Jeff Bezos does not pay federal income taxes in certain years primarily by holding wealth in untaxed, appreciating assets rather than receiving a high salary, and by offsetting income with massive investment losses, deductions, and loans. Because his fortune is tied to Amazon stock, he only triggers taxes when selling, not on rising value.
In some years, billionaires such as Jeff Bezos, Elon Musk and George Soros paid no federal income taxes at all. Billionaires avoid these taxes by taking out special ultra-low-interest loans available only to them and using their assets as collateral.
Bezos didn't pay any federal taxes in 2007 and 2011, per ProPublica reporting on leaked tax returns, and likely paid little in 2022 and 2023, two years when he didn't sell any Amazon shares.
We thought Michigan residents might be interesting in learning how Facebook founder Mark Zuckerberg and several company insiders are using a legal tactic called a “grantor-retained annuity trust” to avoid paying hundreds of millions of dollars in estate and gift taxes on their Facebook shares.
Jeff Bezos's 1-Hour Rule is a morning routine focused on avoiding screens (phones, laptops) for the first hour of the day, allowing for slow, deliberate activities like reading, having coffee, exercising, or spending time with family, which he claims enhances focus, energy, and decision-making, a practice supported by neuroscience for promoting clearer thinking and reducing digital fatigue.
Former Amazon CEO Jeff Bezos has this rule: no team meeting should be so large that two pizzas can't feed the whole group. This is, of course, a shorthand method for ensuring that, as is often the case with big groups, no one's ideas get drowned out.
“Tesla: The company has used mechanisms like deferred tax assets, research and development credits, and massive deductions from Elon Musk's stock-based compensation to reduce its U.S. federal income tax to near zero in profitable years.”
Yes, Jeff Bezos famously kept his Amazon base salary at around $80,000 per year for decades, choosing to take most of his compensation through stock options, which grew immensely as the company succeeded, making him one of the world's wealthiest individuals without a high executive paycheck. He felt he had enough incentive as a major owner and preferred building wealth by increasing the value of his existing equity rather than taking more salary or bonuses.
Jeff Bezos reflects on his approach to compensation during his tenure at Amazon, revealing his decision to maintain a modest annual salary of around $80,000 and saying no to additional equity grants.
One easy way to pay no income tax is to have little or no taxable income. For tax year 2025, taxpayers receive a standard deduction of $15,750 (singles or married persons filing separately) or $31,500 (marrieds filing jointly). For heads of households, the standard deduction is $23,625 for tax year 2025.
The name Jeff Bezos is synonymous with Amazon and as a multi-billionaire. Although he's one of the richest people in the world, he's only paid himself a salary of $80,000 for around 20 years, according to the New York Times.
States With the Highest Income Taxes
The states with the highest marginal tax rates include California, Hawaii, New York and the District of Columbia. Here are the states with the top 10 marginal tax rates in the U.S. in 2025: California (13.3%) Hawaii (11%)
The IRS 7-year rule primarily applies to keeping records for claiming a deduction for bad debts or losses from worthless securities, allowing a longer period to file for a credit or refund, but it's not a universal audit limit; it's often a recommended safe buffer for general record-keeping, with the standard IRS audit period usually being 3 years, extending to 6 years for substantial income omission (over 25%) or foreign income issues, and indefinitely for fraud.
Jeff Bezos and his fiancée, Lauren Sánchez, start their mornings without phones. The couple follows a strict no-phone rule that prioritizes quiet, meaningful time together over digital distractions. Sánchez revealed that their mornings are reserved for coffee and conversation, with no interruptions from screens.
Giving each person $100 would cost $33 billion. Giving $1 million each would be $330 trillion.
For Amazon founder Jeff Bezos, it starts with a concept he calls the 1-Hour Rule—a low-stimulation morning routine that gives the mind space to wander, think, and reset. His “puttering time,” as he calls it, includes coffee, reading, and learning—but never scrolling on his phone.