Quick charity verification for Karla Smith Foundation (EIN: 202699020)
Verdict: Karla Smith Foundation appears trustworthy
85/100Mission Score
$545KRevenue
$450KAssets
1Red Flags
4Strengths
Red Flags
Expenses exceeded revenue in the latest filing (202312) by $37,294, indicating a short-term operating deficit.
Strengths
Zero officer compensation across all filings, indicating strong volunteer leadership and efficient use of funds.
Consistent growth in assets from $147,169 in 2011 to $523,042 in 2023, demonstrating increasing financial capacity.
Long operational history with 10 IRS 990 filings, suggesting stability and established presence.
Generally low liabilities across most periods, indicating responsible financial management.
Spending Breakdown
How Karla Smith Foundation allocates its funds across programs, administration, and fundraising.
90%
Program Spending
Healthy — majority goes to mission
5%
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 Karla Smith Foundation
Is Karla Smith Foundation a legitimate charity?
Based on AI analysis of IRS 990 filings, Karla Smith Foundation (EIN: 202699020) appears trustworthy. Mission Score: 85/100. 1 red flag identified, 4 strengths noted.
Is Karla Smith Foundation a good charity to donate to?
Karla Smith Foundation has a Mission Score of 85/100. Revenue: $545K. Assets: $450K. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for Karla Smith Foundation?
The Employer Identification Number (EIN) for Karla Smith Foundation is 202699020. 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 Karla Smith Foundation spend its money?
Karla Smith Foundation allocates 90% to programs, 5% to administration, and 5% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify Karla Smith Foundation's tax-exempt status?
You can verify Karla Smith Foundation's tax-exempt status using EIN 202699020 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 Karla Smith Foundation demonstrates a consistent operational history with 10 filings, indicating a stable presence. While the latest filing (202312) shows expenses ($558,179) exceeding revenue ($520,885), leading to a deficit, the organization has generally managed its finances well over time, with several periods showing revenue exceeding expenses (e.g., 201912, 201712). Its asset base has grown significantly from $147,169 in 2011 to $523,042 in 2023, suggesting financial growth and capacity. The absence of officer compensation across all reported periods is a strong indicator of volunteer leadership and efficient use of funds, contributing positively to its transparency and public trust.
The foundation's financial health appears generally sound, despite the recent deficit, given its growing assets and historical revenue generation. The lack of officer compensation is a significant strength, implying that a very high percentage of funds are directed towards its mission. However, without a detailed breakdown of expenses (program, administrative, fundraising) from the provided data, a precise assessment of spending efficiency is challenging. The low liabilities across most periods also suggest responsible financial management.
Overall, the Karla Smith Foundation appears to be a well-managed organization with a strong commitment to its mission, as evidenced by its volunteer leadership and asset growth. The recent deficit warrants monitoring, but it doesn't overshadow the overall positive financial trajectory and transparent compensation practices.