Dan Price, CEO of credit card payments company Gravity Payments, thinks that what passes for executive pay today is way too much. He has opted to reduce his salary and create a minimum salary for workers. And he is fine with it.

"Out of whack," is the term Price used for the exorbitant executive pay currently being doled out. His response to that was reducing his salary to US$70,000 and increasing the minimum salaries of the people working for him.

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The 30-year old CEO announced this week that any employee making less than US$70,000 will receive a US$5,000 raise per year or be paid a minimum of US$50,000. It depends on which of the two stipulations is greater for the workers.

In doing so, Price aims that by December of 2017, everyone will be earning US$70,000 if not more.

Initially, Price's salary was about US$1 million. He has reduced to 7 percent of his previous executive pay.

He plans to keep this decreased salary until or unless Gravity Payments' profits are greater than it was a year ago. The mark to reach is approximately US$2.2 million.

In an interview with ABC News, Price said that he did not need his salary to be US$1 million. He said he did not need that much to live, but added that the amount would be the price needed to replace him as CEO.

"I think CEO pay is way out of whack. It ended up impacting me, because I want the company to be sustainable even if something happens to me," Price explained. "Temporarily, I'm going down to the minimum until the company gets back to where it was."

When asked what his life would be like with lower pay, he said he had not thought of it all too much. However, he adds that he does not have any financial obligations or debts anyway.

TagsDan Price, Minimum Wage, Gravity Payments, CEO