Jeff Bezos is retiring at 57 with $197 billion – 739,489 times the median American’s retirement wealth

Amazon jeff bezos
Jeff Bezos in 2019.

  • Jeff Bezos is leaving his role as Amazon CEO at the age of 57 with $197 billion.
  • The median net worth of Americans when they retire at 65 is $266,400.
  • Bezos is currently the richest person in the world.
  • See more stories on Insider’s business page.

Jeff Bezos’ reign as Amazon CEO will come to an end on Monday, and he’ll be stepping down as the world’s richest person.

He will be retiring from the role at the age of 57 with an estimated $199 billion in wealth, according to Bloomberg’s Billionaire’s Index. The fortune largely consists of his hefty Amazon holdings and other assets. He received an $81,840 salary and $1.6 million in other compensation from Amazon last year.

His fortune is 739,489 times the median net worth of an American at the age of 65, the average age at which people in the US retire, according to the US Census Bureau.

The median net worth of Americans in that age bracket is $266,400, according to data from the Federal Reserve.

Bezos’ wealth ballooned even more over the past year as the pandemic drove sales skyward on his company’s online marketplace, sending shares higher. His net worth exploded by $75 billion over the course of 2020.

He’s more than twice as wealthy as the entire British monarchy, which is worth an estimated $88 billion as of 2017, and his fortune exceeds some nations’ GDPs – though the comparison isn’t exact between output and value. Bezos makes more money every second than the average US worker makes in a week.

He has drawn criticism for watching his wallet thicken while thousands of Amazon warehouse workers live on food stamps and work in poor conditions.

Bezos will be replaced by Andy Jassy, the current CEO of Amazon Web Services, the company’s cloud platform. Bezos is stepping down on July 5, a significant date given that Amazon was founded on the same date in 1994. A few days later, he’ll blast into space with his other firm, Blue Origin.

Read the original article on Business Insider

Elon Musk’s net worth plummets by $25 billion after a tumultuous week

elon musk
Tesla CEO and billionaire Elon Musk

Elon Musk’s net worth dropped by $25 billion within the week Tesla stopped accepting bitcoin payments, which sent Tesla shares lower, and after the billionaire hosted Saturday Night Live.

The billionaire Tesla and SpaceX CEO’s net worth fell to $159 billion on May 13 from $184 billion on May 9, according to the Bloomberg Billionaires Index.

Tesla announced earlier this week it would stop accepting bitcoin payments for cars due to the use of fossil fuels in crypto mining. Musk, who has advocated for investing in cryptocurrencies like bitcoin and Dogecoin, said he still “strongly believes” in crypto, but it “can’t drive an increase in fossil fuel use.”

Tesla shares tumbled all week following the announcement, and bitcoin plunged as much as 15%. Dogecoin dropped during Elon Musk’s SNL debut, but rebounded later in the week.

Read more: Tesla quickly went from tiny startup to world’s most valuable carmaker. These 13 leaders control its future.

Tesla also got hit with a class-action lawsuit on May 14, filed by a Solar Roof customer who said the company increased the price of his roof by $70,000 more than the agreed-upon contract.

Musk’s net worth began dropping after his SNL gig on May 8, which was surprisingly tame. His net worth remained consistent in the week before his SNL hosting gig, after dipping by $10 billion in April.

Tesla faced another setback on May 13 after the National Highway Traffic Safety Administration opened an investigation into a fatal Tesla crash in California. The vehicle safety agency told Reuters it previously had 28 probes into Tesla crashes, with 24 still under investigation.

Meanwhile, SpaceX, Musk’s other company, revealed the plan for its first Starship rocket orbital test flight on Thursday after successfully launching and landing a prototype for the first time this year.

Read the original article on Business Insider

The incredible life and career rise of Melinda Gates – one of the world’s richest and most powerful women

Melinda Gates
She heads a foundation with a $40 billion endowment.

  • Melinda Gates is one of the most powerful women in the world, according to Forbes.
  • She could be worth $73 billion if she and Bill Gates split their fortune equally in the divorce.
  • Gates will continue in her role as co-chair of the Bill and Melinda Gates Foundation.
  • See more stories on Insider’s business page.

Melinda Gates is the fifth most powerful woman in the world, and the second American – after Vice President Kamala Harris – to make Forbes’ The World’s 100 Most Powerful Women list.

She and her husband, Bill, announced on May 3 plans to divorce after being married 27 years. Though they don’t have a prenuptial agreement, if they split their $146 billion fortune equally, Melinda would be worth around $73 billion.

Gates has become one of the most prolific philanthropists in the world as co-chair of The Bill and Melinda Gates Foundation, which she helmed virtually on her own for the first six years of operation. She is now co-chair of the foundation with Bill, positions they said they will maintain even after the divorce.

She said in a statement posted to Twitter that she and Bill continue to believe in the mission of the foundation and will continue their work there.

Read more: Agritech startup Enko just raised $45 million in a funding round led by the Gates Foundation

In addition to the foundation’s education and healthcare initiatives, Gates takes a personal interest in women’s issues around the world. At the forefront of her agenda is expanding the availability of contraception and bringing awareness to the concept of time poverty – the notion that hours of daily unpaid work like household chores end up “robbing women of their potential.”

In 2016, Gates was awarded the Presidential Medal of Freedom, the highest civilian award in the US, by President Obama.

Keep scrolling to learn more about her life and how she became one of the world’s richest and most powerful women.

Additional reporting from Tanza Loudenback.

Melinda Gates (neè French) grew up in Dallas, Texas, with her parents – a stay-at-home mother and an aerospace-engineer father – and her three siblings. The family belonged to the local Roman Catholic parish.

Melinda Gates church
St. Monica Catholic Church, where the French family attended church, in Dallas, Texas. Facebook/St. Monica’s Catholic Church

Source: Telegraph

The Frenches were intent on sending all four of their children to college, so Melinda’s father started a side business for rental properties. “We would help him run the business and keep the books,” she said. “We saw money coming in and money going out.”

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The family used an Apple III computer to keep the rental business organized. Melinda was in awe of the computer at the time but would later denounce the brand when she became a Microsoft employee.

Source: Photo by Mark Madeo/Future via Getty Images

Gates was valedictorian and head of the drill team at her high school, Ursuline Academy of Dallas. In 2007, the Gates Foundation donated $7 million to Ursuline for the construction of The French Family Science, Math, and Technology Center – a 70,000 sq. ft. LEED Gold certified laboratory and classroom building.

Melinda Gates
Melinda Gates visits 3rd grade students at Solar Preparatory School for Girls in Dallas, TX on May 3, 2019. Pivotal Ventures

Source: Ursuline Dallas, Marie Claire

She went on to earn a double bachelor’s degree in computer science and economics from Duke University and an MBA from Duke’s Fuqua School of Business in just five years.

Duke University

Source: Duke Today

But Gates’ dedication to her school work did not deter her from a social life. She was a member of Duke’s Beta Rho chapter of Kappa Alpha Theta Sorority. In a 1995 interview, a sorority sister remembered her as a serial monogamist and a reserved dresser.

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Philanthropist Melinda Gates participates in AOL’s BUILD Speaker Series at AOL Studios on Tuesday, March 10, 2015, in New York. Photo by Evan Agostini/Invision/AP

Source: Heritage, Seattle Times

Gates has been generous to her alma mater. Her gifts include The French Family Science Center, the University Scholars Program, and the DukeEngage Program. She also served as a Duke trustee from 1996 to 2004.

Melinda Gates with parents Ray and Elaine French
Ray French, Melinda French (Melinda Gates), and Elaine French on commencement day at Duke University, Durham, North Carolina, May 1987. Gates Archive

Source: Duke Today

Shortly after graduation, Gates was recruited by Microsoft just after the company went public and its stock began to soar. During her time at the company, she served as project manager of Microsoft Bob, Microsoft Encarta, and Expedia.

