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Over ten years, Musk will get more and more stock if Tesla exceeds its goals or next to nothing at all if it doesn’t. The 10-year period on the compensation plan also forces Tesla to be a long-term winner, and not just beat its targets for a quarter or two.A video from RoadShow explains the dynamic well:Elon Musk won’t be earning a dime as CEO of Tesla for the foreseeable future. Source: Yahoo FinanceRemember that Elon Musk only actually earns $2 billion or whatever the headline number is if Tesla hits its growth goals and the stock price stays up.
As said here by Ian Bezek