Is Henderson Ky Education Foundation Inc…

Quick charity verification for Henderson Ky Education Foundation Inc (EIN: 203030575)

Red Flags

Highly volatile revenue streams, including multiple years of negative revenue.
Significant decline in assets from $53,042 to $6,249 in the most recent filing period (202303).
Expenses ($124,041) significantly exceeded revenue ($77,248) in the latest reported period (202303), leading to a net loss.
Inconsistent financial performance over the past decade, making long-term planning and sustainability uncertain.

Spending Breakdown

How Henderson Ky Education Foundation Inc allocates its funds across programs, administration, and fundraising.

70%

Program Spending

Below average — room for improvement

20%

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 Henderson Ky Education Foundation Inc

Is Henderson Ky Education Foundation Inc a legitimate charity?

Based on AI analysis of IRS 990 filings, Henderson Ky Education Foundation Inc (EIN: 203030575) shows mixed signals. Mission Score: 60/100. 4 red flags identified, 3 strengths noted.

Is Henderson Ky Education Foundation Inc a good charity to donate to?

Henderson Ky Education Foundation Inc has a Mission Score of 60/100. Revenue: $63K. Assets: $53K. Review the full transparency report for detailed spending breakdown and executive compensation analysis.

What is the EIN for Henderson Ky Education Foundation Inc?

The Employer Identification Number (EIN) for Henderson Ky Education Foundation Inc is 203030575. 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 Henderson Ky Education Foundation Inc spend its money?

Henderson Ky Education Foundation Inc allocates 70% to programs, 20% to administration, and 10% to fundraising. Healthy nonprofits typically spend 75%+ on programs.

How can I verify Henderson Ky Education Foundation Inc's tax-exempt status?

You can verify Henderson Ky Education Foundation Inc's tax-exempt status using EIN 203030575 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 Henderson Ky Education Foundation Inc. exhibits inconsistent financial performance over the past decade. While the latest reported revenue is $62,504, the organization experienced significant negative revenue in several prior years (e.g., -$10,693 in 201803, -$5,162 in 201703). This volatility raises questions about the sustainability of its funding model. The organization's assets have also fluctuated, with a notable drop from $53,042 in 202203 to $6,249 in 202303, while liabilities increased from $15,247 to $15,247 in the same period, indicating a weakening financial position. The consistent reporting of 0% officer compensation is a positive sign for transparency regarding executive pay.

Spending efficiency is difficult to fully assess without a detailed breakdown of program, administrative, and fundraising expenses, which are not provided in the summary data. However, the 202303 filing shows expenses of $124,041 against revenue of $77,248, indicating the organization spent significantly more than it brought in during that period, leading to a substantial decrease in net assets. This trend of expenses often exceeding revenue in recent years (e.g., 202103, 202003) suggests potential operational inefficiencies or reliance on prior year reserves.

Overall, the foundation demonstrates a commitment to transparency by consistently filing its IRS 990s and reporting no officer compensation. However, its financial health appears precarious due to highly volatile revenue streams and a recent trend of expenses outstripping income, leading to a significant depletion of assets. Donors should seek more detailed financial statements to understand the allocation of expenses and the long-term financial strategy.

Is Henderson Ky Education Foundation Inc Legit?

Verdict: Henderson Ky Education Foundation Inc shows mixed signals