Is Daily Service Foundation Inc Legit? —…

Quick charity verification for Daily Service Foundation Inc (EIN: 202785588)

Red Flags

Extremely low expense-to-revenue ratio, suggesting significant asset accumulation rather than direct charitable spending proportional to income.
Consistent reporting of $1 in liabilities across all filings, which is highly unusual and may indicate a reporting issue.
Zero reported officer compensation despite significant revenue and asset growth, raising questions about executive leadership structure or compensation transparency.
Lack of detailed expense breakdown in the provided data makes it difficult to ascertain actual program spending efficiency.

Spending Breakdown

How Daily Service Foundation Inc allocates its funds across programs, administration, and fundraising.

50%

Program Spending

Below average — room for improvement

40%

Admin Costs

High — over 25% on administration

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 Daily Service Foundation Inc

Is Daily Service Foundation Inc a legitimate charity?

Based on AI analysis of IRS 990 filings, Daily Service Foundation Inc (EIN: 202785588) shows mixed signals. Mission Score: 45/100. 4 red flags identified, 3 strengths noted.

Is Daily Service Foundation Inc a good charity to donate to?

Daily Service Foundation Inc has a Mission Score of 45/100. Revenue: $2.4M. Assets: $9.2M. Review the full transparency report for detailed spending breakdown and executive compensation analysis.

What is the EIN for Daily Service Foundation Inc?

The Employer Identification Number (EIN) for Daily Service Foundation Inc is 202785588. 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 Daily Service Foundation Inc spend its money?

Daily Service Foundation Inc allocates 50% to programs, 40% to administration, and 10% to fundraising. Healthy nonprofits typically spend 75%+ on programs.

How can I verify Daily Service Foundation Inc's tax-exempt status?

You can verify Daily Service Foundation Inc's tax-exempt status using EIN 202785588 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

Daily Service Foundation Inc demonstrates a highly unusual financial pattern, with revenue significantly outpacing expenses in most recent years. For instance, in 2023, the organization reported $3,007,752 in revenue against only $311,454 in expenses, and in 2022, $1,608,383 in revenue against $284,804 in expenses. This suggests a substantial accumulation of assets rather than direct program spending relative to income. The organization's assets have grown considerably, from $348,346 in 2011 to $8,511,255 in 2023, indicating a focus on asset growth or investment rather than immediate charitable disbursements proportional to its revenue. The consistent reporting of $1 in liabilities across all filings is also highly unusual and warrants further investigation into the nature of its financial operations and reporting practices.

The spending efficiency is difficult to assess without a detailed breakdown of expenses beyond the total. Given the vast difference between revenue and expenses, a significant portion of incoming funds is not being spent on programs, administration, or fundraising in the same fiscal year. This could imply a grant-making foundation model, but without specific program expense details, it's challenging to determine the direct impact of its spending. The lack of reported officer compensation across all filings suggests either a fully volunteer-run organization at the executive level or that compensation is structured in a way not captured under 'officer compensation' on the 990, which could impact transparency.

Overall, while the organization is transparent in filing its 990s, the financial data presents a picture of an entity primarily accumulating assets rather than actively disbursing funds relative to its income. The extremely low expense ratios relative to revenue, coupled with minimal liabilities and zero reported officer compensation, raise questions about the operational model and the ultimate deployment of its substantial financial resources for charitable purposes. A deeper dive into the program activities and how the accumulated assets are eventually utilized would be necessary for a complete understanding of its financial health and impact.

Is Daily Service Foundation Inc Legit?

Verdict: Daily Service Foundation Inc shows mixed signals