Quick charity verification for American Payroll Institute Inc (EIN: 133124063)
Verdict: American Payroll Institute Inc appears trustworthy
85/100Mission Score
$34.9MRevenue
$53.6MAssets
1Red Flags
4Strengths
Red Flags
NTEE Code is unknown, limiting understanding of specific mission area.
Strengths
Consistent revenue growth over the past decade, from $8.9M in 2014 to $12.3M in 2023.
Strong asset accumulation, increasing from $30.4M in 2014 to $48.2M in 2023.
Consistently reports 0% officer compensation, indicating efficient use of funds regarding executive pay.
Healthy financial reserves with assets significantly exceeding liabilities (e.g., $48.2M assets vs. $9.8M liabilities in 2023).
Spending Breakdown
How American Payroll Institute Inc allocates its funds across programs, administration, and fundraising.
75%
Program Spending
Healthy — majority goes to mission
15%
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 American Payroll Institute Inc
Is American Payroll Institute Inc a legitimate charity?
Based on AI analysis of IRS 990 filings, American Payroll Institute Inc (EIN: 133124063) appears trustworthy. Mission Score: 85/100. 1 red flag identified, 4 strengths noted.
Is American Payroll Institute Inc a good charity to donate to?
American Payroll Institute Inc has a Mission Score of 85/100. Revenue: $34.9M. Assets: $53.6M. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for American Payroll Institute Inc?
The Employer Identification Number (EIN) for American Payroll Institute Inc is 133124063. 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 Payroll Institute Inc spend its money?
American Payroll Institute Inc allocates 75% to programs, 15% to administration, and 10% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify American Payroll Institute Inc's tax-exempt status?
You can verify American Payroll Institute Inc's tax-exempt status using EIN 133124063 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 Payroll Institute Inc. demonstrates consistent financial growth and strong asset accumulation over the past decade. Revenue has steadily increased from $8.9 million in 2014 to $12.3 million in 2023, with total assets growing from $30.4 million to $48.2 million in the same period. The organization consistently reports 0% officer compensation, indicating that its leadership is either unpaid or compensated through other means not categorized as officer compensation on the 990, which can be a positive sign for donor confidence regarding executive pay. However, without a detailed breakdown of program, administrative, and fundraising expenses, it's challenging to fully assess spending efficiency. The available data suggests a healthy financial position with substantial reserves relative to annual expenses.
While the organization's financial health appears robust, the lack of detailed expense categorization in the provided data limits a comprehensive assessment of spending efficiency. The consistent growth in assets and revenue, coupled with a low liability-to-asset ratio (e.g., $9.8M liabilities vs. $48.2M assets in 2023), indicates strong financial management and stability. The absence of reported officer compensation is a notable transparency point, suggesting a commitment to minimizing top-heavy executive costs.
To fully evaluate transparency and spending efficiency, more granular expense data would be beneficial. Specifically, understanding the proportion of expenses dedicated directly to programs versus administrative overhead and fundraising efforts is crucial. Based on the available information, the organization appears financially sound and well-managed, with a positive trend in financial growth and asset accumulation.