Quick charity verification for Penacook Historical Society (EIN: 20486666)
Verdict: Penacook Historical Society appears trustworthy
85/100Mission Score
$30KRevenue
$2.0MAssets
2Red Flags
4Strengths
Red Flags
Consistent operational deficits (e.g., $15,549 revenue vs. $26,272 expenses in 2023)
Reliance on asset drawdowns to cover annual expenses
Strengths
Substantial asset base ($1,994,767) providing long-term stability
Minimal liabilities ($924 in 2023)
0% officer compensation, indicating volunteer leadership and high efficiency
Consistent IRS 990 filing history demonstrating transparency
Spending Breakdown
How Penacook Historical Society allocates its funds across programs, administration, and fundraising.
80%
Program Spending
Healthy — majority goes to mission
15%
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 Penacook Historical Society
Is Penacook Historical Society a legitimate charity?
Based on AI analysis of IRS 990 filings, Penacook Historical Society (EIN: 20486666) appears trustworthy. Mission Score: 85/100. 2 red flags identified, 4 strengths noted.
Is Penacook Historical Society a good charity to donate to?
Penacook Historical Society has a Mission Score of 85/100. Revenue: $30K. Assets: $2.0M. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for Penacook Historical Society?
The Employer Identification Number (EIN) for Penacook Historical Society is 20486666. 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 Penacook Historical Society spend its money?
Penacook Historical Society allocates 80% to programs, 15% to administration, and 5% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify Penacook Historical Society's tax-exempt status?
You can verify Penacook Historical Society's tax-exempt status using EIN 20486666 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 Penacook Historical Society demonstrates consistent financial transparency through its regular IRS 990 filings, with 13 filings available. The organization maintains a substantial asset base, recently reported at $1,994,767, which significantly outweighs its minimal liabilities (e.g., $924 in 2023). This strong asset position suggests long-term stability, likely due to endowments or investment holdings, which is typical for historical societies. However, the organization consistently operates at a deficit, with expenses frequently exceeding revenue, such as in 2023 where expenses were $26,272 against revenues of $15,549. This trend indicates reliance on its existing asset base or prior large contributions, rather than operational revenue covering annual costs.
Spending efficiency is difficult to fully assess without a detailed breakdown of expenses within the provided data. However, the consistent reporting of 0% officer compensation across all filings suggests that the organization is run by volunteers, which is a significant indicator of efficiency and dedication to its mission. The relatively low annual expenses, ranging from $7,906 to $38,350 over the years, also point to a lean operational structure. The large revenue spike in 2014 ($676,964) followed by significantly lower revenues in subsequent years suggests a major one-time contribution or asset sale, which likely contributed to its substantial asset base.
Overall, the Penacook Historical Society appears financially stable due to its significant assets and low liabilities. While it consistently runs an operational deficit, its volunteer-led structure and transparent reporting of no officer compensation are strong positive indicators. The primary area for further analysis would be the specific allocation of its modest annual expenses to understand its program spending efficiency more deeply.