Greg Abel, the successor to legendary investor Warren Buffett, has officially taken over as the Chief Executive Officer of Berkshire Hathaway on January 1, 2026. Following this transition, his annual cash salary has been set at a substantial $25 million, effective from his appointment date. This figure represents a significant increase from his previous compensation of $21 million in 2024 as vice chairman overseeing non-insurance operations. This new compensation package for Abel marks a stark departure from the long-held tradition at Berkshire Hathaway, where Warren Buffett famously drew a modest annual salary of $100,000 for more than four decades. Buffett, who remains the company's chairman, built his vast wealth primarily through his substantial equity stake in the conglomerate rather than executive pay. Abel's $25 million salary places him well within the upper echelons of corporate executive compensation. Multiple reports indicate that his cash salary is above the median total pay for S&P 500 CEOs, which was around $17.1 million in 2024 and projected to be robust in 2025. While many S&P 500 CEOs receive additional compensation in the form of stock and option awards, which Berkshire Hathaway has historically not included in its executive-pay plans, Abel's cash component alone is considerable. This move signals a new era for Berkshire Hathaway's compensation culture, aligning more closely with typical large-cap corporate practices, even as it maintains some of its unique characteristics, such as not using stock for compensation.