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What is Elon Musk’s Net Worth?
Elon Musk’s estimated net worth is around $191 billion. This wealth is derived not only from his stake in Tesla but also from his other ventures, including SpaceX, Neuralink, and The Boring Company. However, his net worth has seen significant fluctuations over the past year.
In early 2024, Musk’s net worth reached a peak of around $200 billion, cementing his position as the world’s richest person. This massive fortune was primarily derived from his ownership stake in Tesla, which accounts for around 37% of his net worth as of December 2022, after selling nearly $40 billion worth of Tesla shares since late 2021.
Despite being the CEO of Tesla, Musk does not receive a salary from the company. Instead, his compensation is tied to Tesla’s valuation and revenue through a unique performance-based stock option plan approved in 2018. This arrangement has been a significant driver of Musk’s wealth accumulation.
However, Musk’s net worth has experienced a substantial decline in 2024. According to reports, his wealth has dropped by nearly $40 billion this year, primarily due to a drop in Tesla’s share price and the rejection of his compensation plan by a Delaware court. The court ruled that the compensation decision was a “conflicted-controller transaction” since Musk had significant influence over Tesla’s board of directors.
While Musk’s net worth has taken a hit in 2024, he remains one of the wealthiest individuals globally.
It’s worth noting that Musk has repeatedly described himself as “cash poor” and has expressed little interest in the material trappings of wealth, instead focusing on accumulating resources for humanity’s outward expansion into space. He has also pledged to donate a significant portion of his wealth to charitable causes through the Giving Pledge initiative.
Here’s the breakdown of Elon Musk’s net worth:
Name: | Elon Musk |
Net Worth: | $191 billion |
Date of Birth: | Jun 28, 1971 |
Profession: | Aerospace Engineer, Engineer, Entrepreneur, Investor, Designer, Businessperson, Inventor, Film Producer |
If you’re curious about how we estimate a celebrity’s net worth, you can check out our methodology here.
Salary & Compensation Plan
Elon Musk does not receive a salary from Tesla. Instead, his compensation is tied to Tesla’s performance through an extremely lucrative stock option plan approved by shareholders in 2018. The plan granted Musk options to buy up to 101 million Tesla shares at $70 each, vesting in 12 tranches as the company achieved specific operational and market capitalization milestones.
As of early 2024, Musk has vested 11 of the 12 tranches, giving him the option to buy around 97 million shares at the $70 strike price. With Tesla’s stock currently trading around $191, the vested options are worth over $18 billion on paper.
However, a Delaware court ruled in January 2024 that the 2018 compensation plan was flawed and should be rescinded, dealing a major blow to Musk’s pay package. Tesla is now asking shareholders to re-approve the plan at its June 2024 annual meeting.
If re-approved, the full 12 tranches would give Musk the option to acquire around 101 million shares, currently valued at over $19 billion. Musk would be required to hold the shares for 5 years after exercising the options.
The proposed pay plan was unprecedented in size when first approved in 2018, valued at around $2.6 billion at the time but potentially reaching $56 billion if all goals were met. Its value has fluctuated along with Tesla’s stock price.
Early Life
Elon Musk was born on June 28, 1971 in Pretoria, South Africa to a South African father and Canadian mother. He had a difficult childhood, being bullied and once hospitalized after a beating. Musk taught himself computer programming at age 10 and created a video game called Blastar that he sold to a magazine for $500.
In 1988 at age 17, Musk moved to Canada to attend Queen’s University, obtaining Canadian citizenship through his mother. He later transferred to the University of Pennsylvania, earning bachelor’s degrees in physics and economics in 1995.
After being accepted to a graduate physics program at Stanford University in 1995, Musk decided instead to pursue entrepreneurial opportunities in the growing internet boom. He never attended Stanford, deferring his admission after just two days.
Success
Elon Musk’s staggering net worth primarily stems from his ownership stakes in two groundbreaking companies he co-founded: Tesla and SpaceX.
Tesla, the electric vehicle manufacturer, has been at the forefront of the transition towards sustainable transportation. Under Musk’s leadership, Tesla has disrupted the automotive industry and become one of the most valuable car companies in the world, with a market capitalization exceeding $600 billion as of early 2024. Musk’s 17% stake in Tesla accounts for a significant portion of his net worth, estimated to be around $130 billion.
SpaceX, Musk’s other major venture, has revolutionized the space industry with its reusable rocket technology and ambitious goals of making space travel more affordable and accessible. The company has secured lucrative contracts with NASA and other organizations, and its successful launches and landings have captured the world’s imagination. Musk’s 48% ownership of SpaceX contributes substantially to his wealth, estimated to be around $60 billion.
Beyond these two companies, Musk’s net worth has also been bolstered by his involvement in other ventures, such as The Boring Company, Neuralink, and his recent acquisition of Twitter (now rebranded as X) for $44 billion.
Musk’s success can be attributed to his unwavering vision, relentless work ethic, and ability to identify and capitalize on emerging technologies and market opportunities. His willingness to take calculated risks and push the boundaries of what is possible has disrupted multiple industries and earned him a reputation as one of the most influential entrepreneurs of our time.
