Is Insight House Chemical Dependency Services Incorporated Legit?
Quick charity verification for Insight House Chemical Dependency Services Incorporated (EIN: 161509241)
Verdict: Insight House Chemical Dependency Services Incorporated appears trustworthy
80/100Mission Score
$3.2MRevenue
$2.0MAssets
2Red Flags
3Strengths
Red Flags
Consistent operating deficits: Expenses have frequently exceeded revenue, notably in 2019 ($3,587,581 expenses vs. $3,207,663 revenue).
Declining revenue trend: Revenue has decreased from $3,970,120 in 2011 to $3,207,663 in 2019, indicating potential challenges in funding or service demand.
Strengths
Exceptional transparency in executive compensation: Consistently reports 0% officer compensation across all filings, indicating resources are directed to programs.
Strong asset-to-liability ratio: In 2019, assets ($2,023,921) significantly outweighed liabilities ($389,853), indicating good solvency.
Clear mission focus: NTEE code P20Z aligns with its name, indicating a dedicated focus on chemical dependency services.
Spending Breakdown
How Insight House Chemical Dependency Services Incorporated 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 Insight House Chemical Dependency Services Incorporated
Is Insight House Chemical Dependency Services Incorporated a legitimate charity?
Based on AI analysis of IRS 990 filings, Insight House Chemical Dependency Services Incorporated (EIN: 161509241) appears trustworthy. Mission Score: 80/100. 2 red flags identified, 3 strengths noted.
Is Insight House Chemical Dependency Services Incorporated a good charity to donate to?
Insight House Chemical Dependency Services Incorporated has a Mission Score of 80/100. Revenue: $3.2M. Assets: $2.0M. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for Insight House Chemical Dependency Services Incorporated?
The Employer Identification Number (EIN) for Insight House Chemical Dependency Services Incorporated is 161509241. 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 Insight House Chemical Dependency Services Incorporated spend its money?
Insight House Chemical Dependency Services Incorporated allocates 85% to programs, 10% to administration, and 5% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify Insight House Chemical Dependency Services Incorporated's tax-exempt status?
You can verify Insight House Chemical Dependency Services Incorporated's tax-exempt status using EIN 161509241 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
Insight House Chemical Dependency Services Incorporated demonstrates a consistent commitment to its mission, as evidenced by its NTEE code P20Z, indicating a focus on substance abuse prevention and treatment. However, the organization has experienced a trend of declining revenue and increasing expenses over the past several years, leading to net losses in most recent periods. For instance, in 2019, expenses of $3,587,581 exceeded revenue of $3,207,663, resulting in a deficit. This trend suggests potential operational challenges or a need to re-evaluate financial strategies to ensure long-term sustainability.
Despite these financial pressures, the organization maintains a healthy asset base relative to its liabilities. In 2019, assets stood at $2,023,921 against liabilities of $389,853, indicating a strong financial position in terms of solvency. The consistent reporting of 0% officer compensation across all available filings is a significant positive indicator of financial transparency and a focus on directing resources towards programmatic activities rather than executive pay. This practice enhances public trust and suggests a lean administrative structure.
Overall, while Insight House shows strong transparency and a clear mission focus, the recent financial performance, marked by declining revenue and operating deficits, warrants close monitoring. The organization's ability to reverse these trends will be crucial for its continued impact. Its strong asset-to-liability ratio provides a buffer, but sustained operational losses could erode this over time.