The announcement of Apple CEO Tim Cook’s Salary caused a lot of controversy in Silicon Valley at the close of last year. Apparently, people didn’t know a CEO, an employee nontheless, could be paid such a dizzing figure.
So if you’re one of those people who have been searching Google for “how much does Tim Cook earn in a year?” I implore you, please count the zeros.
Over N40,000,000,000 ($102,000,000) in Naira equivalent (N400/$1).
That is, ONE individual was paid N40bn Naira in a year. One person.
But before you jump into conclusions as to how falsified or genuine Apple CEO Tim Cook’s Salary is, let me break it down for you.
It’s not a basic salary, that’s one important thing to note.
Since Tim took over from Apple founder, Steve Jobs in 2011 (God bless his soul), the media have been proclaiming his good deeds, one gigantic milestone being the fact that Apple is about to be the first company in the world to hit the $1tr market capitalisation.
Another, more recently is because Apple shares have jumped six fold since he came on board.
Thus, Apple CEO Tim Cook’s Salary for last year according to a regulatory SEC filing was broken down like this:
Basic salary: N1.2bn ($3.06m)
Cash bonus: N3.6bn ($9.3m) up from $5.4m last year.
Share awards: N36bn ($89m)
Total 2017 payout: N40bn ($102m)
So as it turns out, the bulk of Apple CEO Tim Cook’s salary comes from his Apple shares.
When CEOs of fortune 500 companies come in, naturally they are given stock options together with a basic salary, bonus package and a whole bunch of other things we don’t know.
When Tim Cook took the reins, the stock portfolio he was offered was reportedly worth N150bn ($376 million).
So basically just agreeing to be Apple’s CEO turned him into an instant multimillionaire. Overnight.
And now that that Apple stock has increased by more than 200% since 2011, it’s easy to deduce that Tim has virtually become a Tech billionaire. You do the math.
Asides from Apple CEO Tim Cook’s salary, Apple on the other hand maintain certain mandatory add-ons, one of which is that their CEOs must travel by private jet for all corporate and personal events.
By implication, Tim Cook’s use of the Jet for his holidays costed almost N40m ($100,000) and that’s besides the N40m ($104,000) they gave him for vacationing and his security detail which costed N90m ($224,000).
Now you’re there thinking “What’s mandatory about flying corporate Jets”, but in case you think the reason they give people like Dangote and the likes Jets, is for pleasure sake, I’m sorry but you’ve missed road.
It’s so that you can kill yourself with work – every hour, on the hour, before the hour.
Shebi you said you’re the CEO na?
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If you were paid N40 billion Naira last month, tell us, how exactly would you spend it?