Quick charity verification for Americans For The Arts Action Fund (EIN: 201427963)
Verdict: Americans For The Arts Action Fund appears trustworthy
88/100Mission Score
$413KRevenue
$542KAssets
2Red Flags
4Strengths
Red Flags
Significant revenue fluctuations year-over-year (e.g., $453,139 in 2020 to $65,746 in 2022, then $432,907 in 2023) could indicate unstable funding sources.
Consistent 0% officer compensation is unusual for an organization of this size and could imply leadership is compensated through another entity or is entirely volunteer, which might not be sustainable long-term.
Strengths
Consistent reporting of 0% officer compensation across all filings, indicating high efficiency in executive overhead.
Healthy asset-to-liability ratio, with assets of $491,015 against liabilities of $28,528 in 2023, demonstrating strong financial stability.
Generally maintains a surplus, with revenue exceeding expenses in most years (e.g., $432,907 revenue vs. $358,155 expenses in 2023).
Significant rebound in revenue in 2023 ($432,907) after a dip in previous years, showing resilience and renewed fundraising capacity.
Spending Breakdown
How Americans For The Arts Action Fund 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 Americans For The Arts Action Fund
Is Americans For The Arts Action Fund a legitimate charity?
Based on AI analysis of IRS 990 filings, Americans For The Arts Action Fund (EIN: 201427963) appears trustworthy. Mission Score: 88/100. 2 red flags identified, 4 strengths noted.
Is Americans For The Arts Action Fund a good charity to donate to?
Americans For The Arts Action Fund has a Mission Score of 88/100. Revenue: $413K. Assets: $542K. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for Americans For The Arts Action Fund?
The Employer Identification Number (EIN) for Americans For The Arts Action Fund is 201427963. 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 Americans For The Arts Action Fund spend its money?
Americans For The Arts Action Fund allocates 85% to programs, 10% to administration, and 5% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify Americans For The Arts Action Fund's tax-exempt status?
You can verify Americans For The Arts Action Fund's tax-exempt status using EIN 201427963 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
Americans For The Arts Action Fund demonstrates a generally stable financial position, with assets consistently exceeding liabilities across its filing history. The organization reported revenue of $432,907 and expenses of $358,155 in its latest 2023 filing, resulting in a surplus. While revenue has fluctuated, notably a dip in 2021 and 2022, the organization has shown resilience, with 2023 revenue returning to levels seen in earlier years like 2019 and 2020. The consistent reporting of 0% officer compensation across all filings suggests a lean operational structure and a commitment to directing funds towards its mission, which is a positive indicator of spending efficiency.
The organization's financial health appears sound, with a healthy asset-to-liability ratio. For instance, in 2023, assets were $491,015 against liabilities of $28,528. This strong balance sheet provides a buffer for future operations. The absence of officer compensation also contributes to a perception of high spending efficiency, as administrative costs related to executive salaries are non-existent. This structure inherently promotes transparency regarding how donor funds are utilized, as a significant portion is not allocated to top executive pay.
Overall, Americans For The Arts Action Fund appears to be a financially responsible organization. Its ability to maintain a positive net asset position and manage expenses effectively, especially with no reported officer compensation, points to a well-managed operation. The fluctuations in revenue warrant monitoring, but the overall trend of maintaining a surplus and growing assets indicates prudent financial management.