Tesla’s board has proposed a 10-year pay deal for CEO Elon Musk. If approved, it could be worth $87.75 billion.
According to the U.S. Securities and Exchange Commission, the plan would link Musk’s pay to Tesla reaching a market value of $8.5 trillion, up from about $1 trillion now. If he meets these goals, Musk could become the world’s first trillionaire.
Musk could receive shares equal to 12% of Tesla’s current total stock. The deal hinges on ambitious targets, including the delivery of 20 million vehicles and the operation of 1 million Robotaxis.
Breaking news: Tesla’s board has proposed a new pay package for chief executive Elon Musk worth $1tn over the next decade if he is able to hit a series of formidable targets. https://t.co/4RGFytV1WX pic.twitter.com/YyqUl3yyri
— Financial Times (@FT) September 5, 2025Earlier in September, Tesla gave Musk a $29 billion interim award to keep him amid tough competition for talent.
Musk, already the world’s richest person, founded Tesla and SpaceX. However, Tesla’s car sales and profits dropped in 2025. This was partly due to the Cybertruck’s weak sales and slow releases of new models. Musk’s backing of far-right politics has also attracted criticism. The new deal comes after a Delaware court voided Musk’s 2018 pay package worth $55.8 billion. Tesla is appealing that ruling.
Breaking: Tesla’s board is asking investors to approve a new pay package for Chief Executive Elon Musk that could be worth as much as $1 trillion over the next decade https://t.co/fnmfo5Uo3v
— The Wall Street Journal (@WSJ) September 5, 2025Critics say the high pay could hurt Tesla’s finances. Supporters call it a strong bet on Musk’s vision and leadership. If Musk reaches the goals, Tesla would solidify its lead in electric and self-driving cars. The pay package could also change how top executives are rewarded in the future.
Read: Elon Musk’s xAI Sues Apple and OpenAI Over Alleged Antitrust Violations