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William Gates, the father of Microsoft Chairman Bill Gates, sits in the crowd waiting for the start of Windows 95 Launch Event held on the Microsoft corporate campus in Redmond, Wash., on Aug. 24, 1995. Seated next to him is Melinda French Gates, the wife of Bill Gates. AP Photo/Gary Stewart

Source: Seattle Times

At a company picnic, Gates’ soon to be ex-husband, Bill, asked if she’d like to join him on a date in two weeks. She turned him down because he wasn’t spontaneous enough. Within an hour, he asked to take her out that night and she agreed. The pair kept a low profile at work and asked colleagues and family members to respect their privacy.

Bill and Melinda Gates
File photo from November 24, 1998. Reuters

Source: Business Insider, Seattle Times

Gates called the couple’s first trip to Africa in 1993 the turning point. During a walk on the beach in Zanzibar, they decided to do something about the devastation they’d seen. Thus, the Gates Foundation was born.

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FILE – In this Wednesday, March 23, 2011 file photo, Microsoft Corp. founder and philanthropist Bill Gates, right, and his wife Melinda Gates attend to a child as they meet with members of the Mushar community at Jamsot Village near Patna, India. The Gateses won the Lasker public service award “for leading a historic transformation in the way we view the globe’s most pressing health concerns and improving the lives of millions of the world’s most vulnerable,” the Lasker foundation said Monday, Sept. 9, 2013. AP Photo/Aftab Alam Siddiqui

Source: TED.com

In 1994, after seven years of dating, Bill and Melinda married in a secret ceremony on the 17th hole of a Hawaiian golf course after a pre-wedding fireworks display and a performance by Willie Nelson. The wedding tab was reportedly $1 million. The two were married for 27 years before filing for divorce.

Bill Gates Melinda wedding
Computer mogul Bill Gates III and bride Melinda French greet guests in a reception line at a private estate in Seattle, Jan. 9,1994. The couple was married in Hawaii the week prior. AP Photo/Dave Weaver

Gates gave birth to their three children in 1996, 1999, and 2002. Though they won’t be poor, the Gates children will not inherit their parents’ billions, most of which will go to the foundation. “We want to strike a balance where they have the freedom to do anything but not a lot of money showered on them so they could go out and do nothing,” Bill said in 2014.

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(L-R) Jennifer Gates and her parents, Bill and Melinda Gates, listen to former U.S. President Barack Obama speak at the Gates Foundation Inaugural Goalkeepers event on September 20, 2017 in New York City. Photo by Yana Paskova/Getty Images

The Gates children have all been to Africa a number of times for philanthropic work. In 2014, Gates and her eldest daughter traveled to Tanzania to do a homestay for the first time. In a TED talk, Gates said, “As they get older, they so know that our family belief is about responsibility, that we are in an unbelievable situation just to live in the United States and have a great education, and we have a responsibility to give back to the world.”

Melinda and Jenn Gates
Melinda and Jennifer Gates visit Tanzania.

Source: TED.com

U2 frontman Bono once said of Melinda: “Lots of people like him [Bill] – and I include myself – are enraged, and we sweep ourselves into a fury at the wanton loss of lives. What we need is a much slower pulse to help us be rational. Melinda is that pulse.”

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Olivier Chassignole, Pool via AP

Source: Fortune

In 2006, Warren Buffett agreed to give 80% of his multi-billion dollar fortunate to the Gates Foundation. Buffett, a close friend of the family, told Fortune that Bill is “smart as hell, obviously … but in terms of seeing the whole picture, [Melinda’s] smarter.”

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AP Photo/Seth Wenig

Source: Fortune

In 2014, Gates joined Bill for a speech during Stanford’s commencement. She gave advice to students and families about hands-on charity: “Let your heart break. It will change what you do with your optimism.”

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Bill Gates and Melinda attend the 123rd Stanford commencement ceremony June 15, 2014 in Stanford, California. Photo by Justin Sullivan/Getty Images

Source: Stanford

In 1995, a Seattle Times article predicted that perhaps Gates would one day head up a Gates foundation. For the last 15 years, she has been the co-chair of the Bill and Melinda Gates Foundation, a private, global foundation with a $40 billion endowment.

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Melinda Gates participates in the “No Ceilings: The Full Participation Project,” in New York, Monday, March 9, 2015. Photo by Greg Allen/Invision/AP

Source: Seattle TimesGates Foundation

Gates is taking a number of domestic and world issues head-on. Despite her Catholic faith, she has worked to expand the availability of contraception for women, writing in a Fortune article that birth control is “too important to let it be a politicized issue.”

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Melinda Gates talks to reporters about the 2016 annual letter from the Bill and Melinda Gates Foundation, in New York, Monday, Feb. 22, 2016. AP Photo/Seth Wenig

Source: Huffington PostFortune

She’s recently begun a new initiative to transform the 21st century workplace into one of inclusivity, specifically when it comes to the gender gap.

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Melinda Gates appears on stage at the 2013 Glamour Women of the Year Awards on on Monday, November, 11, 2013 in New York. Photo by Brad Barket/Invision /AP Images

Source: LinkedIn

In November 2016, Gates was awarded the Presidential Medal of Freedom by then-President Obama, the highest civilian award in the US, for her work in health and poverty in America and abroad.

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President Barack Obama, accompanied by Bill Gates, left, presents the Presidential Medal of Freedom to Melinda Gates, center, during a ceremony in the East Room of the White House, Tuesday, Nov. 22, 2016, in Washington. Obama is recognizing 21 Americans with the nation’s highest civilian award, including giants of the entertainment industry, sports legends, activists and innovators. AP Photo/Andrew Harnik

Gates describes the legacy she hopes to leave: “On the day I die, I want people to think that I was a great mom and a great family member and a great friend. I care about that more than I care about anything else.”

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Melinda Gates attends a meeting at the G-7 Finance in Chantilly, north of Paris, on Thursday, July 18, 2019. Philanthropy is in a unique position to speed global change, but government action is necessary to implement it, Melinda Gates, co-chair of the Bill & Melinda Gates Foundation, said Wednesday, March 17, 2021. AP Photo/Michel Euler

Source: Fortune

Read the original article on Business Insider

Bill and Melinda Gates are ending their 27-year marriage. Here’s how the Microsoft cofounder spends his $129 billion fortune, from a luxury-car collection to incredible real estate.

bill gates
Bill Gates has an estimated net worth of $129 billion.

  • Bill Gates and his wife of 27 years, Melinda French Gates, are getting a divorce.
  • Gates, the cofounder of Microsoft, has a fortune worth $130.5 billion.
  • Gates indulges in a few luxuries, but he mainly spends through the Bill & Melinda Gates Foundation.
  • Visit Business Insider’s homepage for more stories.

Bill and Melinda Gates are ending their 27-year marriage.

The couple announced the news in a statement posted to Twitter on Monday, saying that while they plan to continue working together at the Bill & Melinda Gates Foundation, they no longer believe they can continue growing as a couple.

Gates, who cofounded Microsoft with Paul Allen in 1975, is worth $130.5 billion, according to Forbes. He’s one of only eight moguls worth over $100 billion and is currently the fourth-richest person in the world.

Gates has made some lavish purchases over the years: He owns a Washington estate worth $125 million, a private airplane, and a luxury-car collection. More recently, he dropped $43 million on a 5,800-square-foot home in Del Mar, California. But these indulgences make up only a fraction of his massive fortune, and Gates isn’t known to throw his money around.

