Greg Abel, who officially succeeded Warren Buffett as Chief Executive Officer of Berkshire Hathaway on January 1, 2026, will receive a sizeable annual salary of $25 million in his first year at the helm, marking a 19% increase from his 2024 pay, according to regulatory filings.
The details, disclosed on Tuesday, represents a major shift in compensation practices at Berkshire Hathaway Inc, the Omaha-based conglomerate long synonymous with founder Warren Buffett’s famously modest pay.
How much did former CEO Buffett earn?
Buffett, who remains chairman of the company at age 95, drew a symbolic $100,000 annual salary for more than four decades, a reflection of his confidence in the company’s performance and a focus on long-term shareholder value rather than executive cash incentives, Yahoo! Finance reported.
Abel’s rise in Berkshire
Abel, 63, has been with Berkshire for more than 25 years, joining through the company’s acquisition of a controlling stake in what became Berkshire Hathaway Energy and rising through leadership ranks.
He spent eight years as vice chairman overseeing non-insurance operations, a role for which he earned about $21 million in salary in 2024 before taking over as CEO.
How much do other CEOs in the US make?
While the package is far above Buffett’s long-held $100,000 standard, it remains competitive yet modest relative to some of the most lucrative executive compensation arrangements seen at other major US corporations.
Many S&P 500 chief executives routinely receive compensation tied to stock awards and long-term incentives beyond base salary.
An analysis by The Wall Street Journal reported that Greg Abel’s cash compensation is among the highest for S&P 500 CEOs, highlighting Berkshire Hathaway’s distinct compensation approach compared to broader market trends.
Buffett still chairman
Buffett’s decision to stay on as chairman is aimed at ensuring continuity and providing counsel as Abel steers the conglomerate, which encompasses major businesses in insurance, energy, railroads and a vast investment portfolio valued in the hundreds of billions of dollars.
Abel’s leadership and compensation will be closely watched by investors as Berkshire embarks on the next chapter without its legendary founder at the operational helm.