CEO compensation packages across major U.S. companies saw a notable increase in 2025, rising nearly 6% to a median of $17.7 million, according to a survey analyzing pay data from 337 executives at S&P 500 firms. This rise occurred amid broader financial pressures on American households, many of whom continue to grapple with the effects of inflation and elevated living costs despite modest wage growth.
The survey reflects compensation figures for CEOs who have completed at least two consecutive fiscal years in their roles, with proxy statements filed between January and April 2025. In contrast, the median employee at these companies earned $89,744, marking a 4.7% increase over the previous year, which outpaced inflation. However, many workers reported stretching their budgets and accumulating credit card debt to cover everyday expenses. At half of the surveyed companies, the pay gap was pronounced: the median worker would need approximately 200 years to earn what their CEO makes in a single year, up from 192 years last year.
This disparity is particularly extreme in sectors where median wages tend to be low. For example, the CEO of Coca-Cola earned nearly 1,739 times the median pay of $17,947 for the company’s typical worker. Similarly, the CEO at TJX Companies made about 1,774 times the median worker’s compensation. Activists and some policymakers have highlighted these gaps amid ongoing economic challenges for working families. Sarah Anderson, director of the Global Economy Project at the Institute for Policy Studies, noted that ballot initiatives in cities such as San Francisco and Los Angeles seek to impose higher taxes on companies with significant pay disparities.
CEO pay packages now heavily emphasize performance-linked stock awards, often contingent on meeting long-term targets related to stock price, market value, or operational goals. This approach aligns with shareholder demands to connect executive pay to company performance. One-time stock awards are also used as retention incentives. Although shareholders have the opportunity to express approval or disapproval of executive compensation through “say on pay” votes at annual meetings, these votes are advisory and typically pass with strong support, averaging around 90% approval in this year’s survey.
Some of the highest individual pay packages underscore this trend. Tesla CEO Elon Musk’s compensation, valued at $132.3 billion, is entirely in stock awards tied to ambitious future performance metrics spanning the next decade, including market value and the development of advanced technologies like robotaxis and humanoid robots. Shankh Mitra of healthcare real estate company Welltower received the second-largest package at $821.1 million, mainly in stock contingent on a 10-year vesting period. Broadcom’s CEO Hock Tan was granted a $205.3 million package linked to boosting revenue from artificial intelligence initiatives, one of the few compensation plans incorporating AI benchmarks.
Other notable CEO compensations include David Zaslav of Warner Bros., awarded $165 million following the company’s sale to Paramount Skydance, and the heads of major banks rewarded for revitalizing stagnant stock prices. Goldman Sachs CEO David Solomon was awarded nearly $119 million, reflecting a 57% rise in shares and earnings per share improvements. Citigroup’s Jane Fraser received $95.8 million—the highest compensation recorded for a woman CEO in this survey’s history—recognizing her leadership during a major corporate reorganization. Wells Fargo CEO Charles Scharf received $94.5 million for overseeing the bank’s emergence from federal oversight after a prolonged scandal.
In contrast, Warren Buffett, in his final year as CEO of Berkshire Hathaway, earned $389,488, a slight decrease from the prior year. Meta Platforms CEO Mark Zuckerberg’s $25.1 million package was primarily allocated to security and corporate travel expenses. Overall, the median pay for women CEOs declined modestly by 2.6% to $18.1 million, while the median for men increased 6.4% to $17.7 million.
Despite growing scrutiny from workers’ advocates and lawmakers, CEO compensation continues to surge, underscoring the widening income gap within the corporate workforce.