Introduction to Elon Musk’s Earnings
Elon Musk is one of the most successful businessmen and inventors of our time, enjoying immense success and outpacing many of the other tech entrepreneurs of the 21st century. He is the founder of Tesla, SpaceX and the Boring Company, amongst other enterprises, and is credited with changing the landscape of modern business. His success has seen him ranked amongst the top richest people on earth, and has subsequently piqued the interst of many curious people. One of the most commonly asked questions with regard to his wealth is: how much exactly does Elon Musk earn per minute?
Calculations to Work Out
Elon Musk’s Earnings per Minute
To answer this question, it is firstly necessary to calculate the total amount of money that Elon Musk is currently earning. Forbes estimates the worth of Elon Musk to be currently $35.8 billion. When broken down, his monthly income works out to approximately $1 billion. There are approximately 4,320 minutes in a month. Therefore, when divided further, it can be inferred that Elon Musk earns roughly $230,000 per minute.
Elon Musk’s Earnings Compared
For comparison, the median salary of a full-time employee in the US is roughly $55,000 a year, equating to $22 per minute. This means that Elon Musk earns a staggering 10,455 times more per minute than the median salary. Moreover, it is more than 350 times more than the earnings of the highest-paid CEO in terms of salary, Michael Corbat of Citigroup, who earned just $650,000 a year.
Assets and Revenue Streams
Elon Musk’s extremely high income is a result of the ingenuity of his businesses, but also of the active involvement he has in the day-to-day operations of the various companies he is involved with. Apart from his salary as executive director at Tesla, SpaceX and the Boring Company, Elon Musk owns considerable collateral in terms of equities in those companies. At Tesla, he has a stake of 22% equity with 33.5 million shares, while at SpaceX, he owns 54% of the company’s private shares.
Moreover, his earnings per minute are demonstrative of the strength of the stock market performance of the companies he owns. Tesla’s share prices have nearly doubled since January 2020, while at SpaceX, Elon Musk himself has revealed that the company is ‘on the cusp’ of reaching supersonic speeds. As such, Elon Musk’s income is reflective of the commercial performance of his companies.
How the Money is Spent
As with any other billionaire, speculation and curiosity are nonetheless rampant with regard to the use of Elon Musk’s money. It has been revealed that a large portion of his wealth is allotted towards philanthropic endeavors, with him reportedly donating around $34 million to various charities and organisations. Reports indicate that he has also donated a substantial sum to projects concerning the research of artificial intelligence, renewable energy and, most recently, the development of a vaccine against the coronavirus.
Assessment of Market Strategies
The success and the continued growth of Elon Musk’s companies can be largely attributed to the pattern of supply and demand that he has established in the market. Tesla, his most famous venture, is an example of this – it has slowly and steadily gained massive popularity since its introduction to the market, and continues to experience massive growth in terms of sales as it further diversifies its product range and continues to be innovative in its approach.
Another brilliant marketing strategy adopted by Elon Musk is that of being constantly visible and updates on current progress, making use of social media platforms such as Twitter. This has successfully generated a sense of interest, hype and anticipation from the public, significantly bolstering the successes reported by these enterprises.
Income Tax
As a resident of California, it is reported that Elon Musk is subject to personal income taxes of 13.3%. Consequently, in terms of net income, it is speculated that he earns around $200,000 per minute. Nonetheless, this is still a staggering sum, and provides enumerable opportunities for him to channel his funds to worthy causes or lucrative investments.
Media Perception
The media has showered considerable attention on Elon Musk’s success, and he is one of the most popularly covered figures on all platforms, business or otherwise. Apart from his significant financial gains, media reports have focused mainly on his innovative style of business, and while many are in awe with his success, a few have been highly critical.
Regardless, the attention generated is most certainly a byproduct of his extraordinary earnings per minute and his commercial successes, as these bring to light numerous possibilities which can at times be hard for the public to conceptualise. It is established that Elon Musk is a once in a life time figure, and his wealth and successes are reflective of this.
Redistribution of Wealth
Despite his successes, Elon Musk has always believed in the redistribution of wealth, and has been vocal in his support of universal basic income. In 2018, he lamented the disparity in income between the wealthy and the not so wealthy, claiming that it was ‘widening too much’, and has since been vocal about his views on entrepreneurship and the availability of resources.
Nonetheless, since his successes, he has made many ventures in the realms of philanthropy and humanitarism and has successfully commited billions of dollars to this cause. Also, his ambition to colonize Mars and make it available to many is a sign of his willingness to distribute his wealth and resources in order to benefit the greater population.
In Conclusion
Elon Musk’s wealth has been the topic of much debate and discourse, and for good reason. His net worth of $35.8 billion works out to be a staggering $230,000 a minute, and is reflective of his incredible successes. His wealth and subsequent earnings are a result of the remarkable combination of his clever strategy and intelligent business tactics, while his willingness to use his wealth and resources to benefit society further amplifies his stature as a genius entrepreneur.
