Twitter. But usually it’s work more” he explained.
Giving Pledge and Donations
In 2012, Elon Musk too signed on to the Giving Pledge, the movement founded and lead by Warren Buffett and Bill Gates, in which many of the world’s richest people promise to give at least half of their wealth to philanthropic causes. Elon Musk wealth is majorly used for philanthropic causes.
Also, he created the Musk Foundation, which offers money for causes like renewable energy research and science and engineering education. The Musk Foundation is particular known for providing aid, often in the form of solar power, in the wake of natural disasters. In 2011, the Musk Foundation donated $250,000 to build a solar power
system in Japan in an area devastated by a tsunami. In last fall, Tesla sent hundreds of battery systems to be paired with solar panels to Puerto Rico to help restore electricity in the aftermath of Hurricane Maria, and Musk personally made a $250,000 donation to the relief effort.
“If I could do something to alleviate it, I will definitely to do that,” Musk said, according to Fortune. “There are problems which are not taken care by the government or the market.And that’s probably the best use of my assets.”