The dividend is usually a welcome additional income for shareholders. Some few even earn more than they can spend, like former Microsoft CEO Steve Ballmer. The 67-year-old is considered the sixth richest person in the world, with his fortune continuously growing, while he continues to enjoy a luxurious life to the fullest. This information is widely known. However, the US broadcaster CNN has now calculated the specific figures to illustrate Ballmer's annual growth of his wealth.

In this case, the year 2014 serves as a basis, as Ballmer last disclosed his Microsoft shares. At that time, he owned 333.2 million shares, which corresponded to a four percent stake. For the tax year 2024, it is estimated that Ballmer will receive nearly one billion dollars solely through the ownership of the shares, despite possible sales of larger packages (which would have been registered with the US Securities and Exchange Commission).

This happens regardless of its value development on the stock exchange, as Ballmer now receives three dollars dividend per share following the recent increase by Microsoft. Of course, there is the possibility that Microsoft's board of directors decides to reduce the dividend.

However, according to the experts at CNN, this appears rather unlikely. Since the start of dividend payouts in 2003, the amount has consistently increased. The American government will also benefit from Ballmer's dividends. According to ProPublica, the billionaire reported an income of $656 million to the tax authority in 2018, which means he is subject to the 20% dividend tax for individuals with a taxable income of $500,000 or more per year.

Therefore, Microsoft dividends alone will amount to nearly $200 million. However, Ballmer is not the only one who can live a worry-free life from the dividends of his stock ownership. According to an analysis by the "Wall Street Journal," Warren Buffett's Berkshire Hathaway fund will earn six billion dollars in dividends this year alone.

This is because most of the stocks that Berkshire Hathaway has invested in pay dividends. This includes companies like Chevron, Bank of America, Apple, Coca-Cola, Kraft Heinz, and American Express.

For Ballmer and Buffett, dividends are a significant part of their income and allow them to lead a luxurious life. The annual cash flows through dividend burdens impressively illustrate the financial strength of the two business giants and show how crucial good stock ownership is for successful investment. Dividends remain an important pillar in their financial strategy for both of them.