In fact, the couple previously said it’s unfair they’re so rich. Instead of spending billions on themselves, they often donate it to charity through the Bill & Melinda Gates Foundation. They’ve also pledged to give away most of their fortune through the Giving Pledge, which they launched in 2010.

Keep reading for a look at how Gates spends his billions.

Taylor Nicole Rogers contributed to an earlier version of this story.

Bill Gates, the cofounder of Microsoft, has an estimated net worth of $130.5 billion.

Bill Gates
Bill Gates speaking at an event in Washington, 2014.

Source: Forbes

He long held the title as the world’s second-richest person until Elon Musk unseated him in November 2020.

bill gates
Microsoft founder, Co-chair of the Bill & Melinda Gates Foundation, Bill Gates, on October 9, 2019.

Source: Business Insider

Now, Gates is the world’s fourth-richest person and part of a eight-man club of people currently worth more than $100 billion.

bill gates

Source: Business Insider

Gates has invested in a variety of stocks and assets and launched a $1 billion investment fund, Breakthrough Energy, with 20 others.

bill gates

Source: Forbes

Despite his massive fortune, Gates previously told Ellen DeGeneres that when he became a billionaire at age 31 (history’s youngest billionaire at the time), he didn’t go on a spending spree.

bill gates ellen
Bill Gates on “Ellen.”

Source: Business Insider

But he has indulged in things over time, he said, like a private plane.

rich people private plane

Source: Business Insider

It’s been reported that Gates owns a Bombardier BD-700 Global Express, which costs $40 million and can seat up to 19 people.

Bombardier Global 6500 private jet
A Bombardier private jet, though not the one Gates owns.

Source: Business Insider

Gates also spent a lot on his estate, Xanadu 2.0, in Medina, Washington. It took him seven years and $63 million to build. He purchased the lot for $2 million in 1988.

Bill Gates House
This aerial photograph taken on July 13 shows Bill and Melinda Gates’ home in Medina, Washington which cost more than $60-million and four-years to build.

Source: Business Insider

At 66,000 square feet, his home is worth about $125 million today.

Bill Gates House Property

Source: Business Insider

In 2017, he paid $1,041,292.55 in property taxes on it, according to public filings.

Bill Gates House
An outside deck is shown at the home of Microsoft Chairman Bill Gates Tuesday, April 18, 2006, in the Seattle suburb of Medina, WA.

Source: Business Insider

The estate has a trampoline room, which Gates told DeGeneres his three kids love.

Bill Gates Jennifer Gates

Source: Business Insider

There are roughly $80,000 worth of computer screens sitting around the house.

bill gates microsoft

Source: Business Insider

Devices worth $150,000 can display different paintings or photographs on the screens at a single touch. However, there are real paintings on the wall as well – like the Winslow Homer painting Gates purchased for $36 million in 1988.

winslow homer lost on the grand banks

Source: Business Insider

There’s also a 60-foot pool – in its own separate, 3,900 square-foot building.

bill gates house

Source: Business Insider

That’s not to mention the 2,100-square-foot library, home to a 16th-century Leonardo da Vinci manuscript that Gates bought at auction for $30 million in 1994.

codex leicester

Source: Business Insider

Gates reportedly pays to have sand imported from St. Lucia in the Caribbean to the shore surrounding his house.

ST. LUCIA:
Kids play in the water on the beach of Rodney Bay in St. Lucia.

Source: Business Insider

In addition to a home theater for 20 guests, six kitchens, and 24 bathrooms, Gates’ house has various garages for 23 cars.

Bill Gates house

Source: Business Insider

It’s perfect for Gates, an avid luxury-car collector. His first big splurge after founding Microsoft was a Porsche 911 supercar, he told DeGeneres. He later sold it, and it was auctioned for $80,000.

Porsche 911.
A Porsche 911.

Source: Business Insider

But that wasn’t Gates’ last Porsche – he also has a Porsche 959 in his car collection.

bill gates 1988 Porsche 959
Bill Gates and a 1988 Porsche 959, not Gates’ actual car.

Source: Business Insider

Outside of his Washington pad, Gates also has a 4.5-acre vacation ranch in Wellington, Florida, with a 12,864-square-foot mansion. He reportedly dropped $27 million to buy a whole string of properties in the area. The area is hotspot for wealthy equestrians.

Horses corral
Horses in a corral, though not at Gates’ ranch.

Source: Business Insider

His daughter, Jennifer, is an accomplished equestrian, and he bought the property to support her passion.

Jennifer Gates horse

Source: Business Insider

In California, he owns the 228-acre Rancho Paseana, which he purchased for $18 million. It includes a racetrack, orchard, and five barns.

Apple orchard

Source: Business Insider

He added to his California real estate portfolio in 2020, dropping $43 million on an oceanfront home in Del Mar, California. It has six bedrooms, a 10-person Jacuzzi, and a swimming pool.

california coastline del mar homes
Del Mar, California.

Source: The Wall Street Journal

He also reportedly purchased a 492-acre Wyoming ranch, which listed for $8.9 million back in 2009.

Green River Wyoming

Source: Business Insider

But Gates’ real-estate portfolio doesn’t end there.

Bill Gates

He’s made numerous investments through his personal investment firm, Cascade, including partial ownership of Charles Hotel in Cambridge, Massachusetts.

cambridge massachusetts
Cambridge, Massachusetts.

Source: Business Insider

He reportedly owns nearly half of the Four Season Holdings’ hotel chain through Cascade, including hotels in Atlanta and Houston. Gates shares 95% ownership with Prince Alwaleed bin Talal of Saudi Arabia.

Four Seasons Hotel

Source: The Wall Street Journal

In 2013, Gates and several unnamed buyers paid $161 million for the Ritz-Carlton in San Francisco. As of 2014, it was reportedly worth $200 million.

Ritz Carlton Hotel

Source: The Wall Street Journal

When he’s not busy buying real estate or working, Gates needs a vacation or two to unwind. He’s traveled to Australia and Croatia …

Baska Voda, a tourist town on the Makarska Riviera, Dalmatia, Croatia.
Baska Voda, a tourist town on the Makarska Riviera, Dalmatia, Croatia.

Source: Travel + Leisure, Forbes

… and Belize and the Amazon in Brazil.

Ambergris, Belize
Belize is known for its sandy beaches and warm weather.

Source: Travel + Leisure, Forbes

He’s also treated his family to a Mediterranean vacation on board the 439-foot superyacht Serene, which he chartered for $5 million a week. It included a helicopter.

Yacht Superyacht Serene
The superyacht Serene is pictured at Auckland’s Wynyard Wharf in Auckland, New Zealand.

Source: The Daily Mail

He previously said that he likes to play tennis and go skiing. He’s also been spotted spectating at tennis matches.

Bill Gates watch tennis

Source: The Telegraph

But Gates’ downtime isn’t always so adventurous. He’s an avid reader, having indulged in quite the book collection.

Bill Gates reading

Source: Business Insider

He’s also an “avid bridge player,” as he once told Reddit.

Bill Gates playing bridge

Source: Business Insider

Gates hates to shop for himself, but did admit that he likes to “buy nice things” for Melinda.

bill gates melinda gates

Source: CNBC

However, he once told Reddit that he doesn’t like overspending on clothes and jewelry.

bill gates

Source: CNBC

But Gates’ splurges are only a fraction of his massive fortune. He previously told The Telegraph, “I have no use for money.” Instead, he often donates to or invests his money in good causes.

bill gates

Source: The Telegraph

Gates previously invested in Amyris, a synthetic-biology company that originally produced precursors to malaria drugs and hydrocarbon-based biofuel. Today, it focuses on health through fragrances, skincare, and sweetener.

bill gates
Bill Gates speaks ahead of former U.S. President Barack Obama at the Gates Foundation Inaugural Goalkeepers event on September 20, 2017 in New York City.

