Here's how much money Tim Cook, the CEO of Apple, made in 2021.
- Apple CEO Tim Cook received $98.73 million in salary in fiscal 2021, according to an SEC filing published on Thursday
- The majority of his pay comes from a $82 million stock grant that he received on the first day of Apple's fiscal 2021 but has yet to vest.
- The official compensation amount does not include $754 million in shares from a previous grant that vested in August.
Apple CEO Tim Cook received $98.73 million in salary in fiscal 2021, according to an SEC filing published on Thursday
The pay disclosure comes after a stellar year for Apple, in which the company claimed a 33 percent revenue increase and sales of more than $365 billion. The information pertains to Apple's fiscal year, which started in September 2020 and ended in September 2021.
Here’s how Cook’s pay breaks down:
- $3 million in salary
- For achieving Apple's financial and environmental sustainability targets, the company will receive a $12 million bonus.
- Other remuneration was $1.39 million, which included $712,488 in personal air travel, $630,630 in security, a $17,400 401(k) contribution, $2,964 in life insurance premiums, and $23,077 in vacation cash-out.
- Stock awards of $82.35 million
These stock awards are part of a five-year grant issued on the first day of Apple's fiscal year 2021 in September 2020. They haven't yet vested and are divided into two sections.
The first tranche consists of 333,987 Apple shares worth $37.5 million at the time of the grant, which will vest in three annual payments beginning in 2023. According to the filing, Cook will receive these shares even if he retires.
The second component is similarly 333,987 Apple shares, but the grant is performance-based, meaning Cook's share count could double or disappear depending on Apple's stock performance. These shares, which were valued at $44.85 million at the time of the grant, will vest in October 2023. According to the filing, these shares will also vest if Cook retires, though a compensation committee of the board of directors can prevent it.
"It's been a tremendous decade for Apple, and for the first time since he was promoted as CEO in August 2011, Mr. Cook was granted an equity reward in 2021," Apple said in the filing.
Cook's 2021 pay did not include over 5,000,000 Apple shares that vested in August 2021, valued at over $754 million at the time according to the filing. Those shares were given out around the time Cook took over as CEO in 2011.
Cook's total income in 2021 was 1,447 times the median Apple employee's total salary of $68,254, according to the filing, though Apple stated that the ratio is not comparable to other businesses' disclosed ratios due to variances in how the median employee is determined.
Cook stated in 2015 that he wants to donate his fortune to charity.
Cook's stock awards were calculated by taking into account Apple's size, performance, and Cook's role and performance as CEO, according to Apple's proxy.
Apple also stated that the board's remuneration committee considers Apple's profitability in comparison to a group of peer firms, including Alphabet, Microsoft, Amazon, and Meta, the parent company of Facebook.
Apple included Tesla to a "secondary peer group" of companies with "iconic" brands that rely on significant research and development for growth this year for compensation purposes.
A representative at Apple declined to comment.