Quick charity verification for Freede Family Foundation (EIN: 202027759)
Verdict: Freede Family Foundation appears trustworthy
85/100Mission Score
$399KRevenue
$889KAssets
1Red Flags
4Strengths
Red Flags
Significant deficit spending in some periods (e.g., 202012 expenses of $106,101 far exceeded revenue of $1,487)
Strengths
Consistent absence of officer compensation (0%)
Strong asset base ($888,580 in 202012)
Minimal liabilities across all filing periods
Consistent IRS 990 filing history
Spending Breakdown
How Freede Family Foundation allocates its funds across programs, administration, and fundraising.
90%
Program Spending
Healthy — majority goes to mission
10%
Admin Costs
Reasonable — admin costs in check
0%
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 Freede Family Foundation
Is Freede Family Foundation a legitimate charity?
Based on AI analysis of IRS 990 filings, Freede Family Foundation (EIN: 202027759) appears trustworthy. Mission Score: 85/100. 1 red flag identified, 4 strengths noted.
Is Freede Family Foundation a good charity to donate to?
Freede Family Foundation has a Mission Score of 85/100. Revenue: $399K. Assets: $889K. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for Freede Family Foundation?
The Employer Identification Number (EIN) for Freede Family Foundation is 202027759. 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 Freede Family Foundation spend its money?
Freede Family Foundation allocates 90% to programs, 10% to administration, and 0% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify Freede Family Foundation's tax-exempt status?
You can verify Freede Family Foundation's tax-exempt status using EIN 202027759 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 Freede Family Foundation demonstrates a consistent pattern of financial stability, with assets generally increasing over the past decade, reaching $888,580 in the latest filing period (202012). The organization's revenue has fluctuated, with a notable drop to $1,487 in 202012 from $85,325 in 201912, while expenses remained relatively high at $106,101 in 202012. This suggests that in some periods, the foundation is spending down its assets or relying on prior year's revenue, as seen in 202012 where expenses significantly exceeded revenue. The foundation consistently reports 0% officer compensation, which is a strong indicator of efficient use of funds for its charitable purpose rather than administrative overhead related to executive pay.
Given the nature of a family foundation (NTEE T22), which typically focuses on grantmaking, the spending efficiency is primarily measured by the grants distributed. Without detailed program service expense breakdowns, it's challenging to precisely determine the program spending ratio. However, the absence of officer compensation suggests a lean operational structure. The foundation's liabilities have consistently been very low ($1 or $0), indicating strong financial management and minimal debt burden.
In terms of transparency, the consistent filing of IRS Form 990s over seven periods provides a good historical record. The lack of officer compensation is a positive transparency signal. However, a more detailed breakdown of expenses beyond the summary provided would enhance understanding of how funds are allocated between grants, administrative costs, and any fundraising efforts, though fundraising is likely minimal for a family foundation.