Alphabet Median Pay Close To $200K

Alphabet Inc. (GOOGL), Google's parent company, paid its employees an average of nearly $200,000 last year, the fourth highest median compensation of S&P 500 Index companies that disclose pay.

Citing Alphabet, the Wall Street Journal reported that in 2017 it had median pay packages of more than $197,000, some 18% below Facebook Inc. (FB) where the median salary was $240,000 in 2017. Excluding the two, which are embroiled in a talent war with other technology companies, the median salary for companies in the S&P 500 was $69,205, noted the Journal. Google's and Facebook's compensation is higher than's (AMZN), the e-commerce giant, which pays a median salary of $28,446. The paper noted that the majority of Amazon workers are employed in warehouses and command salaries that are in line with the pay rate at other retailers’ warehouses. (See more: Alphabet Stock Pops Then Drops Following Earnings Report.)

The highest median pay for an S&P 500 company last year was Incyte Corp. (INCY), the biotech firm, which paid $253,000, noted the newspaper. Behind Facebook and ahead of Alphabet was Vertex Pharmaceuticals Inc. (VRTX) which had a median salary of $211,000. In general the tech industry pays employees more, with around half the companies saying they pay a median of about $85,000. Software and services companies tend to pay more than semiconductor and hardware companies, noted the Wall Street Journal. (See more: What Did the FAANG CEOs Make Last Year?)

At the same time that Alphabet is paying out lofty salaries, its chief executive Larry Page has committed to a pay rate of just $1. Mark Zuckerberg, the CEO of Facebook also is paid $1 but had overall compensation of $8.8 million last year, with a lot of it going to travel and security. Alphabet’s former Chair Eric Schmidt had a compensation of $4.7 million in 2017, which the Wall Street Journal noted is the highest among the big executives at Alphabet.

Meanwhile, Sundar Pichai, the CEO of Alphabet’s Google search-engine unit received $199.7 million in compensation for 2016, in addition to a salary of $650,000, and another $372,000 toward costs for personal security services and air travel, reports In 2017, his salary was dropped to a token of $1. Over at Amazon, Jeff Bezos, was paid a total of $1.7 million in cash compensation in 2017. It’s comprised of $81,840 as his base salary, while the remaining $1.6 million covered expenses toward his security. Bezos also owns around 78.89 million shares of Amazon as of March 2018, representing a little over 16% ownership. He was just named the richest man in the world by Forbes.

Take the Next Step to Invest
The offers that appear in this table are from partnerships from which Investopedia receives compensation. This compensation may impact how and where listings appear. Investopedia does not include all offers available in the marketplace.