Personal Life
Elon Musk has been married and divorced three times, and his relationships have often been the subject of public scrutiny and media attention.
Musk’s first marriage was to Justine Wilson, a Canadian author, in 2000. The couple had six sons together, including a set of twins and a set of triplets, before divorcing in 2008. Tragically, their first child, Nevada Alexander Musk, passed away from sudden infant death syndrome (SIDS) at just 10 weeks old.
In 2010, Musk married British actress Talulah Riley, but their relationship was tumultuous, and they divorced in 2012, only to remarry in 2013 before divorcing again in 2016.
Musk’s most recent high-profile relationship was with Canadian musician Grimes, with whom he had two children: a son named X Æ A-Xii (initially named X Æ A-12) in 2020, and a daughter named Exa Dark Sideræl Musk (nicknamed “Y”) in 2021 via surrogate. However, the couple reportedly split up in 2022.
In addition to his public relationships, Musk has had other children with different partners. In 2022, it was revealed that he had twins with Shivon Zilis, a top executive at Neuralink, in November 2021, just weeks before the birth of his daughter with Grimes.
Real Estate
At its peak, Elon Musk’s collection of properties was valued at over $100 million, primarily concentrated in the Los Angeles area. However, in 2020, Musk made headlines by announcing his decision to sell almost all of his physical possessions, including his extensive real estate holdings, to focus on his ambitious projects like SpaceX and Tesla.
Bel-Air Mansions
Musk’s foray into Bel-Air real estate began in 2012 when he purchased a white stucco Colonial estate for $17 million. This seven-bedroom, 13-bathroom home featured luxurious amenities such as a two-story library, a wine cellar, a tennis court, a pool, and a gym. In 2020, Musk sold this property to Chinese billionaire William Ding for $29.72 million.
In addition to the Colonial estate, Musk owned several other properties in Bel-Air. In 2015, he acquired a six-bedroom house on a 3.41-acre lot for $27.1 million and a modest ranch house for $5.8 million. He also purchased a contemporary mansion and a neoclassical Colonial home in the same area. These four properties were sold as a package deal to luxury property developer Ardie Tavangarian for $84.1 million in December 2020.
Brentwood Estate
In 2014, Musk bought a boomerang-shaped house in Brentwood, California, for just under $3.7 million. This modern home featured floor-to-ceiling windows, privacy hedges, and a private pool. Musk sold the property in 2019 for $4 million.
Hillsborough Mansion
In 2017, Musk added the historic Guignécourt estate in Hillsborough, San Francisco Bay Area, to his portfolio. This 100-year-old Mediterranean-style mansion, situated on 47.4 acres, included five bedrooms, a ballroom, a library with a hidden bar, and a gazebo with 18th-century Chinese wallpaper. Musk sold this property to Kirill Evstratov for $30 million in November 2021.
Boxabl House in Texas
Contrary to popular belief, Musk does not reside in a Boxabl, the famous pre-fabricated tiny home. Instead, he uses it as a guest house. His primary residence is a modest two-bedroom house in Boca Chica, Texas, near SpaceX’s headquarters. This $50,000 home reflects Musk’s minimalist lifestyle and his focus on his work.
Elon Musk Net Worth History
Elon Musk’s net worth has experienced dramatic fluctuations over the years, driven by the performance of his companies, particularly Tesla and SpaceX.
Early Wealth Accumulation
After co-founding Zip2, a city guide software company, Musk sold it to Compaq for $307 million in 1999, earning $22 million from the sale. He then founded X.com, which later became PayPal, and sold it to eBay for $1.5 billion in 2002, netting $165 million.
The 2010s: Rapid Growth
The 2010s marked a period of rapid growth for Musk’s net worth. Tesla’s initial public offering in 2010 and its subsequent success in the electric vehicle market significantly boosted his wealth. By the end of the decade, Musk’s net worth had grown to around $22 billion, driven by Tesla’s rising stock price and SpaceX’s expanding operations.
The 2020s: Unprecedented Wealth and Volatility
The 2020s have been particularly volatile for Musk’s net worth. In 2020 alone, his wealth increased by $142 billion, largely due to Tesla’s surging stock price. By November 2021, his net worth peaked at $340 billion, making him the richest person in the world at that time.
However, Musk’s net worth has also seen significant declines. In 2022, Tesla’s stock price dropped by 65%, and Musk’s acquisition of Twitter for $44 billion further impacted his wealth. By early 2023, his net worth had fallen to $137 billion, representing a historic loss of $203 billion from his peak.
As of mid-2024, Musk’s net worth has rebounded to around $191 billion, driven by a recovery in Tesla’s stock price and continued success with SpaceX.
Despite the fluctuations, Musk remains one of the wealthiest individuals globally, with his fortune closely tied to the performance of his companies.
Ashley Roberts is the founder of Real-Time Billionaires List. She founded this platform because she likes to know how much celebrities are actually making. She is always curious why these people can make much more money than the ordinary person.
With a Bachelor’s degree in finance, she is skilled at financial analysis and understands numbers related to wealth. Most of the articles on this site are edited by herself before publishing.
