I recently looked into the Rust Foundation’s 2023 IRS Form 990, and something caught my attention:
- The Executive Director was paid £261,151 GBP (~$332,445 USD).
- The Head of Finance & Funding received £113,977 GBP ($145,092 USD) + £10,362 GBP ($13,190 USD) in retirement benefits.
- These salaries weren’t paid directly by the Rust Foundation (a US nonprofit) but instead routed through a UK-based entity, Rust Inc Limited, which is labeled as a “foreign subsidiary.”
Questions I Have:Why is a nonprofit paying six-figure salaries through foreign subsidiaries instead of directly?
Is this common among tech nonprofits, or is Rust Foundation’s approach unusual?
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I’m not accusing them of wrongdoing, but does this raises ̶s̶e̶r̶i̶o̶u̶s̶ some questions about nonprofit governance, transparency?
If anyone has insight into why this structure exists or how other open-source foundations handle executive pay, I’d love to hear your thoughts!
Why is a nonprofit paying six-figure salaries through foreign subsidiaries instead of directly?
Is this common among tech nonprofits, or is Rust Foundation’s approach unusual?
--
I’m not accusing them of wrongdoing, but does this raises ̶s̶e̶r̶i̶o̶u̶s̶ some questions about nonprofit governance, transparency?
If anyone has insight into why this structure exists or how other open-source foundations handle executive pay, I’d love to hear your thoughts!