Source: Business Insider

In November 2017, Gates invested $50 million into Alzheimer’s research.

bill gates speaker

Source: Business Insider

He continued these efforts by recently investing $30 million with a group of investors into the Diagnostics Accelerator, a “venture philanthropy” fund to diagnose Alzheimer’s earlier.

Bill Gates
Microsoft co-founder Bill Gates, speaks at the Bloomberg Global Business Forum in New York City, U.S., September 20, 2017.

Source: Business Insider

Gates and Melinda have been huge on philanthropy. They were recently named the most generous philanthropists in the US by The Chronicle of Philanthropy, having donated more than $36 billion to charitable causes through the Bill & Melinda Gates Foundation.

bill gates philanthropy

Source: Business Insider

Gates agreed to give away most of his fortune through the Giving Pledge, which he launched in 2010.

Melinda Gates Bill Gates at Davos 2015
Melinda (L) and Bill Gates attend a session at the Congress Center during the World Economic Forum (WEF) annual meeting on January 23, 2015 in Davos.

Source: Business Insider

The Gateses have spent money traveling for their charity work. They donated more than $2 billion in 2016 to causes related to global health and development and US education. In 2017, they donated $4.78 billion, mostly to projects run by the Gates Foundation.

bill gates melinda gates

Source: Travel + Leisure

They’ve pledged about $2 billion to defeat malaria, donated more than $50 million to fight Ebola, and pledged $38 million to a Japanese pharmaceutical company working to create a low-cost polio vaccine.

DR Congo vaccine
A girl gets inoculated with an Ebola vaccine on November 22, 2019 in Goma, the Democratic Republic of the Congo

Source: Business Insider

The Gates Foundation has also committed at least $2.5 billion to the GAVI Alliance, which works to improve access to vaccines in poor countries.

vaccines
A nurse prepares the measles, mumps and rubella vaccine in 2019.

Source: Business Insider

Bill and Melinda also prioritize education. The Gates Foundation established the Gates Millennium Scholars Program, which has received $1.6 billion.

bill gates stanford speech

Source: Business Insider

It also partnered with the Dangote Foundation in 2016 to spend $100 million on eliminating malnutrition in Nigeria.

Nigeria

Source: Business Insider

Throughout 2020, the Gates Foundation was active in the global COVID-19 response, pledging $100 million to help fight the pandemic. A major portion of those funds were used for vaccine development.

COVID vaccine
A patient receives an injection of the Oxford/AstraZeneca COVID-19 vaccine.

Source: Business Insider

When it comes to the future of his fortune, Gates is leaving $10 million to each of his children, a fraction of his net worth.

bill gates family
Bill Gates with his daughter, Jennifer, and his wife, Melinda.

Source: Business Insider

Read the original article on Business Insider

Mark Zuckerberg’s net worth has grown over $40 billion in the last year alone. Here’s how the 36-year-old Facebook CEO makes and spends his $114 billion fortune.

Mark Zuckerberg and Priscilla Chan
Priscilla Chan and Mark Zuckerberg.

  • Mark Zuckerberg’s fortune passed $100 billion last year, making him one of eight centi-billionaires.
  • Zuckerberg drives an affordable car and wears basic clothes, but appears to splurge on real estate.
  • Zuckerberg and his wife, Priscilla Chan, also invest in childhood education and medical research.
  • See more stories on Insider’s business page.

It’s been a challenging year for Mark Zuckerberg.

He’s testified before lawmakers on multiple occasions, attempted to quash coronavirus misinformation on Facebook, and suspended President Donald Trump from the platform. And earlier this month, 533 million Facebook users’ personal data and phone numbers were leaked online.

At the same time, Zuckerberg is richer than he’s ever been. Last summer, after Facebook launched an Instagram feature to compete with TikTok in the US, Zuckerberg’s personal net worth reached over $100 million for the first time.

These days, his fortune has reached $114 billion.

Keep reading to learn more about how the Facebook cofounder makes and spends his centibillion-dollar fortune.

Taylor Nicole Rogers contributed to an earlier version of this story.

In May 2012, eight years after its founding, Facebook debuted on the New York Stock Exchange. At the time, it was the biggest technology IPO in history.

mark zuckerberg facebook ipo nasdaq
Facebook Inc. CEO Mark Zuckerberg is seen on a screen televised from their headquarters in Menlo Park moments after their IPO launch in New York May 18, 2012.

Source: Business Insider

Most of Zuckerberg’s fortune is derived from his 13% stake in Facebook. While Facebook spent more than $25 million on him in 2020 alone, his take-home pay is just $1.

Mark Zuckerberg

Source: Bloomberg, Business Insider

Despite his status as one of the richest tech moguls, the 36-year-old Harvard dropout leads a low-key lifestyle with his wife, Priscilla Chan, and their two young daughters.

Mark Zuckerberg Priscilla Chan

Like many other Silicon Valley stalwarts, Zuckerberg doesn’t dress in flashy suits – he keeps things simple in jeans, t-shirts, and sweaters. But they’re reportedly much more expensive than they look, retailing for hundreds, and even thousands, of dollars.

Mark Zuckerberg

Source: Business Insider, GQ

Zuckerberg is known for driving relatively inexpensive cars. He’s been seen in an Acura TSX and a Honda Fit, both of which are valued at or under $30,000.

Mark Zuckerberg in his car

Sources: Business Insider, CNBC

He’s also been spotted driving a black Volkswagen Golf GTI, a car that he bought well after making his fortune. That car would cost about $30,000 new.

Volkswagen Golf GTI

Source: Business Insider

But he has dropped serious cash on at least one sports car: an Italian Pagani Huayra that sells for about $1.3 million.

mark zuck pagani huayra
Mark Zuckerberg and a Pagani Huayra. Not Zuckerberg’s actual car.

Source: Business Insider; Yahoo

There’s one thing Zuckerberg doesn’t seem to mind splurging on: real estate. In May 2011, he bought a 5,000-square-foot home in Palo Alto for $7 million. He’s since tricked it out with a “custom-made artificially intelligent assistant.”

mark zuckerberg house home palo alto 4x3

Source: San Francisco Chronicle, CNBC

The next year, Zuckerberg began buying the properties surrounding his home, spending more than $30 million to acquire four homes, with plans to level them and rebuild.

mark zuckerberg

Source: San Francisco Chronicle, CNBC

He also owns a townhouse in the Mission District of San Francisco. He bought the 5,500-square-foot home in 2013 and proceeded to make over $1 million in renovations, including adding a greenhouse and remodeling the kitchen.

san francisco dolores park covid social distancing park
People are seen at Dolores Park in the Mission District in San Francisco in May 2020.

Source: Curbed San Francisco

In 2014, the billionaire’s real-estate portfolio jumped the Pacific when he spent $100 million on two properties on the island of Kauai: the Kahu’aina Plantation, a 357-acre former sugarcane plantation, and Pila’a Beach, a 393-acre property with a white-sand beach.

Kauai, Hawaii
A beach in Kauai, Hawaii.

Source: Business Insider, Forbes

But the couple’s presence in Hawaii has drawn backlash over the years: In 2016, Zuckerberg angered neighbors by constructing a 6-foot wall around his property, and in 2017, Zuckerberg filed suit against Hawaiian families who had legal-ownership claims on parcels of land within his property. Though he dropped the suit, residents accused him of “neocolonialism.”

Kauai, Hawaii
A rainbow at Shipwreck’s Beach in Kauai.

Source: Business Insider

Zuckerberg has also shelled out for two lakefront properties on Lake Tahoe, which cost a combined $59 million. One of the houses, called the Brushwood Estate, spans 5,233 square feet on six acres of land. The property features a guest house and a private dock.

