Tremendous Wealth Of Elon Musk
Elon Musk has been making headlines for leaving an indelible mark on the world. From founding space exploration firm SpaceX to running Tesla – the electric car maker – he has made an immense impact. Yesterday, Forbes estimated that his net worth was $59.3 billion. This made him the world’s sixth-richest person, surpassing celebrities like Kylie Jenner and Jay Z.
While his fortune might seem too good to be true, the businessman has had to take considerable risks along the way. One of the prime motivators of his success has been his ability to spot lucrative opportunities, and then capitalizing on them – often drawing on his skills of persuasion and being able to make bold decisions.
Throughout his life, he has made investments in a variety of sectors, ranging from renewable energy to venture capital, and has gone on to bag billions. In 2017, he also made $1.33 billion by selling SolarCity shares. To put this in perspective, this equated to almost 1.5 times his estimated wealth in 2020.
What makes Elon Musk’s wealth even more remarkable is that it comes from a range of sources. Many of his businesses are bringing in significant returns. For example, his automotive and energy business Tesla, reported a net income of over $1 billion in 2019, proving that the business is doing better than ever before.
Along with Tesla, SpaceX has been another significant source of income for Musk. Established in 2002, the aerospace manufacturer and space transport services firm is estimated to be worth upwards of $20 billion, significantly adding to Elon Musk’s riches.
Musk’s Career As An Entrepreneur
The entrepreneur gained his wealth through a combination of investments, sales of various businesses and long-term payouts given the success of these businesses. While Elon Musk had a brief stint as a software engineer in the 90s, he ventured into the world of entrepreneurship in 1999. He formed X.com which then merged with another company called Confinity to form what we now know as PayPal.
By the time PayPal was sold to eBay, Musk had already left the board of directors and his wealth skyrocketed due to his investment and board memberships in the companies. Following PayPal, he served as Chairman for Tesla Motors, cementing himself as one of the most successful entrepreneurs across the globe.
Elon Musk believes in a future in which humans are able to explore space, and he believes that if we want to make the future better, then we need to take major steps towards space exploration. This is why he invested a significant amount of his wealth into SpaceX, a company that has sent rockets to space and is attempting to launch a satellite around the Moon in 2021.
Furthermore, Elon Musk recently announced a ‘Starlink’ network, set to provide high-speed internet services to anywhere on the globe. With his money and his vision, he could potentially provide millions with the internet services they currently do not have access to and help facilitate access to the services they need.
Elon Musk’s Investments
Elon Musk also has his own venture capital firm, called The Boring Company. They have invested in many startups, such as Hyperloop, OpenAI, and Neuralink, among other companies. His investments in these companies have earned him a considerable amount of income, with some of his investments even bringing in profits in just a few years’ time.
On top of this, he owns a $70 million property in Los Angeles, with investment portfolios that pull in even more passive income. In other words, despite not actively playing a role in their businesses, Elon Musk is still receiving due rewards for his investment decisions.
The other way Musk is making money is through stock options and bonuses. His base salary is only $45,000 per year, but his performance bonuses can make up for the rest. In 2018 he received a $2.3 billion compensation package from Tesla that paid him in stock options. So much of his income comes from stock options that the vehicle maker issued him over the years.
It is the stock option income that has allowed Musk to amass his current net worth of $59.3 billion.
Elon Musk’s Record-Setting Wealth
This has allowed Elon Musk to create history with the biggest pay package for an executive since Ronald Reagan in the 1980s. The Wall Street Journal says that he has become the fifth highest-paid executive in America by surpassing some of the country’s most famous CEOs like Mark Zuckerberg, Warren Buffett and Tim Cook.
In fact, 2020 was a record-setting year for Musk, because his wealth increased to $59.3 billion in a matter of days – making him the sixth-richest person on the planet. It might sound too good to be true but it is safe to say that Tesla stock has done wonders for Musk’s wealth.
Surging to record levels, shares of the electric car maker have been responsible for a major chunk of Musk’s wealth. The shares have grown to new heights this year, making people wonder if there is an upper limit to the amount of wealth Musk could earn.
Musk’s Philanthropic Work
Elon Musk’s fortune has allowed him to indulge his philanthropic spirit. He’s been associated with a variety of charities and his efforts have been far-reaching. His foundation, StartMital, has donated upwards of $4.8 billion to organizations that focus on math and science education, solar energy and environmental conservation.
He also extended his hand to assist healthcare workers in the US by donating 1000 ventilators to hospitals in California. He further donated $1 million for the global industry response to the coronavirus pandemic. Musk has consistently demonstrated a philanthropic spirit even when he wasn’t as wealthy.
Musk’s Mind-Boggling Achievements
Elon Musk is also making history with his various other accomplishments. In terms of transportation, he has not only managed to revolutionize the automobile industry with his electric cars, but also spearheaded the development of uniquely designed tunnel networks beneath the cities, a revolutionary train system similar to the Hyperloop, and a transit system based on air-pressured tubes called the ‘Hyperloop One’.
He definitely has the capacity to change the world with the amount of money he is making. Scientific and technology advancements will be even easier for him to research and develop since he will now be able to put in the resources needed to make it happen.
Musk’s Impact On Eco-Friendly Initiatives
Elon Musk has also constantly pushed for the adoption of eco-friendly initiatives. He usually puts the money he earns into developing greener solutions and reducing worldwide carbon emissions.
The man behind Tesla’s success has been making relentless efforts to increase the number of vehicles powered by electricity in circulation and reduce the amount of emissions. Thanks to his efforts, the ride-hailing firm, Uber, plans to switch to electric-powered vehicles and expects to have fully electric fleets in some of the world’s major cities by 2023.
It’s easy to see why Musk wants to make the world a better place and his wealth gives him the means to do so. Not only can he continue to invest in new businesses and technology, but he can also funnel his money into green initiatives and charities, allowing him to support those who don’t have the wealth to do it themselves.
Elon Musk’s Legacy
It’s clear that Elon Musk has already left a lasting legacy in business circles, and his wealth only continues to grow. Whether he puts his money towards eco-friendly projects or invests in other innovative companies, his commitment and ambition remain far above the rest.
It’s no surprise that people are taking notice and recognizing his success, whether it be his wealthy peers or members of the public. What must be taken away from Musk’s story is that money might make it easier to do a lot of things, but it’s still up to an individual to build a legacy and make an impact.
What Elon Musk’s success has really demonstrated is that anyone with a dream can turn that dream into reality, and make history in the process. He is a prime example of what it means to be an ambitious and ready for risks.
Conclusion
Elon Musk’s success has been nothing short of spectacular, and his current wealth of $59.3 billion is a testament to how big a success story he is. He has been taking risks and making bold decisions with the resources he has, and this has allowed him to become one of the wealthiest entrepreneurs on the planet.
It’s true that money makes a lot of things easier and gives you the ability to make a difference, but it’s still up to the individual to make an impact and create a lasting legacy. Elon Musk has certainly done this, and he will continue to do so in the future.
