Tax News Facebook CEO Joined $1 Salary Club to Reduce Tax Bite Read the Article Open Share Drawer Share this: Share on Facebook (Opens in new window) Facebook Share on X (Opens in new window) X Share on LinkedIn (Opens in new window) LinkedIn Share on Pinterest (Opens in new window) Pinterest Print (Opens in new window) Print Written by TurboTaxLisa Published Apr 1, 2014 - [Updated Aug 23, 2019] 1 min read Facebook Who said the rich and famous don’t need to worry about their tax bill? Facebook CEO, Mark Zuckerberg, joined the CEO $1 salary club in 2013 to take the bite out of his tax bill. Typically CEOs have been known to lower their salaries to $1 after their company’s stock takes off and Mark Zuckerberg was no different. Since he knew his stock options would be heavily taxed, Zuckerberg limited his Facebook salary to $1, however his reduction in salary didn’t help him eliminate his tax bill too much since he racked up a 3.3 billion gain last year by exercising his stock options in Facebook. Your refund is waiting Get started But what does that mean for his taxes? Since the IRS may view stock options as ordinary income if they are held for less than one year, Zuckerberg will be taxed at the top federal tax rate of 39.6% and his tax liability is estimated at $2.3 billion. Zuckerberg being the man with the plan is covering his tax bill by selling 41.4 million of his Facebook shares worth 2.3 billion and making a substantial charitable deduction. Previous Post IRS Resumes Operations: What This Means For Your Taxes Next Post IRS Announces Immediate Tax Benefits for Contributions to Philippines Typhoon… Your refund is waiting Get started Written by TurboTaxLisa Lisa has over 20 years of experience in tax preparation. Her success is attributed to being able to interpret tax laws and help clients better understand them. She has held positions as a public auditor, controller, and operations manager. Lisa has appeared on the Steve Harvey Show, the Ellen Show, and major news broadcast to break down tax laws and help taxpayers understand what tax laws mean to them. For Lisa, getting timely and accurate information out to taxpayers to help them keep more of their money is paramount. More from TurboTaxLisa Follow TurboTaxLisa on Twitter. Browse Related Articles Life Gen Z Is Spending To Keep Up With Social Media. Clothing Rental Offers a Way Out Self-Employed Most Businesses Are Scaling the Wrong Things. Here’s What to Actually Build Life Has Having Kids Become a Luxury Purchase? Work The Hidden Tax on Moving Slow: Why the Cost of Hesitation Is Higher Than You Think Work The Businesses That Will Win the Next Decade Already Look Different. Here’s How Work You Can’t Scale a Business You Don’t Understand. Start with the Numbers Life For New Grads, the Real Student Loan Question Isn’t RAP vs. Tiered, It’s $111 a Month Life As Grocery Bills Increase, Gen Z Claps Back Savings Here’s Exactly How a Fed Rate Change Hits Your Wallet Life Splitting Your 2026 Festival Tix into Payments? Here’s How To Do It Right