Facebook's Mark Zuckerberg’s base salary falls to $1
Published 01/04/2014 | 07:49
Facebook's Mark Zuckerberg has has fallen into the $1-a-year category.
Zuckerberg (29), who is Facebook chief executive officer as well as the 22nd richest person in the world as ranked by the Bloomberg Billionaires Index, was paid $1 in salary for 2013, according regulatory filings in the US.
That reduction is down from a base salary of $503,205 in 2012, the year of Facebook IPO.
The $1 salary is well known in Silicon Valley circles for the already rich.
Apple late co-founder Steve Jobs helped popularise the practice while all in the category own huge equity stakes in their own companies.
Zuckerberg's total wealth is around $27bn and he owns Facebook shares that give him 61.6pc of the voting power in the Californian firm, the filing shows.
His net worth ballooned last year as Facebook’s stock more than doubled in value, Bloomberg reported.
Zuckerberg’s total package last year was $653,165, down from $1.99m in 2012 and related largely to his use of private planes, as part of his security programme, the filing also said.
He reaped a $3.3bn gain last year by exercising stock options in the social networking company he founded at Harvard University while the windfall saddled Mr Zuckerberg with a huge tax bill.
It marks the second straight year that Mr Zuckerberg has realised a huge gain on the holding that he has accumulated in Facebook since he started the company in 2004. In 2012, he made $2.3bn off his stock options.
Mr Zuckerberg has now exhausted his supply of stock options after exercising 60 million of them last year a price of 6 cents (3.5p) per share.
He then sold 41.35 million shares for 55.05 dollars (£33) apiece in December, primarily to pay for his tax bill on the gains.
Mr Zuckerberg and his wife, Priscilla Chan, also donated 18 million Facebook shares to a Silicon Valley non-profit organisation.