Warren Buffett is worth more than $100 billion, but he hasn’t had a pay raise in more than two decades.
In Berkshire Hathaway Inc.’s
2021 proxy statement filed late Friday, the holding company of insurance, utilities, rail, financing and other companies, disclosed that Buffett, who has been chairman and chief executive since 1970, had total 2021 compensation of $373,204, down from $380,328 in 2020 and below his 2019 total compensation of $374,773.
The total compensation for all three years included a base salary of $100,000. The company disclosed that Buffett’s annual salary has been $100,000 “for more than the past 25 years,” and that he receives no bonus or any form of equity-based compensation.
The rest of Buffett’s total compensation package was the value of personal and home security services provided by the company, which totaled $273,204 in 2021, $280,328 in 2020 and $274,773 in 2019.
Meanwhile, Vice Chairman Charlie Munger, who acts as Buffett’s right-hand man, was paid a base salary of $100,000 with no bonus the past three years, but didn’t receive any “other” compensation in the form of security services.
But don’t feel too bad for Buffett for not getting a raise, a June 2021 13D filing showed that he owned 238,624 shares of Class A common stock and 2,412 shares of Class B common stock.
The Class A shares rose 1.1% and the Class B shares gained 1.0% in afternoon trading Monday. At current prices, Buffett’s disclosed holdings are worth about $118.14 billion. That compares with Berkshire Hathaway’s market capitalization of roughly $723.1 billion.
Berkshire Hathaway may not have paid a cash dividend since 1967, but the value of Buffett’s holdings increased by $24.54 billion in 2021, by $1.96 billion in 2020 and by $8.02 billion in 2019.
So far in 2022, the value of his holdings has increased by $10.60 billion.
Also read from Barron’s: Warren Buffett’s Berkshire Hathaway shows bid operating gains, buys back $6.9 billion in stock.
Buffett was the fifth richest person in the world as of March 13, according to the Bloomberg Billionaires Index. The two people ahead of him currently at U.S.-based companies are Amazon.com Inc.
Executive Chairman Jeff Bezos at Number 2 and Tesla Inc.
Technoking of Tesla Elon Musk at Number 1, given their large shareholdings in their companies.
In Amazon’s last proxy statement filed in April 2021, the company disclosed that Bezos had total compensation of $1,681,840 in both 2020 and 2019, with both years including a base salary of $81,840 and the cost of security arrangements for Bezos, of $1.60 million.
In Tesla’s latest proxy filed in August 2021, it was disclosed that Musk had no compensation in 2020 and just $23,760 in 2019, of which all of it was base salary. In 2018, however, Musk took home the value of $2.284 billion, including a base salary of $56,380 and options awards of $2.283 billion.
Berkshire Hathaway’s more-active Class B shares have climbed 10.3% so far this year, while share of Amazon have lost 14.5% and of Tesla have dropped 27.5%. The S&P 500 index
has declined 12.4% this year.