--- tags: Budget statement --- # RWF-001: January 2022 Budget Statement **Status:** Reviewed Link to RWF-001 MIP Budget*: https://forum.makerdao.com/t/mip40c3-sp61-modify-core-unit-budget-real-world-finance-rwf-001/13152 Link to RWF-001 MIP MKR Compensation (RWF-001): https://forum.makerdao.com/t/mip40c3-sp38-real-world-finance-core-unit-mkr-compensation-rwf-001/10447 Link to new RWF-001 Multisig ledger [here](https://docs.google.com/spreadsheets/d/19tIncBWQdRQSHPF_271R1LrFMmj6dQe8/edit?usp=sharing&ouid=114529981085695499641&rtpof=true&sd=true) *MIP budget in Formal submission stage. Subject to approval. --- ## 1. Actuals -- January 2022 Actuals reported by previous facilitator are visible [here](https://docs.google.com/spreadsheets/d/17zB2ZJ-ANVVCH2cN68hZZHBCq_kClEk_qr6q1H_auSI/edit#gid=971858318). | Budget Category | Forecast | Actuals | Difference | Payments | Reason(s) | | --------------------- | ---------- | ---------- | ------------ | ---------- | ---------------------------------- | | | | | | 218,576.19 | | | Compensation* | 90,147.00 | 118,697.00 | \-28,550.00 | \- | FTE changes and backpayments | | Professional Services** | 20,000.00 | 87,536.10 | \-67,536.10 | \- | Unbudgetted legal fees | | Real-world structures | 0.00 | 0.00 | 0.00 | \- | \- | | Data-infrastructure | 0.00 | 0.00 | 0.00 | \- | \- | | Payment fees | 5,508.82 | 9,952.99 | \-4,444.17 | \- | AccountAble fees in different tier | | Gas Fees | 0.00 | 0.00 | 0.00 | \- | \- | | Software Costs | 0.00 | 0.00 | 0.00 | \- | \- | | Travel Costs | 0.00 | 0.00 | 0.00 | \- | \- | | Contingency Buffer | 0.00 | 0.00 | 0.00 | \- | \- | | **Total** | **115,655.82** | **216,186.09** | **\-100,530.27** | **218,576.19** | *Contractor fees: Contractors previously in part-time FTE (50%) increased capacity to 80-90% to cope with work demand. **Professional services: Previous budget for legal services was insufficient to deal with lender review of SocGen and Monetalis structures. --- ## 2. Budget Forecast -- 3 Months ### Overview | Feb 2022 | Mar 2022 | Apr 2022 | 3-Months | Old Mthly Budget Cap | Old Qtly Budget Cap | Old Annual Budget Cap + Buffer | | ---------- | -------- | -------- | -------- | -------------------- | ------------------- | ------------------------------ | | 151,375.96 | 270,330 | 285,915 | 707,620 | 155,000 | 465,000 | 1,860,000 | *Based on existing budget approved. ### Breakdown | Forecast | Feb 2022 | Mar 2022 | Apr 2022 | 3-Months | Old Qtly Budget Cap | MIP Budget Forecast/ CAP\*\* | | --------------------- | ---------- | ---------- | ---------- | ---------- | ------------------- | ---------------------------- | | Compensation* | 83,499.00 | 153,450.00 | 168,450.00 | 405,399.00 | 315,000.00 | $465,000 | | Professional Services* | 50,000.00 | 100,000.00 | 100,000.00 | 250,000.00 | 60,000.00 | $1,500,000 | | Real-world structures | 0.00 | 0.00 | 0.00 | 0.00 | 30,000.00 | $12,000 | | Data-infrastructure | 0.00 | 0.00 | 0.00 | 0.00 | 30,000.00 | $0 | | Payment fees | 7,376.96 | 11,879.55 | 12,464.55 | 31,721.06 | 0.00 | $25,500 | | Gas Fees | 1,000.00 | 0.00 | 0.00 | 1,000.00 | 0.00 | $1,500 | | Software Costs | 5,000.00 | 5,000.00 | 5,000.00 | 15,000.00 | 0.00 | $15,000 | | Travel Costs* | 4,500.00 | 0.00 | 0.00 | 4,500.00 | 0.00 | $6,000 | | Contingency Buffer | 0.00 | 0.00 | 0.00 | 0.00 | 30,000.00 | $30,000 | | **Total** | **151,375.96** | **270,329.55** | **285,914.55** | **707,620.06** | **465,000.00** | **2,055,000.00** | *Compensation: Forecast increase reflects additional FTEs in the team from March onwards. *Professional services: Legal services for lender review of borrower structures/contracts were under budgetted given complexity and cost of high-quality firms to assess deals. *Travel Costs: EthDenver participation for 3 team members **MIP budget in Formal Submission stage. Subject to ratification poll approval. Professional services costs from external legal consultations account for most of the change in the budget. **[Budget