The potentially massive salary package has been approved by shareholders
Serial entrepreneur Elon Musk could earn more than $50bn at electric car company Tesla over the next decade.
The €40.5bn salary is dependent on the company meeting a range of ambitious milestones over the next ten years.
Tesla shareholders approved the package by a large majority according to a company filing with the Securities and Exchange Commission.
The package is worth €2.1bn at current stock values, and for each of the 12 milestones Tesla achieves, Mr Musk will be rewarded with stock worth 1% of the company.
The 46-year-old currently owns more than 20% of it.
Among the goals are raising the company's market capitalisation tenfold to $650bn (£460bn), while also increasing income and revenue.
Reaching these milestones would make Tesla the fourth most valuable company in the US - and Mr Musk one of the richest people in the world.
But his mission won't be easy - despite 15 years of business, Tesla has yet to report a full-year net profit.
Tesla board member Antonio Gracias said: "We believe as a board and executive team that we can actually achieve these milestones.
"It's very important to think about the specifics of Tesla and what we have already achieved."
In a statement, the company said: "This ensures that Elon will continue to lead Tesla's management over the long-term, while also providing the flexibility to bring in another CEO who would report to Elon at some point in the future."
The company said, however, that he would "receive no guaranteed compensation of any kind - no salary, no cash bonuses, and no equity that vests simply by the passage of time".
He would only be compensated if shareholders "do extraordinarily well."
Mr Musk, who is also the brains behind SpaceX, is already reportedly worth around $21bn, making him one of the 100 wealthiest people on the planet.
He made headlines around the world in February after he fired his own personal cherry red Tesla roadster into the asteroid belt aboard the Falcon Heavy rocket.
Shares in Tesla Motors were up 1.9% after Mr Musk’s pay package was approved.