Zuckerberg Tahoe house

Source: Business Insider, SF Gate

Between his two Lake Tahoe properties, Zuckerberg owns about 600 feet of private shoreline on Lake Tahoe’s west shore.

Zuckerberg tahoe house

Source: Business Insider, SF Gate

 

When Zuckerberg buys properties, he tends to buy the other homes surrounding it for privacy reasons, just as he did in Palo Alto.

Mark Zuckerberg

Source: Business Insider

 

Zuckerberg doesn’t appear to travel much for pleasure. But when he traverses the globe for work, Facebook foots the bill: Security for Zuckerberg and his family cost the company $23 million in 2020, according to the company’s most recent proxy statement.

Mark Zuckerberg security

Source: Business Insider

But Zuckerberg’s travel mostly ground to a halt in 2020. He appeared to spend a lot of his time in Hawaii, riding a $12,000 electric surfboard and kayaking with his family.

 

Source: Business Insider, Daily Mail

But ultimately, opulence and luxury are just a blip on Zuckerberg’s radar. In fact, his main priority seems to be giving his money away, rather than spending it.

mark zuckerberg

Zuckerberg has signed onto the Giving Pledge, joining Bill Gates, Warren Buffett, and over 200 other millionaires and billionaires who have vowed to donate the majority of their wealth to philanthropy. He plans to sell 99% of his Facebook shares during his lifetime.

bill gates mark zuckerberg friends

Source: Business Insider

Zuckerberg said in September 2017 that he planned to sell 35 to 75 million shares over the following 18 months to fund the Chan Zuckerberg Initiative, totaling between $6 billion and $12 billion.

Mark Zuckerberg

Source: Business Insider

The Chan Zuckerberg Initiative is a philanthropic organization Zuckerberg founded with his wife in 2015 focused on “personalized learning, curing disease, connecting people, and building strong communities.” CZI has awarded roughly $2 billion in grants over the years.

Mark Zuckerberg and Priscilla Chan

Source: Business Insider, CZI

CZI is invested in tackling both local and global issues. In 2020, for example, the organization poured $4.2 million into a jobs program for residents of Kauai and committed $1 million to help the region battle the coronavirus. CZI has also contributed millions in the last year to causes like criminal justice reform and affordable housing.

chan zuckerberg initiative mark zuckerberg priscilla chan

Source: Business Insider, CZI

Zuckerberg and Chan have also poured billions into research focused on curing the world’s diseases by the end of the century. In order to accomplish this lofty goal, the Chan Zuckerberg Initiative launched a nonprofit called Biohub to start looking into the cure for disease, including research on genomics, infectious diseases, and implantable devices.

zuckerberg chan married

Source: Business Insider, Business Insider

Zuckerberg believes that Biohub will help speed up research to cure disease, telling The New Yorker in 2018 that “we’ll basically have been able to manage or cure all of the major things that people suffer from and die from today. Based on the data that we already see, it seems like there’s a reasonable shot.”

facebook ceo mark zuckerberg

Source: The New Yorker

Last August, the launch of a new Instagram feature designed to compete with TikTok sent both the company’s share price and Zuckerberg’s net worth to new heights. The move caused Zuckerberg’s net worth to exceed $100 million for the first time, making him one of only a few centi-billionaires on Earth. These days, he’s worth $114 billion.

mark zuckerburg
Zuckerberg.

Source: Bloomberg

Read the original article on Business Insider

Even during the pandemic, the very high net worth population grew – and it could add a million more by 2025

woman atm credit card
  • A new Wealth-X report looks at very high net worth individuals, worth between $5 million and $30 million.
  • Their ranks still grew slightly in 2020, even during a global pandemic and economic turmoil.
  • The report estimates their ranks could grow even more by 2025, and add over $11 trillion in wealth.
  • See more stories on Insider’s business page.

A new report from Wealth-X found that, even during a pandemic, the very high net worth (VHNW) population grew.

Wealth-X defines the VHNW as those with a net worth between $5 million and $30 million. The report, called Very High Net Worth Handbook 2021, looks at where they are, who they are, and how big their ranks have grown.

In 2020, their global population increased “slightly,” by 1.3%, to around 2.7 million people. In 2019, by contrast, the population saw 10% growth.

“This was a sharp slowdown from double-digit growth a year earlier, and masked large regional differences, but was a resilient performance set against the backdrop of a global pandemic, national lockdowns, international travel bans, trade disruption and the deepest contraction in world economic output for a generation,” the report said.

Their total wealth also saw a similar increase, increasing by 1.2% to a total of $26.8 trillion.

Meanwhile, their global billionaire peers tacked on an additional $4 trillion to their wealth during the pandemic. That was a 54% increase for the world’s 2,365 billionaires, bringing their cumulative wealth to $12.39 trillion – a little under half of the VHNW’s cumulative wealthy.

But the VHNW class may be in for more growth than their smaller showing in 2020. The Wealth-X report anticipates that they’ll add around 1.2 million members, for a total population of 3.8 million. Wealth-X also predicts that their wealth will increase by $11.4 trillion to $38.2 trillion.

Those in the global middle class did not fare as well. A recent report from the Pew Research Center – which classifies the middle class as those who earn about $14,600 to $29,200 a year (or live on $10 to $20 a day) – found that 54 million fell out of the global middle class.

While the number of VHNW individuals grew, so did another group: A January report from Oxfam estimated between 200 million to 500 million people may have fallen into poverty during 2020.

Read the original article on Business Insider

The typical older Black millennial has 17 times less wealth than white peers, and student debt may be why

Millennial
The millennial racial wealth gap persists.

Older millennials born in the 1980s are making a wealth comeback, but there’s a vast racial wealth gap lurking underneath this progress.

In 2016, older millennials’ wealth levels were 34% below where they should be if the Great Recession hadn’t occured, per a 2018 study by the Federal Reserve Bank of St. Louis. Within three years, the first part of a new St. Louis Fed study found, they had narrowed that wealth deficit down to 11%.

However, the second installment of the Fed’s study reveals that these strides look quite different when broken down by race. While white and Hispanic families saw improvement in building wealth, the study states, Black families experienced the reverse as they fell further below wealth expectations between 2007 and 2019.

From 2016 to 2019, white families of this older millennial cohort saw wealth levels go from 40% to 5% below where they should be. That wealth deficit doubles to 10% for Hispanic families, but that is still less than their 2016 wealth deficit of 15%. The deficit soars for Black families, who were 52% below wealth expectations in 2019 – a significant increase from 39% three years prior.

These differences look just as staggering when framed as median wealth for the same year. For older white millennial families, that’s $88,000 – four times the $22,000 median wealth for Hispanic families and roughly 17 times the $5,000 median wealth for Black families.

The report doesn’t take into consideration effects from coronavirus recession, as full data for that period isn’t yet available.

Black millennials bear a bigger student debt burden

Despite these wealth differences, the St. Louis Fed found that all three groups had income levels that aligned with expectations, indicating that earnings weren’t preventing wealth accumulation.

The report suggests that one reason older Black millennials are increasingly falling below wealth expectations is because of their staggering student-loan debt.

Black students shoulder a heavier debt burden than their white peers: About 87% of Black students attending four-year colleges take out student loans compared to about 60% of white students. They also owe $7,400 more on average than their white peers after graduating, per the Brookings Institute.

Black borrowers under the age of 40 were also more likely to be behind on payments in 2019 than white or Hispanic borrowers, according to the Federal Reserve. Black graduates are nearly five times as likely to default on their loans than their white peers.

The racial wealth gap is why some politicians and lawmakers are advocating for student-debt cancellation. Several experts previously told Insider that communities of color would be one of the groups that will gain the most from student-debt cancellation plans.

