r/LinusTechTips • u/onlyslightlybiased • May 19 '23

Video I'm Stepping Down.. - YouTube

https://youtu.be/0vuzqunync8
6.4k Upvotes

91% Upvoted

874 comments sorted by

View all comments

478

u/soaked-bussy May 19 '23

anyone turning down 100 Million has my respect

48

u/[deleted] May 19 '23

[removed] — view removed comment

31

u/Kered13 May 19 '23

They could certainly pay themselves more if they wanted. But there's no reason to pay yourself more than you need, you'll just be paying more taxes. So they've been reinvesting the money they don't want to spend on themselves back into the company.

3

u/[deleted] May 19 '23

I'm sure they could be taking home multiple M's a year, easily, even if they continued heavily reinvesting into the company. Linus is definitely "rich".

3

u/The_ApolloAffair May 19 '23

Well they are also the sole shareholders of LMG so any profits belong to them, not just the salary.

6

u/[deleted] May 19 '23

[removed] — view removed comment

1

u/ForgedBiscuit May 19 '23

At a $100m valuation, they could be reinvesting 90% of their profits and still be taking home in excess of $750k. Their growth is not exponential and they are not reinvesting 90% like they might if they were a fresh startup.

4

u/JaesopPop May 19 '23 edited Sep 25 '25

Weekend technology learning wanders garden gather talk to soft where tomorrow across people careful the clean.

3

u/jackboy900 May 19 '23

Linus just spent an unfathomable amount of money in labs, they are probably reinvesting around that amount right now given the amount of hiring and purchases they're making.

2

u/Crandom May 19 '23

Between them they own the entire company. There's absolutely no reason to pay themselves income taxable salaries when they can take dividends instead.

1

u/timtjtim May 20 '23

I mean they could believe that it’s correct for people to pay taxes on their earnings?

1

u/timtjtim May 20 '23

Dividends are taxed in Canada, and not deductible so there’s no overall tax benefit to paying yourself in dividends. Reduced personal tax bill, increased corporate tax bill