Jeff Bezos’ wealth building story is tightly linked with Amazon, the e-commerce giant he founded on July 5, 1994.
Starting its journey as a book selling company online, eventually Amazon diversified its interests into e-commerce, cloud computing, artificial intelligence and digital streaming.
Amazon is today among the top 5 companies in the US lined up with Google, Apple, Microsoft and Facebook. Amazon is touted as the most valuable brand and the largest retailer in the world today.
How Much Is The Net Worth Of Jeff Bezos?
The CEO of Amazon, Jeff Bezos’ net worth as of May 2021 is estimated at $186 billion. He is currently the richest person in the world.
When Amazon went public in 1997, Jeff Bezos became the first man after Bill Gates to land on a net worth of $100 billion.
His other notable projects are The Washington Post and the Blue Origin, the aerospace company.
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After 25 years of married life, he and his wife MacKenzie separated in 2019 when Bezos transferred a quarter of his Amazon stake to her. This huge settlement did not impact his richest status in the world.
Net Worth Of Jeff Bezos
In May 2021, Jeff Bezos’s net worth is estimated at $186 billion which makes him the richest person on the earth. The second position is claimed by Elon Musk with his $149.1 wealth.
The huge difference between these two figures hints at how wealthy Bezos is.
Jeff Bezos’ stake in Amazon alone is worth 11% estimated at $174 billion. His other major assets are $7.15 billion assets in Blue Origin and $250 billion assets in Washington Post and $9.75 million as cash backup.
Estimates show that on average, Bezos’ earnings stand at $6.54 billion a month, $1.5 billion a week. So, how much does Jeff Bezos make a day? He makes over $215 million a day.
Per hour, he earns $8,961,187 million. If you want a closer look at how much money Jeff Bezos makes a second and minute, Bezos earns $45,552 per minute and $2,489 in one second.
Bezos’ Battle for the Title of World’s Richest Person
The Covid-19 scenario has impacted every industry sector with only a few exceptions. However, the pandemic proved to be a boon in disguise as it drove Jeff Bezos’ wealth on a sharp upward spike.
The lockdowns, quarantines, and social distancing triggered by the pandemic was only inducing phenomenal sales for the e-commerce giant.
An unprecedented volume of sales and the resulting increase in the value of Amazon shares pushed Jeff Bezos’s net worth over the $200 billion thresholds.
Jeff Bezos won the title of the world’s richest person overtaking Tesla’s CEO Elon Musk and the French businessman Bernard Arnault with the net worth of $182.8 billion and $172.5 billion respectively.
The sharp rise in Amazon’s share prices has induced speculations that the company might announce a stock split to reduce the barrier of entry for the investors.
The two billionaires are also seen competing in aerospace since The Blue Origin of Jeff Bezos and Elon Musk’s SpaceX are now leading the space exploration arena.
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Jeff Bezos’ Net Worth’s Growth
This is Jeff Bezos’ net worth graph that shows how much he’s fared during the five-year period from 2016 to 2021. Notably, this period had been an eventful period in his wealth-building story.
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Why Bezos’ Net Worth Spiked in 2020?
On the verge of the entrepreneur announcing that he would step down as Amazon’s CEO, 2020 saw his wealth increase by $ 75 billion. Bezos stepped into 2020 as the richest man on the earth.
In 2020, Amazon’s shares surged up resulting in Bezos’ net worth climbing through the year.
Many studies show that the rich will get richer in 2020. The same story repeated with Jeff Bezos as a boom in online sales worked in his favor.
In January 2021, Bezos started his innings with $115 billion which rose to 140 billion by May 2020.
In August, his net worth was 188 billion, which again spiked to 196 billion in October. In December 2020, he had amassed a wealth of over $188 billion. In total, his earnings in 2020 were more than $75 billion.
Is Bezos the Richest Person Of All Times?
For the question, “Is Jeff Bezos the richest person of all time?”, the answer is ‘No’. Taking inflation into account, we can draw this conclusion.
In the list of all time billionaires, Jeff Bezos’s name does not occur even in the 11th place. Hence he is not the first one to accumulate a huge fortune on the earth.
Just to give an idea of how much the world’s richest person has earned, we can take the example of D. Rockfeller, the oil tycoon who left back $340 billion (inflation-adjusted) upon his death.
What are Chances for Jeff Bezos to Become a Trillionaire?
Nothing is predictable on this earth. Nevertheless, considering the source of his wealth, it seems a distant possibility that Jeff Bezos can become a trillionaire.
The primary source of Bezos’ wealth are the Amazon shares. He has a 12% stake in the company meaning the Amazon shares account for about $120 billion of his wealth.
Only if the company’s market cap can reach $ 8.3 trillion, Jeff Bezos can turn a trillionaire.
Jeff Bezos Real Estate Holdings
In February 2020, Jeff Bezos purchased two prime properties in Beverly Hills paying $255 million.
One of these properties is the most famed Jack L. Warner estate, priced at $165 million. The estate spans over 10 acres of lush green land right in the heart of Beverly Hills.
The property contains a 13,600 square-foot house which is the central attraction. The previous owner of this property David Geffen, an entertainment tycoon bought the property paying $47.5 million in 1990.
The other one which he bought in February 2020 was a hilltop vacant land of 120 acres called Enchanted Hill. The previous owner was Microsoft founder Paul Allen, who had invested $20 million in the land in 1997.
