There are a lot of very valid reasons not to donate to Jumbo Welas' pandemonium, but that article does a disservice to them. As pointed before, point 8 is pure garbage.
But yeah, less than 25% is spent on actual machines and bandwidth. Less than another quarter is spent on the salaries of computer technicians, which is arguable for an "all-volunteer" thing but still not too bad.
The rest is spent on useless stuff, from management people to travel expenses (read: Jimbo's stays on luxury suites around the world).
How did this year's donation campaign end anyway? I hope they didn't meet their targets.