Right now, it looks like this socieconomic divide isn’t close to narrowing any time soon. As the St. Louis Fed report’s authors, Ana Hernández Kent and Lowell Ricketts, wrote, “Given the large wealth deficit and negative trend, the disparities among older Black millennials may persist as these families age, inhibiting their full participation in the economy.”

Read the original article on Business Insider

Elon Musk overtakes Jeff Bezos as the world’s richest person thanks to Tesla’s surging stock

Jeff Bezos Elon Musk space 2x1
  • Elon Musk just surpassed Jeff Bezos as the richest person on the planet.
  • The Tesla and SpaceX CEO’s fortune soared as high as $187 billion on Thursday, outstripping the Amazon chief’s $186 billion fortune, according to calculations based on the Bloomberg Billionaires Index.
  • Musk’s wealth derives from his roughly 20% Tesla stake and 48% SpaceX stake, as well as 57 million exercisable Tesla stock options, Bloomberg says.
  • The Tesla chief has added more than $150 billion to his fortune in the past year, after shares in his electric-vehicle company rocketed up 740% in 2020.
  • Visit Business Insider’s homepage for more stories.

Elon Musk has toppled Jeff Bezos to become the wealthiest person in the world for the first time, based on calculations using the Bloomberg Billionaires Index.

Tesla shares rose as much as 4% on Thursday, boosting the net worth of its CEO to north of $187 billion. Amazon’s shares also rose by up to 2%, but that left Bezos a few billion short of Musk’s fortune.

The Bloomberg Billionaires Index listed Musk and Bezos’ fortunes as $184 billion and $181 billion respectively as of Wednesday’s close. It’s set to be updated after trading ends for the day. 

Read more: Investing legend Terry Smith’s $30 billion equity fund returned 449% to investors over a decade – Here’s his 4-part strategy for success and 10 pieces of investing wisdom to take into 2021

Musk’s wealth on paper reflects his roughly 20% stake in Tesla and 48% stake in SpaceX, as well as 57 million vested Tesla stock options, Bloomberg says. Bezos’ net worth largely derives from his 11% stake in Amazon.

The Tesla CEO’s fortune has ballooned by more than $150 billion in the past year, Bloomberg said, after the electric-vehicle company’s stock price rocketed up 740% in 2020.

Read more: Wall Street experts are calling Georgia’s runoff results ‘the first surprise of 2021.’ Here’s how 4 of them recommend positioning your portfolio for what could happen next.

Musk and Bezos have left other billionaires in their rearview mirrors. The world’s third-richest person, Bill Gates, was worth $132 billion as of Wednesday’s close.

Read the original article on Business Insider

Shonda Rhimes is worth at least $135 million, thanks to her #TGIT lineup and a history-making Netflix deal – see how she makes and spends her fortune

Shonda Rhimes
Shonda Rhimes is one of the most successful women in TV.

At age 50, Shonda Rhimes has already created a legacy.

The success of her production company Shondaland’s show “Grey’s Anatomy” on ABC made Rhimes the first Black woman to showrun a successful primetime drama on a broadcast network. But that was only the beginning. Her following hit shows “Scandal” and “How to Get Away With Murder” brought Rhimes into the cultural lexicon with #TGIT (“Thank God It’s Thursday”), dubbed as such because of how Rhimes’ shows dominated TV’s Thursday night primetime line-up.

In 2017, she ended her contract early with ABC, trading in her $10 million base salary for a four-year deal with Netflix worth an estimated $150 million, per The New York Times. Three years later, her first Netflix show, “Bridgerton,” debuted on Christmas to much hype.

It’s all made Rhimes one of the highest-paid showrunners in TV, with Forbes estimating her net worth at $135 million. A representative for Rhimes didn’t immediately respond to Business Insider’s request for comment regarding Rhimes’ net worth and spending.

From buying the “Grey’s Anatomy” cast vacations to snapping up properties around Los Angeles, here’s how Rhimes spends her millions.

With an estimated net worth of $135 million, Shonda Rhimes is one of the wealthiest women in TV.

shonda rhimes

Source: Forbes

Her production company, Shondaland, and its trio of hit shows have driven that wealth: “Grey’s Anatomy,” “Scandal,” and “How to Get Away with Murder.”

shonda rhimes award

Source: Forbes

But Rhimes didn’t always see herself working in TV. As a kid, she dreamt of being a novelist. That all changed after seeing Whoopi Goldberg on Broadway.

GettyImages 583824638
Shonda Rhimes

Source: Forbes

She earned an MFA in film at the University of Southern California, where she discovered a “new way of storytelling,” she said, and worked as an assistant on several film projects.

university of southern california students
A view of people visiting the University of Southern California.

Source: Forbes

In the early stages of her post-grad career, Rhimes wrote the screenplay for the movie “Crossroads,” starring Britney Spears, and the sequel to “The Princess Diaries.”

Crossroads
“Crossroads.”

Source: Vanity Fair

Her TV career launched in 2003 when ABC picked up “Grey’s Anatomy,” which garnered 20 million viewers by the end of its first season. It made Rhimes the first Black woman showrunnner of a successful primetime drama on a broadcast network, Forbes reports.

grey's anatomy
Grey’s Anatomy.

Source: Forbes

“Scandal” premiered in 2012, raking in roughly $100 million per season in ad revenue at its peak. “How to Get Away with Murder” followed in 2014.

scandal
Scandal.

Source: Forbes

In between those years, Rhimes’ production company also debuted shorter-lived series like “The Catch,” “For the People,” and the “Grey’s Anatomy” spin-off “Private Practice,” which all aired on ABC.

Private Practice
Private Practice.

Source: Forbes

Rhimes became the woman who “owns Thursday night television,” with #TGIT (Thank God It’s Thursday). According to Forbes, she earned “hefty” fees for each episode produced.

Shondaland
Rhimes and the stars of #TGIT.

Source: Forbes, Los Angeles Times

She also took home 10% of the profits when “Grey’s,” “Scandal,” “How to Get Away with Murder,” and “Private Practice” were syndicated or sold to streaming services at $1 million per episode.

shonda rhimes.JPG

Source: Forbes

By 2017, Shondaland had generated $2 billion in revenue from advertising, rerun sales, and international licensing.

Shonda Rhimes

Source: The Wall Street Journal

Boosting all of that was Rhimes’ base salary. In 2014, she signed a new four-year deal with ABC that earned her $10 million per year.

shonda rhimes.JPG

Source: Forbes

But Rhimes signed a four-year deal in 2017 with Netflix worth an estimated $150 million, making her one of the first showrunners to ink a deal with the streaming service.

shonda rhimes

Source: The New York Times

The deal allowed Rhimes to keep working on her ABC series without the $10 million per year while enjoying new liberties to produce films, series, or miniseries at Netflix.

shonda rhimes kerry washington
Rhimes and “Scandal” star Kerry Washington.

Source: Forbes

Her first Netflix show, period drama series “Bridgerton,” debuted on Christmas. Two days after its premiere, it was holding the number two spot on the platform’s most-watched list.

bridgerton
Daphne Bridgerton and Simon Basset on “Bridgerton.”

Source: TV Line

In recent years, Rhimes has ventured into other forms of media. In 2015, she published a memoir, “Year of Yes,” which became a New York Times bestseller. At the time it was announced, Rhimes joked “Simon and Schuster is crazy for giving me a book deal, as I am clearly in no position to be handing out wisdom.”

shonds rhimes year of yes

Details about the value of the book deal, including any advance Rhimes might have been paid by the publisher, were not made publicly available.

