Steve Jobs Took a $1 Salary; Apple's New CEO John Ternus Could Make $58M in His First Full Year

Steve Jobs famously ran Apple on a salary of just $1 a year. Nearly three decades later, the company's newest CEO is taking the reins with a compensation package targeting tens of millions of dollars. Apple's 1 September SEC filing shows John Ternus has a $58M target compensation package for fiscal 2027, with the equity tied to time and performance.

From Jobs' $1 Salary to Ternus' $58M Package

From his return to Apple in 1997 until his resignation as CEO in 2011, Steve Jobs drew a symbolic $1 annual salary. The $1 salary was real, but it tells only part of the story. The company awarded Jobs a Gulfstream V for his service as interim CEO. The aircraft had a total cost to Apple of about $90M and was transferred to Jobs in 2001.

Apple also reimbursed Jobs for expenses related to using his private aircraft for company business. In fiscal 2010, those expenses totalled about $248,000, according to an Apple filing.

Additionally, Jobs held millions of Apple shares and received substantial equity awards, including options to purchase 10M Apple shares in 2000. His wealth was also tied to his stake in Pixar and, after Disney acquired the company, his holdings in Disney.

Meanwhile, John Ternus' package combines a $3M annual salary with a $55M target-value equity award for fiscal 2027. Under Apple's 1 September SEC filing, 25% of the award will consist of time-based RSUs, while the remaining 75% will be performance-based and tied to Apple's total shareholder return relative to other S&P 500 companies.

From Engineer to Apple's Top Job

John Ternus is hardly a newcomer to Apple's inner circle. He joined the company in 2001, rose to vice president of Hardware Engineering in 2013, and became senior vice president and a member of the executive team in 2021. He has overseen hardware engineering work across products, including the iPhone, iPad, Mac, Apple Watch, and AirPods.

Arthur Levinson, who had served as Apple's non-executive chair, praised Ternus as the 'best possible leader' to succeed Cook, citing his leadership, deep technical knowledge, and focus on Apple's products.

Ternus has also recently joined X, launching his public presence on the platform as he took over as Apple CEO. His @johnternus account shows that he joined the social media platform in June, but it remained largely dormant until his first day as CEO. His first and only post so far is the lowercase 'hello.'

The minimalist debut quickly drew huge attention. As of 3 September, his account had surged to roughly 900,000 followers. The single post has drawn an enormous response, with tens of thousands of likes and reposts and hundreds of thousands of replies.

Tim Cook Exits as CEO, Still Set for $47M

Meanwhile, Tim Cook may have left the CEO seat, but he is hardly leaving Apple behind. In his new role as executive chairman, Cook will receive a $2M annual salary and a $45M target-value equity award for fiscal 2027.

Half of the award will be linked to Apple's performance relative to other S&P 500 companies, while the rest will vest over time. Together, the salary and target-value equity award total $47M, although the eventual value of the equity will depend on the applicable performance conditions and Apple's stock price.