forecast for MIP increase](https://forum.makerdao.com/t/mip40c3-sp61-modify-core-unit-budget-real-world-finance-rwf-001/13152) to reflect legal cost estimates. --- ## 3. MKR Vesting Overview Total FTE: 5.7 (est. April 2022). Total Part Time: 4 (50% capacity). This overview is based on the approval of [MIP40c3-SP#38](https://forum.makerdao.com/t/mip40c3-sp38-real-world-finance-core-unit-mkr-compensation-rwf-001/10447), RWF-001 current MKR Incentive Proposal. | Vesting Date | MKR Amount | Last Month | Change | Reason(s) | Budget Cap on 7 FTE* | | ------------ | ---------- | ---------- | ------ | --------- | ------------------- | | April 2022 | 243 MKR | 243 MKR | 0 MKR | N/A | | | July 2022 | 205 MKR | 205 MKR | 0 MKR | N/A | | | October 2022 | 161 MKR | 161 MKR | 0 MKR | N/A | | | January 2023 | 201 MKR | 201 MKR | 0 MKR | N/A | | | April 2023 | 114 MKR | 114 MKR | 0 MKR | N/A | | | July 2023 | 114 MKR | 114 MKR | 0 MKR | N/A | | | October 2023 | 114 MKR | 114 MKR | 0 MKR | N/A | | | January 2024 | 114 MKR | 114 MKR | 0 MKR | N/A | | | April 2024 | 114 MKR | 114 MKR | 0 MKR | N/A | | | **Total** | **1,379 MKR** | **1,379 MKR** | **0 MKR** | | **1,680 MKR** | *Budget cap is estimated on 7 FTE at 80 MKR/FTE. Current estimate FTE calculation is based on 5.7 FTE. The _Change_ column indicates any changes in the MKR vesting amounts compared to last month, with the _Reason(s)_ column indicating why the amounts changed. Reasons may include: New hires, FTE changes, Promotions, or Terminations. ### FTE | Team members | Headcount | FTE(Full-Time Equivalent)* | | ------------------ | --------- | ------------------------- | | Facilitator | 1 | 1 | | Senior Consultants | 2 | 1.7 | | Consultants | 1 | 1 | | **Total** | **4** | **3.7** | *Senior consultants at 90% and 80% FTE equivalent, respectively, in January. --- ## 4. Transfers ### DAI Transfers -- January 2021 | RWF Operational wallet | 3-month Estimate | Current Balance | Transfer | Multi-sig Address | | ---------------------- | ---------------- | --------------- | -------- | -------------------------------------------------------------------------------------------------------------------------------------------- | | RWF CU | 707,620 | 124,773 | 582,847 | [0xD1505ee500791490DE8642353BA6A5b92e3550F7](https://gnosis-safe.io/app/eth:0xD1505ee500791490DE8642353BA6A5b92e3550F7/transactions/history) | To see multisig transactions: [RWF-001 Multisig](https://etherscan.io/address/0xD1505ee500791490DE8642353BA6A5b92e3550F7#tokentxns) and [Auditor Wallet](https://etherscan.io/address/0x96d7b01Cc25B141520C717fa369844d34FF116ec#tokentxns) | RWF Auditor wallet | Value | Multi-sig Address | | -------------------------------------- | ------------ | -------------------------------------------------------------------------------------------------------------------------------------------- | | Received from Protocol since inception | 68,949.35 | [0x96d7b01Cc25B141520C717fa369844d34FF116ec](https://gnosis-safe.io/app/eth:0x96d7b01Cc25B141520C717fa369844d34FF116ec/balances) | | Received from former RWF wallet | 274,399.47 | 0x9e1585d9ca64243ce43d42f7dd7333190f66ca09 | | Received RWF Ops Wallet Test trx. | 2.00 | [0xd1505ee500791490de8642353ba6a5b92e3550f7](https://gnosis-safe.io/app/eth:0xD1505ee500791490DE8642353BA6A5b92e3550F7/transactions/history) | | **Total Received** | 343,350.82 | [0x96d7b01Cc25B141520C717fa369844d34FF116ec](https://gnosis-safe.io/app/eth:0x96d7b01Cc25B141520C717fa369844d34FF116ec/balances) | | **Test trx. to 0x2c6...31efb25** | \-2.00 | 0x2c647bdc8259a82b0d0842207aed98c5331efb25 | | **Lifetime transfer to RWF Ops Wallet** | \-343,348.82 | [0xD1505ee500791490DE8642353BA6A5b92e3550F7](https://gnosis-safe.io/app/eth:0xD1505ee500791490DE8642353BA6A5b92e3550F7/transactions/history) | | **Auditor wallet current balance** | 0.00 | [0x96d7b01Cc25B141520C717fa369844d34FF116ec](https://gnosis-safe.io/app/eth:0x96d7b01Cc25B141520C717fa369844d34FF116ec/balances) |