Free NewsletterPro Login

Musk's xAI Promised Staff $420 For Their Tax Returns. The Money Never Came

Published May 18, 2026
Share:
Summary:
  • Elon Musk's xAI offered staff $420 each to share their tax returns as training data for Grok.
  • Bloomberg says the cash still has not been paid two months later.
  • The unpaid bonus lands as more than 50 staff have left the firm since SpaceX absorbed xAI in February.

Elon Musk's xAI offered its own staff $420 each. The catch was that they had to hand over their tax returns.

That was two months ago. Bloomberg now reports the money still has not shown up.

The Offer

xAI is racing to make Grok useful for things people pay for. Tax help and accounting are high on the list.

Musk has been telling X users that Grok can "help with your taxes."

To get there, the firm asked staff to send in their own returns so Grok could learn from them.

The pay was $420 each. That number is on-brand for Musk, who has used it in product prices and stunts for years.

Bloomberg reports those payments have not gone out. Staff who handed over their forms months ago are still waiting on the cash.

Market Briefs translates stories like this into what they mean for AI stocks and your portfolio, every weekday morning, with a free investing masterclass when you sign up.

Staff Are Leaving

xAI is not in a calm patch. SpaceX bought xAI in February.

The deal valued the combined firm at about $1.25 trillion. The merged shop is now branded SpaceXAI.

It has lost more than 50 staff since the deal closed, per The Information.

At least 11 staff went to Meta. At least seven joined Mira Murati's Thinking Machine Labs.

The exits hit leaders on coding, world models, and Grok voice. Pre-training is the team that builds the actual models from scratch.

It has shrunk to a handful of people.

Some left because of culture and burnout. Some left to cash out, since SpaceX runs tender offers that let staff sell vested shares before any public listing.

Why The $420 Story Matters

On its own, a missed pay-out is small. In context, it lands different.

xAI is trying to sell Wall Street on Grok. It is also trying to keep its own staff for the IPO.

Asking workers to share private tax data and then not paying them lands wrong on both fronts.

There is a privacy issue too. Tax returns hold Social Security numbers, home addresses, and income detail.

All of that is now training data for a chatbot.

The number itself is also a tell. $420 is small money for a Wall Street IPO candidate.

It is also a number Musk has used for years as a joke. xAI did not reply to public questions about when staff will be paid.

What To Watch

Watch xAI's data and labor practices, not just its model scores.

A firm burning about $1 billion a month and losing senior staff does not need a story about unpaid workers.

For investors waiting on the SpaceX-xAI public listing, that mix is what matters.

The story also sets a tone. If xAI cannot pay its own staff for tax help, no Wall Street firm should hand it sensitive client data either.

If you want a daily read on AI, Musk, and the rest of the market in five minutes, sign up for Market Briefs. The daily lands every weekday and comes with a free 45-minute investing masterclass as a bonus.

Disclosure

Recent News

1 2 3 … 108

Get Market Briefs delivered to your inbox every morning for free!

No fluff. No noise. No politics. Just finance news you can read in 5 minutes.

