Microsoft CEO Satya Nadella’s compensation this year was 96% performance-based, here’s what he earned
Satya Nadella made the vast majority of his compensation this year off performance-based incentives.
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What you need to know
Microsoft CEO Satya Nadella saw a 10% increase in compensation in 2022 compared to the previous year.Microsoft’s Proxy Statement 2022broke down a long list of figures, including how much money Nadella would make this year. While the CEO’s base salary of $2.5 million is unchanged, his stock awards went up to $42.269 million (up from $33 million in 2021).
“During fiscal year 2022, we addressed the need to provide ongoing incentives to Mr. Nadella following the February 2021 final vest of long-term performance stock award granted at Mr. Nadella’s 2014 promotion to CEO,” said Microsoft’s SEC filing.
“Mr. Nadella’s criticality to Microsoft’s ongoing success was a regular focus of feedback we received from shareholders, which is consistent with our independent Board members’ high confidence in Mr. Nadella’s exceptional leadership of Microsoft.”
People on social media have since shared mixed feelingsabout Nadella’s compensation.
The filing outlines its pay for performance figures:
Arguably the most important point here is that over 95% of Microsoft CEO Satya Nadella’s compensation is tied to company performance. It’s also worth noting that his base salary, while high, is relatively low when compared to his stock awards and other compensation.
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Sean Endicott is a tech journalist at Windows Central, specializing in Windows, Microsoft software, AI, and PCs. He’s covered major launches, from Windows 10 and 11 to the rise of AI tools like ChatGPT. Sean’s journey began with the Lumia 740, leading to strong ties with app developers. Outside writing, he coaches American football, utilizing Microsoft services to manage his team. He studied broadcast journalism at Nottingham Trent University and is active on X @SeanEndicott_ and Threads @sean_endicott_.
