Tesla Shareholders Approve Elon Musk's Trillion-Dollar Pay Package
At Tesla's annual shareholder meeting, investors voted overwhelmingly to approve an extraordinary pay package for Elon Musk, with 75% in favor, according to preliminary results announced on November 6, 2025.
This compensation plan is performance-based. Musk would receive no salary but could unlock Tesla stock valued at nearly one trillion dollars if the company meets specific milestones over the next decade.
Key Targets in the Pay Package
- The company's market capitalization must rise from approximately $1.5 trillion today to over $8.5 trillion.
For context, Nvidia, currently the most valuable company boosted by the AI boom, is valued at $4.83 trillion. Nvidia’s CEO earns $50 million annually and owns 3.5% of the company.
Elon Musk's Current Wealth
Musk is one of the richest individuals globally, with a net worth around $460 billion according to the Bloomberg Billionaires Index. This wealth is largely driven by Tesla’s stock price, which is approximately $465 per share—over 400 times its value during Tesla's 2010 IPO.
Legal Background on Musk's Pay
A previous compensation plan granting Musk $55.8 billion faced legal challenges after a judge ruled that Tesla’s board was too close to Musk when designing it.
"Tesla shareholders have overwhelmingly approved a pay package of extraordinary proportions for Elon Musk, passing the measure with 75% of the vote."
"Musk would unlock Tesla stock worth about a trillion dollars if the company meets certain criteria within the next decade."
Summary: Tesla’s board secured shareholder approval for a historic pay package that ties Elon Musk’s compensation to ambitious future company growth targets, potentially awarding him nearly a trillion dollars in stock.