Apple CEO Tim Cook earned less in 2023 compared to 2022

New Delhi,UPDATED: Jan 12, 2024 15:27 IST

Apple CEO Tim Cook made a lot of money the previous year, 2023, but it was still lower than what he made in 2022. A new statement released by the Cupertino-giant revealed that Cook earned $63.2 million in 2023. However, in 2024, Cook had raked in over $99.4 million in 2022.

In a recent annual proxy statement, Apple disclosed details about executive compensation, shareholder proposals, and upcoming changes to its board of directors. Notably, the report revealed that Apple CEO Tim Cook saw a substantial decrease in his earnings for 2023 compared to the previous year.

In 2022, Cook's target compensation was set at $84 million, but he exceeded expectations, earning $99.4 million. However, for 2023, Cook's target compensation took a notable dip, falling by 40 per cent to $49 million.

Contrary to the reduced target, the proxy filing disclosed that Cook's total compensation for 2023 surpassed the intended amount. Cook's earnings for the year reached $63,209,845, approximately 28 per cent higher than the initially planned $49 million. Despite this increase, Cook's total compensation still saw a 36 per cent decrease from the impressive $99.4 million he earned in 2022.

The breakdown of Cook's 2023 compensation includes a salary of $3 million, stock awards totaling $46,970,283, non-equity incentive plan compensation amounting to $10,713,450, and other compensation adding up to $2,526,112.

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Apple also disclosed that the median annual total compensation for its average employee in 2023 was $94,118. This resulted in a pay ratio of 672 to 1 between Cook and the median Apple worker, highlighting the significant disparity in earnings within the company.

Other key executives at Apple also received substantial compensation for 2023:

Luca Maestri, CFO: $26,935,883
Kate Adams, General Counsel and Secretary: $26,941,705
Deirdre O’Brien, Senior Vice President of Retail: $26,937,010
Jeff Williams, COO: $26,961,226
Additionally, Apple's board of directors has maintained a policy since 2017 requiring Cook to use a private jet for both business and personal travel due to security and efficiency reasons. The report revealed that Apple spent $1,621,468 on personal air travel expenses for Cook in 2023, more than double the amount spent in 2022. The company also invested $820,309 in personal security for Cook, covering direct costs and a percentage of fixed costs incurred by Apple.
Despite the decrease in overall compensation, Tim Cook's earnings remain substantial, and the disclosure provides insights into the company's commitment to transparency regarding executive compensation and related expenses.