Bristol Palin's nonprofit paycheck
April 6, 2011
Wow, if this story is true, it sure seems illegal. Bristol Palin is reported to have accepted a $262,500 salary from a "non-profit" organization which gave away only $35,000 to charities. Here's a link to the story.
I thought about starting a nonprofit organization several years ago, and I know that the IRS forms say that non-profit officers cannot take salaries that are way out of line. I don't know the exact wording, but if you look at the financial numbers from that article, you'll see things are way out of whack:
- Bristol Palin salary - $262,500
- TV advertising - $165,000
- Charitable disbursements - $35,000
In summary, they raised $462,500, gave Bristol Palin's salary was 56.8% of that, and only 7.6% of their income was given to charities.
If that's legal, there is something seriously wrong with the US tax code.