Khan Academy
Mountain View, CA · EIN 261544963 · FY2023 is the latest filing on record · pre-cached
Khan Academy's 67% compensation share isn't a red flag; it's the engine of their educational mission.
Khan Academy ended its latest fiscal year with a 31% operating margin, mirroring its 14-year average. With 22.6 months of operating reserves, they are well-positioned for future stability.
Myth
A high percentage of spending on compensation means a charity is inefficient or top-heavy.
Reality
Khan Academy dedicates 67% of its spending to compensation, placing it in the 99th percentile among education peers. This suggests a significant investment in the people delivering their programs, rather than a sign of inefficiency.
Myth
Charities should minimize their operating reserves to put more money directly into programs.
Reality
Khan Academy maintains 22.6 months of operating reserves, a healthy figure that puts them in the 55th percentile among education organizations. This provides a strong buffer for sustained operations and long-term planning.
Multi-year trend
Operating reserve months
Net assets ÷ monthly expenses — how long the org could run on savings alone.
Operating margin
(Revenue − expenses) ÷ revenue, per fiscal year.
How it compares to peers
Percentile rank among 73 Education organizations. Higher is framed as better on every bar here — including reserves and staff investment, which conventional overhead-ratio scoring would penalize.
Dashed line = peer median (50th percentile)
Ask about Khan Academy
Answers are grounded only in this org's filed financial data above -- it won't guess at their programs, leadership, or anything not shown on this page.
Source: latest Form 990 PDF via ProPublica Nonprofit Explorer.