At the peak of this property, there is an exciting driveway of 1.5 miles and a manicured bluff. The rest of it is mostly overrun with the growth of weeds.
Bezos has invested in a long list of other properties that add up to his wealth portfolio. Majority of these properties are located in Washington D.C., Medina, Washington, Beverly Hills and Texas.
Bezos is Among the Largest Landowners in the US
Jeff Bezos is notably one of the biggest landowners in the United States. Economists are surprised at the fact that this can be a very hard accomplishment despite him owning a huge wealth.
Land is very expensive and large parcels of lands are generally passed through generations. Jeff has managed to own not less than 400,000 acres of land.
The larger chunk of his land holdings are in Texas. Rough estimates value his land holdings at $1.2 billion. Since most of his land holdings occur in the expensive side of the geography, the actual value can far exceed this figure.
Milestones In Bezos Wealth Building Story
The growth of Jeff Bezos net worth has been closely linked with the growth of Amazon, the largest e-commerce retailer he founded in 1994.
Amazon went public in 1997 and Bezos’ net worth touched $120 million on the day.
In June 1998, his net worth was valued at $1 billion making him a billionaire for the first time.
In 1999, his wealth grew to $10 billion and in July 2015 it became $50 billion and in January 2018 it spiked to $100 billion.
In July 2018, his wealth grew to $150 billion and was valued at $170 billion in 2018.
In January 2019, he announced the end of his married life after travelling with MacKenzie for 25 years.
The divorce and the settlements following it had slashed his wealth and in March 2020, his net worth was valued at $111 billion. Within a year, his wealth grew to $202 billion as valued in August 2020.
To sum up his wealth building story, Bezos became a billionaire within three years of launching Amazon.
In little more than two decades, he had acquired over $200 billion giving a sizable chunk of his property to his ex-wife during separation.
Bezos Founded The Blue Origin
Blue Origin, the spaceflight company, is a result of Bezos’ fascination for space travel. He founded this company in 2000.
The principal interests of this company is to develop amusement parks, space hotels, small cities and colonies in space for the benefit of 2 million to 3 million space voyagers who will orbit the earth in future.
Kept in secrecy since its founding, Blue Origin was known in 2006 when Bezos purchased a huge piece of land in west Texas for building a launch and test facility for Blue Origin.
Bezos Bought the Washington Post Paying a Heavy Price
Jeff Bezos made an outright purchase of Washington Post paying $250 million paying upfront through a single check. Those days, the industry experts valued the concern only at $60 million.
Nevertheless, Bezos never had a second thought in paying a premium price for it. He went by the belief that the newspaper would benefit him and his business in many ways.
His sharp business acumen turned the prospects of Washington Post and within a few years its valuation crossed a few billions.
Also, the talk of those days said Bezos enjoyed a cordial relationship with the Graham family owning the paper and hence he never negotiated the price and just wrote the asking price on the check.
Jeff Bezos’ Charity Works
A few years back, Bill Gates and Warren Buffet together initiated ‘Giving Pledge’ in which the participants came forward to give away over half of their riches to philanthropy over their lifetime.
Five richest people in America signed it, but Jeff Bezos did not. Over the years, his charity history has always remained a mystery and a topic of debate.
In 2020, Jeff Bezos promised a $10 billion donation to fight climate change through the Bezos Earth Fund. This is considered the largest commitment to charity ever made.
He too gave away $100 million Feeding America. To his credit, Bezos has quite a few other donations which are not that impressive in terms of figures.
In 2017, he posted a tweet asking for ideas for his future charity initiatives. Later, he settled on the project of housing projects for homeless families and creating preschools for low-income communities.
Bezos Spending his Money
Over 90 percent of his wealth is locked up in the Amazon stocks as he owns about 80 million shares of the company. Bezos income comes from his investments, salary and bonuses. Jeff Bezos is one of the highest spending billionaires in the world.
Bezos has invested in several homes in the US. The lake house in Medina, Wash., is worth $25 million. He spent $23 million on a 27,000-square-foot property in Washington D.C. Formerly a museum, Bezos is spending $12 million on its renovation.
His other properties include a 2.03-acre home in Beverly Hills, Calif., valued at $25 million and the three linked apartments in The Century building on Central Park West worth $17 million.
Bezos has founded Blue Origin, an aerospace company that is working on making space tourism an affordable experience for all.
This is a passion project for him and Bezos says, “I am currently liquidating about $1 billion a year of Amazon stock to fund Blue Origin. And I plan to continue to do that for a long time.”
Bezos owns a $65 million private jet, the 2015 Gulfstream G-650ER.
Bezos is famous for his vacation spree in countries like Rome and Italy. Many of his vacationing pictures have gone viral on social media.
Impact of Jeff And Mackenzie Bezos Divorce on his Net Worth
The announcement of Jeff and MacKenzie divorce was made on April 4, 2019. They declared together that they had landed on a mutually fulfilling plan of settlement as part of their separation.
Jeff gave away $36 billion worth Amazon stocks to MacKenzie. Jeff chose to retain 75% of his former holdings along with the voting rights over MacKenzie’s shares.
MacKenzie was not given any rights over the space company Blue Origin or The Washington Post.
Immediately after the announcement, Jeff’s net worth fell to $114 billion. How they divided their real estate holdings and jets is still not clear.
Rachel Philip is the main author of this website. She’s crazy about finance and investment and takes inspiration from the top millionaires in the world. Check out www.theirnetworth.com for keeping the updates of top celebrities’ net worths.