Quick charity verification for House Of Mercy (EIN: 202465585)
Verdict: House Of Mercy appears trustworthy
92/100Mission Score
$3.2MRevenue
$1.2MAssets
1Red Flags
5Strengths
Red Flags
Unusually low reported officer compensation (0%) for an organization of this size, which may obscure actual management compensation if it's categorized elsewhere.
Strengths
Consistent revenue growth, from $1,608,557 in 2019 to $2,559,938 in 2023.
Significant asset accumulation, more than doubling from $485,820 in 2019 to $1,008,244 in 2023.
Low liabilities relative to assets, indicating a strong balance sheet.
Positive net income in recent years, demonstrating financial sustainability (e.g., $198,173 in 2023).
No reported officer compensation, suggesting a high dedication of resources to mission or volunteer leadership.
Spending Breakdown
How House Of Mercy allocates its funds across programs, administration, and fundraising.
90%
Program Spending
Healthy — majority goes to mission
8%
Admin Costs
Reasonable — admin costs in check
2%
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 House Of Mercy
Is House Of Mercy a legitimate charity?
Based on AI analysis of IRS 990 filings, House Of Mercy (EIN: 202465585) appears trustworthy. Mission Score: 92/100. 1 red flag identified, 5 strengths noted.
Is House Of Mercy a good charity to donate to?
House Of Mercy has a Mission Score of 92/100. Revenue: $3.2M. Assets: $1.2M. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for House Of Mercy?
The Employer Identification Number (EIN) for House Of Mercy is 202465585. 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 House Of Mercy spend its money?
House Of Mercy allocates 90% to programs, 8% to administration, and 2% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify House Of Mercy's tax-exempt status?
You can verify House Of Mercy's tax-exempt status using EIN 202465585 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
House Of Mercy demonstrates consistent financial growth, with revenue increasing from $1,608,557 in 2019 to $2,559,938 in 2023, and assets growing significantly from $485,820 to $1,008,244 over the same period. The organization consistently operates with expenses closely aligned to or slightly below revenue, indicating sound financial management and a focus on sustainability. Their liabilities remain very low relative to assets, suggesting a healthy balance sheet.
The organization's spending efficiency appears strong, as evidenced by the consistent growth in assets and the positive net income in recent years (e.g., $198,173 in 2023). A key aspect of their transparency and efficiency is the reported 0% officer compensation across all five filings, which suggests that leadership is either volunteer-based or compensated through non-officer roles, potentially allowing more funds to be directed towards programs. This practice, while commendable for efficiency, could warrant further inquiry to understand the full compensation structure if any key management personnel are compensated in other capacities.
Overall, House Of Mercy exhibits a positive financial trajectory, strong asset growth, and a commitment to minimizing administrative overhead as indicated by the lack of reported officer compensation. Their consistent growth in revenue and assets, coupled with controlled expenses, points to a well-managed and financially healthy nonprofit.