I and others have pointed this out many times on this forum. Knute, you have been around long enough to have seen these discussions.
Notre Dame has a long standing policy that coaches' salaries are to be in line with the compensation structure of the faculty. In other words, the coaches will paid in the range of the highest paid professors. So, his stated salary is much lower than that of other big programs, but is a fraction of his compensation. The official salary is augmented by lucrative media and apparel contracts.
I've seen reports of his total compensation being in the $4.5 to $5 million range. And that was before the head coaching position became endowed. That endowment, I'm guessing, probably adds another 500k to 1mil.
That listing of 1.6mil is laughable and is about what his coordinators are being paid. Remember when Mike Elko was offered 1.75 million but left for 2 mil from TAM.