Elon Musk’s compensation in 2025 was $158 Billion. But Tesla profits were only $4 billion . . .

Photo above - Elon Musk ponders his good fortune. The WSJ reports that Tesla shareholders approve his $158 billion compensation package least year to "encourage him to spend more time at the company . . . "

How is this even possible? How can Elon Musk earn 40 times as much as Tesla booked in net profit? Musk earned $158 billion last year. Tesla earned $4 billion. (see links below)

The answer is probably simple: Clever accounting tricks involving stock options, performance bonuses, and deducting his massive personal salary from Telsa’s revenue before reporting that paltry $4 billion profit.

How much is $158 billion in real world numbers? It boggles the mind. You could buy 10 (at least) new aircraft carriers. Build 400,000 homes at an average cost of $400,000 each. Probably fly to Mars and back a couple of times.

Mr. Musk claims the only house he owns is a “small, prefab, 375 square foot home in Texas”, and reports no other residences in the US or abroad. Which sounds like bullshit. If anyone has a picture of Elon going out the front door of his prefab home in the morning and getting in his Model Y to drive to the office, please post it.

Let’s move past Tesla, to Musk’s latest passion: SpaceX. It’s about to have an IPO which will value the company at $2 TRILLION. After the IPO Musk will own 42% of the shares and control 80% of the voting rights. Can you imagine what he plans to pay himself after THAT takes place? Musk won’t even need to consult the other shareholders to decide how many billions to pay himself. It will be his decision alone.

SpaceX is the major contractor for NASA space launches. It offers Falcon, Dragon, Starship and other vehicles to reach earth orbit, the moon, and beyond. Taxpayer dollars are the predominant source of SpaceX profits. Are we okay with this?

I’m just sayin’ . . .

https://www.wsj.com/business/autos/elon-musks-tesla-compensation-last-year-surpassed-158-billion-3c84f683

https://techcrunch.com/2026/01/28/tesla-earnings-profit-q4-2025/

https://www.keeptrack.space/deep-dive/who-owns-spacex

SunshineGirl · 36-40, F

$158bn is a valuation of what Tesla believes his compensation package would be worth if he met a number of very testing targets in 2025 (which he almost certainly won't do as he spent much of the year playing not very successfully at politics). But yes, the reported profits border on the fraudulent.

I can also believe that he only owns one pre-fab house of that helps him to reduce his tax liability. The mega-rich are pathologically addicted to tax evasion.

SusanInFlorida · 31-35, F

@SunshineGirl we're somewhat on the same page. although i struggle to understand how owning a 375 SF mobile home to dodge property taxes in anyway offsets his penchant for globetrotting, high end hotels, etc.

SunshineGirl · 36-40, F

@SusanInFlorida If you have no fixed abode and take no regular salary, most payments to you can be presented as tax-deductible business expenses.