Is Debt Education And Certification Foundation Legit?
Quick charity verification for Debt Education And Certification Foundation (EIN: 202870155)
Verdict: Debt Education And Certification Foundation appears trustworthy
85/100Mission Score
$1.9MRevenue
$1.7MAssets
2Red Flags
3Strengths
Red Flags
Frequent periods where expenses exceed revenue, such as in 202312 ($1,787,433 expenses vs. $1,643,959 revenue), which could indicate financial strain.
Consistent 0% officer compensation for an organization with over $1.6 million in annual revenue, which is highly unusual and might warrant further scrutiny into how leadership is compensated or structured.
Strengths
Consistent reporting of 0% officer compensation, indicating a strong commitment to directing funds away from executive salaries.
Stable asset base over the past decade, suggesting sound financial management despite periods of deficit spending.
Consistent revenue generation above $1.6 million annually, demonstrating a sustained ability to attract funding.
Spending Breakdown
How Debt Education And Certification Foundation 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 Debt Education And Certification Foundation
Is Debt Education And Certification Foundation a legitimate charity?
Based on AI analysis of IRS 990 filings, Debt Education And Certification Foundation (EIN: 202870155) appears trustworthy. Mission Score: 85/100. 2 red flags identified, 3 strengths noted.
Is Debt Education And Certification Foundation a good charity to donate to?
Debt Education And Certification Foundation has a Mission Score of 85/100. Revenue: $1.9M. Assets: $1.7M. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for Debt Education And Certification Foundation?
The Employer Identification Number (EIN) for Debt Education And Certification Foundation is 202870155. 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 Debt Education And Certification Foundation spend its money?
Debt Education And Certification Foundation allocates 85% to programs, 10% to administration, and 5% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify Debt Education And Certification Foundation's tax-exempt status?
You can verify Debt Education And Certification Foundation's tax-exempt status using EIN 202870155 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
Debt Education And Certification Foundation demonstrates consistent financial activity, with revenues and expenses generally in the range of $1.6 million to $2.5 million over the past decade. The organization's assets have remained relatively stable, fluctuating between $1.7 million and $2.2 million. A notable aspect of their financial health is the consistent reporting of 0% officer compensation across all available filings, which suggests a strong commitment to directing funds towards the organization's mission rather than executive salaries. However, the organization has frequently reported expenses exceeding revenue, such as in 202312 where expenses were $1,787,433 against revenues of $1,643,959, and in 202012 where expenses were $2,343,312 against revenues of $2,074,186. This trend of operating at a deficit in several periods could indicate a reliance on prior year surpluses or other funding mechanisms to cover operational costs, which warrants further investigation into their long-term financial sustainability strategy. The consistent asset base despite these deficits suggests careful management of existing resources or other non-revenue income streams.