Source: Simon and Schuster, The Hollywood Reporter

In September 2017, she partnered with Hearst to launch lifestyle website Shondaland.com.

shondaland

Source: Variety

And in 2019, she partnered with iHeartMedia in a three-year podcast deal to launch Shondaland Audio.

shonda rhimes
Shonda Rhimes is inducted into the Television Academy Hall of Fame on Wednesday, Nov. 15, 2017 at the Television Academy’s Saban Media Center in North Hollywood, Calif.

Source: iHeartMedia

At Elle Magazine’s 2018 Women in Hollywood celebration, Rhimes said she’s the highest-paid showrunner in Hollywood, but an April 2019 Observer ranking put her at No. 4 behind Greg Berlanti, Ryan Murphy, and Mike Schur. Regardless, Rhimes is clearly pocketing some of TV’s biggest paychecks.

rhimes shonda

Source: CBS News, Observer

And she likes to spend that money on real estate. In 2010, she snapped up an 8,300-square-foot home in Los Angeles’ Hancock Park for $5.6 million. It sold in 2019 for $7.16 million.

hancock park los angeles
Hancock Park.

Source: Mansion Global

But Rhimes still has several residences in the area, like the 1920s Spanish-style duplex she bought in 2007 for $1.66 million and the English country manor house she purchased in 2017 for $4.6 million.

Los Angeles
Los Angeles.

Source: Variety

She also has the 8,400-square-foot Elmer Grey-designed mansion that she dropped $8.8 million on in 2014.

Los Angeles
Los Angeles.

Source: Variety

Rhimes may have a thing for LA real estate, but she expanded her portfolio to the East Coast in 2018 when she bought an $11.75 million two-bedroom penthouse on Manhattan’s Upper East Side.

upper east side
The Upper East Side.

Source: Mansion Global

Rhimes also spends on beauty and wellness. She wrote in her 2015 memoir that she hired a personal trainer to help her lose 100 pounds.

shonda rhimes

Source: Business Insider

She told Marie Claire that when she was 16, she got a job scooping ice cream at Baskin-Robbins so she could buy a miniskirt and off-the-shoulder top to look like Madonna.

shondarhimes

Source: Marie Claire

Today, she has a “clothing therapist,” Asher Levine, who is known for dressing top female Hollywood execs.

shonda rhimes

Source: The Hollywood Reporter

She’s also a huge fan of face masks, which she says she uses every day. Especially farmacy, a skincare brand with masks costing as much as $38.

shonda rhimes smiling

Source: Glamour, Farmacy Beauty

In her free time, Rhimes, a tennis fan, likes to attend Wimbledon matches. Tickets can range from several hundred dollars to $6,300.

shonnda rhimes wimbledon.JPG

Source: Baseline Tennis, CNBC

But she’s previously said her happy place is with her daughters. She adopted Harper and Emerson in 2002 and 2012, respectively, and had Beckett in 2013 via a surrogate. She said they help boost her creativity.

shonda harper
Rhimes with daughter Harper.

Source: Essence, ABC News, Hollywood Reporter

Rhimes is also a philanthropist. In 2016, she established the Rhimes Family Foundation to support arts, education, and activism. It emphasizes cultural inclusion and equality.

rhimes_shonda.JPG

Source: Inside Philanthropy

In 2017, she became a “patron of the arts” for IAMA Theatre Company. The amount of the endowment, provided by the Rhimes Family Foundation, was not disclosed.

Shonda Rhimes

Source: Los Angeles Times

Through the Rhimes Family Foundation, Rhimes has given at least $10 million in grants to the Smithsonian National Museum of African American History and Culture …

national museum of african history
National Museum of African American History and Culture.

Source: Inside Philanthropy

… and at least $1 million to the Obama Foundation.

shonda rhimes michelle obama

Source: Inside Philanthropy

She’s also a generous boss. Rhimes once bought everyone in the “Grey’s Anatomy” cast and crew a vacation to a luxury resort as a gift for the show’s 350th episode, “Grey’s” actor Kevin McKidd revealed in a “Live with Kelly and Ryan” interview in November 2019.

grey's anatomy cast
The cast of “Grey’s Anatomy.”

Source: MSN

But she’s not one for vacation herself. In 2016, she ditched her first three-week vacation in 10 years to film a short video for Hillary Clinton during Clinton’s campaign.

shonda rhimes hillary clinton.JPG

Source: Vanity Fair

While Rhimes has a few splurges, they’re not atypical from any other celebrity. Her less than lavish lifestyle might be due to her humble upbringing.

shonda rhimes emmy.JPG

“When I was a struggling graduate student in film school, I often had no money,” she said in a commencement speech at Dartmouth, her undergrad alma mater. “And so I often had to choose between wine and things like toilet paper. Steak did not even enter into the equation.”

shonda rhimes dartmouth

Source: Chicago Tribune

Read the original article on Business Insider

Bill Gates has been unseated as the world’s second-richest person. Here’s how he spends his $129 billion fortune, from a luxury-car collection to incredible real estate.

bill gates
Bill Gates has an estimated net worth of $129 billion.

  • Bill Gates, who has an estimated net worth of $129 billion, is no longer the world’s second-richest person.
  • Elon Musk unseated Gates’ title, but Gates is still one of three people in the world with a net worth over $100 billion.
  • While Gates indulges in a few luxuries, they make up only a fraction of his fortune.
  • He mainly spends his billions on charity through the Bill & Melinda Gates Foundation and plans to give away most of his fortune.
  • Visit Business Insider’s homepage for more stories.

Bill Gates is no longer the world’s second-richest person.

That title goes to Elon Musk, who unseated Gates as the world’s second wealthiest in November. But Gates is still pretty wealthy, with an estimated net worth of $129 billion. He’s one of three people in the world with a net worth exceeding $100 billion.

Gates has made some lavish purchases over the years, including a Washington estate worth $125 million, a private airplane, and a luxury-car collection. More recently, he dropped $43 million on a 5,800-square-foot home in Del Mar, California. But these indulgences make up only a fraction of his massive fortune, and Gates isn’t known to throw his money around.

In fact, Gates and his wife, Melinda, previously said it’s unfair they’re so rich. Instead of spending billions on themselves, they often donate it to charity through the Bill & Melinda Gates Foundation. They’ve also pledged to give away most of their fortune through the Giving Pledge, which they launched in 2010.

Keep reading for a look at how Gates spends his billions.

Bill Gates, the cofounder of Microsoft, has an estimated net worth of $129 billion.

Bill Gates
Bill Gates speaking at an event in Washington, 2014.

Source: Bloomberg

He long held the title as the world’s second-richest person until Elon Musk unseated him in November 2020.

bill gates
Microsoft founder, Co-chair of the Bill & Melinda Gates Foundation, Bill Gates, on October 9, 2019.

Source: Business Insider

Now, Gates is the world’s third-richest person and part of a three-man club, with Jeff Bezos and Musk, of people currently worth more than $100 billion.

bill gates

Source: Business Insider

If he spent $1 million a day, it would take him more than 245 years to spend his fortune. Here’s how he spends his money.

Bill Gates.JPG

Source: Business Insider

Gates has invested in a variety of stocks and assets and launched a $1 billion investment fund, Breakthrough Energy, with 20 others.

bill gates

Source: Forbes

Despite his massive fortune, Gates previously told Ellen DeGeneres that when he became a billionaire at age 31 (history’s youngest billionaire at the time), he didn’t go on a spending spree.

bill gates ellen
Bill Gates on “Ellen.”

Source: Business Insider

But he has indulged in things over time, he said, like a private plane.

rich people private plane

Source: Business Insider

It’s been reported that Gates owns a Bombardier BD-700 Global Express, which costs $40 million and can seat up to 19 people.

Bombardier Global Express
Not Bill Gates’ personal plane.

