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But why are they paying him a cash stipend instead of expensing against receipts? Or is this meant to be more of a cap on how much he can spend on all that monthly?

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Beats me. It seems like essentially they're paying him $2.4 million, just divided into 3 separate buckets.

It’s because the IRS has a $1 million limit on executive pay for tax deduction purposes. So all this stuff just helps get around that.

$2.04M

$2.42M

$35k x 12 = $420k

It's trivial to cap expenses against receipts. Companies do this all the time for example with cell phone allowances.

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