Quick charity verification for Academy Of American Poets Incorporated (EIN: 131879953)
Verdict: Academy Of American Poets Incorporated appears trustworthy
75/100Mission Score
$12.6MRevenue
$18.7MAssets
3Red Flags
3Strengths
Red Flags
Recurring operational deficits, with expenses significantly exceeding revenue in multiple recent periods (e.g., $5,341,067 expenses vs. $2,416,014 revenue in 202306).
Unclear executive compensation reporting, with 0% officer compensation across all filings for an organization of this size.
Significant increase in liabilities from $160,658 in 201806 to $2,308,800 in 202306, which could indicate increased debt or deferred revenue.
Strengths
Strong and consistent growth in assets, from $9,635,691 in 201406 to $18,729,412 currently, indicating robust financial reserves or investment management.
Consistent filing of IRS 990s over 13 periods, demonstrating transparency and compliance.
Clear alignment with its NTEE code (A700 - Literary Societies, Publishers), indicating a focused mission.
Spending Breakdown
How Academy Of American Poets Incorporated allocates its funds across programs, administration, and fundraising.
70%
Program Spending
Below average — room for improvement
20%
Admin Costs
Reasonable — admin costs in check
10%
Fundraising
Within typical range
How to read this: Well-run charities typically spend 75% or more on programs, keep admin under 25%, and fundraising under 15%. A high program ratio means more of every dollar goes directly to the mission.
How to Interpret This Report
What Red Flags Mean
Red flags are potential warning signs identified by AI analysis of IRS 990 filings. They may indicate issues like declining revenue, high executive pay relative to program spending, lack of transparency, or governance concerns. A single red flag does not necessarily mean an organization is untrustworthy, but multiple flags warrant further investigation before donating.
What Mission Score Measures
The Mission Score (0-100) evaluates how effectively a nonprofit fulfills its stated purpose. It combines multiple factors: program spending efficiency (how much goes to programs vs. overhead), financial health and sustainability, governance quality, transparency in reporting, and consistency of operations over time. A score of 70+ indicates strong alignment with the organization’s mission.
Using This Data for Donation Decisions
Use this report as one input in your decision. Look at the overall Mission Score for a quick assessment, review red flags and strengths for specific concerns, check the spending breakdown to see where money goes, and compare executive compensation to the organization’s size. Consider viewing the full transparency report for deeper analysis, and always verify tax-exempt status with the IRS before making large donations.
Frequently Asked Questions about Academy Of American Poets Incorporated
Is Academy Of American Poets Incorporated a legitimate charity?
Based on AI analysis of IRS 990 filings, Academy Of American Poets Incorporated (EIN: 131879953) appears trustworthy. Mission Score: 75/100. 3 red flags identified, 3 strengths noted.
Is Academy Of American Poets Incorporated a good charity to donate to?
Academy Of American Poets Incorporated has a Mission Score of 75/100. Revenue: $12.6M. Assets: $18.7M. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for Academy Of American Poets Incorporated?
The Employer Identification Number (EIN) for Academy Of American Poets Incorporated is 131879953. This is the unique tax ID assigned by the IRS.
What is a Mission Score?
The Mission Score is a 0-100 rating that measures how effectively a nonprofit fulfills its stated mission. It factors in program spending efficiency, financial transparency, governance practices, and outcome reporting. Scores above 70 indicate strong mission alignment, 40-69 suggest mixed performance, and below 40 signals potential concerns.
How does Academy Of American Poets Incorporated spend its money?
Academy Of American Poets Incorporated allocates 70% to programs, 20% to administration, and 10% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify Academy Of American Poets Incorporated's tax-exempt status?
You can verify Academy Of American Poets Incorporated's tax-exempt status using EIN 131879953 on the IRS Tax Exempt Organization Search (TEOS) at apps.irs.gov/app/eos. You can also request copies of their Form 990 directly from the organization, as they are required by law to provide them upon request.
AI Transparency Report
The Academy Of American Poets Incorporated demonstrates a fluctuating financial performance over the past decade. While the organization reported a significant revenue of $12,641,260 in its latest filing, the most recent period (202306) shows expenses ($5,341,067) significantly exceeding revenue ($2,416,014), leading to a deficit. This trend of expenses exceeding revenue is also visible in 202206, 202106, 201806, and 201606, indicating potential reliance on reserves or prior surpluses. Despite these operational deficits in some years, the organization has consistently maintained substantial assets, growing from $9,635,691 in 201406 to $18,729,412 currently, suggesting a strong endowment or investment strategy.
The organization's transparency appears high regarding executive compensation, with 0% reported for officer compensation across all available filings. This indicates that the highest-ranking officers either receive no compensation or their compensation is not categorized as 'officer compensation' in the provided data, which warrants further investigation into how leadership is compensated. The NTEE code A700 (Literary Societies, Publishers) aligns well with its mission, and the consistent filing of IRS 990s demonstrates a commitment to regulatory compliance.
However, the recurring operational deficits in recent years, particularly the substantial one in 202306 where expenses were more than double revenue, raise questions about long-term financial sustainability if not addressed by significant future revenue streams or strategic expense management. While assets are robust, consistent drawdowns could eventually impact the organization's financial health. Further details on program, administrative, and fundraising expenses would provide a clearer picture of spending efficiency.