Blogs

October 16, 2026
How Boring Math Makes You Rich: The Briefs Money Spreadsheet, Explained
  • Briefs Money shows you what to do with every paycheck, and in what order: how much to spend, save, and invest, when to build an emergency fund, and which debt to pay off first.
  • The Climb to Wealth course walks you through the system step by step, and the Personal Finance Spreadsheet is where you track your own numbers.
  • Investing is one piece of building wealth. The system that gets money to your investments, and keeps it there, decides the outcome.
Read More
October 16, 2026
Common Investing Mistakes: Why a Stock Grade Is One Tool, Not the Whole Toolkit
  • The Briefs Score shows growth, income, and wealth preservation investors how well a stock fits their goal, with a separate letter grade for each one.
  • The most common mistake is treating the letter as an instruction. An A tells you a stock scores well for one goal, not that you should buy today.
  • Research works best as one input in a process you own. The grade shows how a stock stacks up. You supply the goal, the timeline, and the rules for being wrong.
Read More
October 16, 2026
How to Read a Company's Numbers Without a Finance Degree (Using Briefs Terminal)
  • Briefs Terminal lets you size up any public company in about ten minutes: what the stock costs, what it earns, how fast sales are growing, and what it pays you, all on one page.
  • It lines those numbers up against the company's closest competitors for you, so you can tell if a number is impressive or just average.
  • Below that are the income statement, balance sheet, and cash flow statement from the company's SEC filings, the latest news, and transcripts of its earnings calls.
Read More
October 16, 2026
What Type of Investor Am I? The Three Investor Archetypes, Explained
  • Briefs sorts its stock grades and monthly reports by three investor goals: growth, income, and wealth preservation. Pick yours and you know which report and which grade to read first.
  • Growth investors want stocks that beat the S&P 500. Income investors want to get paid in cash. Wealth preservation investors want stocks that hold up when the market drops.
  • The same stock can score an A- for one goal and a D- for another, so picking your goal comes before picking any stock.
Read More
October 16, 2026
How to Build a Stock Watchlist That Isn't Just Stocks You Heard About
  • A watchlist on Briefs Terminal lets you group stocks by the idea you're tracking and follow each one's price, one-day move, and 52-week high and low in one place.
  • Each list has its own name and description, so you always know why a stock is on it, and you can make as many lists as you have ideas.
  • The monthly growth, income, and wealth preservation reports under the Briefs Research tab hand you new themes to track that you didn't hear about online.
Read More
October 16, 2026
How to Choose an ETF That Matches Your Idea (Using the ETF Planning Tool)
  • The ETF planning tool takes an idea like "I want to invest in fast food companies," asks what you mean, and finds the ETFs that match, with the reasons, the holdings, and the sources.
  • Build a Plan then shows what your money could grow to in those ETFs over the years you choose, with conservative, expected, and optimistic estimates next to the S&P 500.
  • It gets you from an idea to an actual plan without researching dozens of companies one at a time.
Read More
October 16, 2026
Is This Stock a Good Buy? How to Use the Briefs Score to Tell If a Stock Fits the Way You Invest
  • The Briefs Score shows growth, income, and wealth preservation investors how well a stock fits their goal, with a separate letter grade for each one.
  • One stock can score very differently for each. Nvidia showed an A- for growth and a D- for income, because it grows fast and pays almost no dividend.
  • Seven sub scores under each grade show what earned the letter, so you can see exactly where a stock is strong or weak for your goal.
Read More
October 16, 2026
How to Tell an Asset From a Liability: The One Question to Ask Before You Buy Anything
  • The typical American household earned more in 2025 than in any year on record, yet only 30% of Americans say they could pay a surprise $1,000 bill from savings, so the problem isn't income but what the income gets spent on.
  • An asset puts money in your pocket and a liability takes money out, and the wealthy buy assets first, then let the assets pay for the fun stuff.
  • Before you buy anything, ask one question: does this put money in my pocket, or take money out of my pocket? Then you need a plan for the money you keep.
Read More
October 16, 2026
How to Build Your First $2,000 Emergency Fund and Wipe Out Every Debt Over 10%
  • Your first money goal isn't investing, it's $2,000 in its own account named Do Not Touch, built by moving 10% of every paycheck into it automatically.
  • More than a third of American adults couldn't cover a $400 surprise bill with cash or savings, according to the Federal Reserve, and that's how one bad day turns into years of credit card payments.
  • Once the $2,000 is there, attack every debt charging more than 10% interest, highest rate first, because you can't out-invest a 22% credit card so paying it off is the investment.
Read More
October 16, 2026
How to Invest Through a Crash: 3 Rules From the Worst-Timed Investor Alive
  • Meet Bunty, a fictional investor with the worst timing in history: he put $100,000 into the market in four chunks right before four crashes, never sold, and by 2025 it had grown to more than $500,000.
  • Investors who jump in and out of the market miss its best days, and missing just a handful of those days can cut your final result roughly in half.
  • The fix is ABB, Always Be Buying: you buy on a schedule through booms, crashes and scary headlines, which matches the market, and beating it takes knowing where the money is moving first.
Read More
1 2 3 … 29
Share via
Copy link