Source: Business Insider

Gates also spent a lot on his estate, Xanadu 2.0, in Medina, Washington. It took him seven years and $63 million to build. He purchased the lot for $2 million in 1988.

Bill Gates House
This aerial photograph taken on July 13 shows Bill and Melinda Gates’ home in Medina, Washington which cost more than $60-million and four-years to build.

Source: Business Insider

At 66,000 square feet, his home is worth about $125 million today.

Bill Gates House Property

Source: Business Insider

In 2017, he paid $1,041,292.55 in property taxes on it, according to public filings.

Bill Gates House
An outside deck is shown at the home of Microsoft Chairman Bill Gates Tuesday, April 18, 2006, in the Seattle suburb of Medina, WA.

Source: Business Insider

The estate has a trampoline room, which Gates told DeGeneres his three kids love.

Bill Gates Jennifer Gates

Source: Business Insider

There are roughly $80,000 worth of computer screens sitting around the house.

bill gates microsoft

Source: Business Insider

Devices worth $150,000 can display different paintings or photographs on the screens at a single touch.

bill gates art

Source: Business Insider

However, there are real paintings on the wall as well – like the Winslow Homer painting Gates purchased for $36 million in 1988.

winslow homer lost on the grand banks

Source: Business Insider

There’s also a 60-foot pool – in its own separate, 3,900 square-foot building.

bill gates pool house

Source: Business Insider

That’s not to mention the 2,100-square-foot library, home to a 16th-century Leonardo da Vinci manuscript that Gates bought at auction for $30 million in 1994.

codex leicester

Source: Business Insider

Gates reportedly pays to have sand imported from St. Lucia in the Caribbean to the shore surrounding his house.

st. lucia, saint lucia

Source: Business Insider

In addition to a home theater for 20 guests, six kitchens, and 24 bathrooms, Gates’ house has various garages for 23 cars.

bill gates home

Source: Business Insider

It’s perfect for Gates, an avid luxury-car collector. His first big splurge after founding Microsoft was a Porsche 911 supercar, he told DeGeneres. He later sold it, and it was auctioned for $80,000.

Porsche 911

Source: Business Insider

But that wasn’t Gates’ last Porsche. He also has a Porsche 959 in his car collection.

Porsche 959
Not Gates’ personal car.

Source: Business Insider

Outside of his Washington pad, Gates also has a 4.5-acre vacation ranch in Wellington, Florida, with a 12,864-square-foot mansion.

bill gates florida home

Source: Business Insider

He reportedly dropped $27 million to buy a whole string of properties in the area.

Wellington Florida

Source: Business Insider

The area is hotspot for wealthy equestrians. His daughter Jennifer is an accomplished equestrian, and he bought the property to support her passion.

Jennifer Gates horse

Source: Business Insider

In California, he owns the 228-acre Rancho Paseana, which he purchased for $18 million. It includes a racetrack, orchard, and five barns.

bill gates rancho paseana

Source: Business Insider

He added to his California real estate portfolio in 2020, dropping $43 million on an oceanfront home in Del Mar, California. It has six bedrooms, a 10-person Jacuzzi, and a swimming pool.

california coastline del mar homes
Del Mar, California.

Source: The Wall Street Journal

He also reportedly purchased a 492-acre Wyoming ranch, which listed for $8.9 million back in 2009.

wyoming

Source: Business Insider

But Gates’ real-estate portfolio doesn’t end there.

Bill Gates

He’s made numerous investments through his personal investment firm, Cascade, including partial ownership of Charles Hotel in Cambridge, Massachusetts.

charles hotel cambridge

Source: Business Insider

He reportedly owns nearly half of the Four Season Holding’s hotel chain through Cascade, including hotels in Atlanta and Houston.

four seasons atlanta

Source: Wall Street Journal

Gates shares 95% ownership with Prince Alwaleed bin Talal of Saudi Arabia.

Four Seasons Hotel

Source: Wall Street Journal

In 2013, Gates and several unnamed buyers paid $161 million for the Ritz-Carlton in San Francisco. As of 2014, it was reportedly worth $200 million.

ritz carlton san francisco

Source: Wall Street Journal

When he’s not busy buying real estate or working, Gates needs a vacation or two to unwind.

bill gates vacation

He’s traveled to Australia and Croatia …

Croatia

Source: Travel + Leisure, Forbes

… and Belize and the Amazon in Brazil.

Belize

Source: Travel + Leisure, Forbes

He’s also treated his family to a Mediterranean vacation on board the 439-foot superyacht Serene, which he chartered for $5 million a week. It included a helicopter.

Yacht Superyacht Serene
The superyacht Serene is pictured at Auckland’s Wynyard Wharf in Auckland, New Zealand.

Source: The Daily Mail

He previously said that he likes to play tennis and go skiing. He’s also been spotted spectating at tennis matches.

bill gates and roger federer

Source: The Telegraph

But Gates’ downtime isn’t always so adventurous. He’s an avid reader, having indulged in quite the book collection.

bill gates reading

Source: Business Insider

He’s also an “avid bridge player,” as he once told Reddit.

Bill Gates playing bridge

Source: Business Insider

Gates hates to shop for himself, but did admit that he likes to “buy nice things” for his wife, Melinda.

bill gates melinda gates

Source: CNBC

However, he once told Reddit that he doesn’t like overspending on clothes and jewelry.

bill gates

Source: CNBC

But Gates’ splurges are only a fraction of his massive fortune. He previously told The Telegraph, “I have no use for money.” Instead, he often donates to or invests his money in good causes.

bill gates

Source: The Telegraph

Gates previously invested in Amyris, a synthetic-biology company that originally produced precursors to malaria drugs and hydrocarbon-based biofuel. Today, it focuses on health through fragrances, skincare, and sweetener.

bill gates
Bill Gates speaks ahead of former U.S. President Barack Obama at the Gates Foundation Inaugural Goalkeepers event on September 20, 2017 in New York City.

Source: Business Insider

In November 2017, Gates invested $50 million into Alzheimer’s research.

bill gates speaker

Source: Business Insider

He continued these efforts by recently investing $30 million with a group of investors into the Diagnostics Accelerator, a “venture philanthropy” fund to diagnose Alzheimer’s earlier.

Bill Gates
Microsoft co-founder Bill Gates, speaks at the Bloomberg Global Business Forum in New York City, U.S., September 20, 2017.

Source: Business Insider

Gates and Melinda are huge on philanthropy. They were recently named the most generous philanthropists in the US by The Chronicle of Philanthropy, having donated more than $36 billion to charitable causes through the Bill and Melinda Gates Foundation.

bill gates philanthropy

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Gates agreed to give away most of his fortune through the Giving Pledge, which he launched in 2010.

bill and melinda gates

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The Gateses spent money traveling to Tanzania and other countries for charity work.

bill gates charity work

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In 2017, they donated $4.78 billion, mostly to projects run by the Bill and Melinda Gates Foundation.

bill and melinda gates charity

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They donated more than $2 billion in 2016 to causes related to global health and development and US education.

charity bill and melinda gates

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They’ve pledged about $2 billion to defeat malaria, donated more than $50 million to fight Ebola, and pledged $38 million to a Japanese pharmaceutical company working to create a low-cost polio vaccine.

bill and melinda gates charity work

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The Gates Foundation has also committed at least $2.5 billion to the GAVI Alliance, which works to improve access to vaccines in poor countries.

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Bill and Melinda also prioritize education. The Gates Foundation established the Gates Millennium Scholars Program, which has received $1.6 billion.

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It also partnered with the Dangote Foundation in 2016 to spend $100 million on eliminating malnutrition in Nigeria.

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When it comes to the future of his fortune, Gates is leaving $10 million to each of his children, a fraction of his net worth.

bill gates family

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