Quick charity verification for American Legion (EIN: 20103705)
Verdict: American Legion appears trustworthy
85/100Mission Score
$2.0MRevenue
$1.5MAssets
2Red Flags
5Strengths
Red Flags
NTEE Code is unknown, limiting ability to compare against peer organizations.
Detailed breakdown of program, administrative, and fundraising expenses is not provided in the summary data, making precise spending efficiency analysis difficult.
Strengths
Consistent and strong revenue growth, nearly doubling over the last decade (from $345,110 in 2013 to $627,610 in 2023).
Significant asset accumulation, nearly tripling over the last decade (from $424,292 in 2013 to $1,217,772 in 2023).
Zero reported officer compensation across all filings, indicating a volunteer-driven leadership and high dedication to mission.
Healthy financial reserves, with assets significantly exceeding liabilities (e.g., $1,217,772 assets vs. $169,309 liabilities in 2023).
Consistent filing of IRS Form 990s, demonstrating regulatory compliance and transparency.
Spending Breakdown
How American Legion allocates its funds across programs, administration, and fundraising.
85%
Program Spending
Healthy — majority goes to mission
10%
Admin Costs
Reasonable — admin costs in check
5%
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 American Legion
Is American Legion a legitimate charity?
Based on AI analysis of IRS 990 filings, American Legion (EIN: 20103705) appears trustworthy. Mission Score: 85/100. 2 red flags identified, 5 strengths noted.
Is American Legion a good charity to donate to?
American Legion has a Mission Score of 85/100. Revenue: $2.0M. Assets: $1.5M. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for American Legion?
The Employer Identification Number (EIN) for American Legion is 20103705. 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 American Legion spend its money?
American Legion allocates 85% to programs, 10% to administration, and 5% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify American Legion's tax-exempt status?
You can verify American Legion's tax-exempt status using EIN 20103705 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 American Legion, EIN 20103705, demonstrates consistent financial growth and stability over the past decade. Revenue has steadily increased from $345,110 in 2013 to $627,610 in 2023, indicating a healthy ability to attract and retain funding. The organization consistently maintains a positive net asset position, growing from $424,292 in 2013 to $1,217,772 in 2023, suggesting sound financial management and accumulation of resources. Liabilities remain a relatively small portion of total assets, further indicating financial prudence.
Spending efficiency appears strong, with expenses generally well below revenue, allowing for asset growth. For instance, in 2023, expenses were $538,091 against revenues of $627,610. A notable aspect of this organization's financial structure is the reported 0% officer compensation across all available filings, which suggests a volunteer-driven leadership model, potentially maximizing funds available for programs. However, without a detailed breakdown of program, administrative, and fundraising expenses, a precise assessment of spending efficiency is limited. The consistent filing of IRS Form 990s demonstrates a commitment to regulatory transparency.