Is Prashanthi Charitable Services A Njnonprofit Corporation Legit?
Quick charity verification for Prashanthi Charitable Services A Njnonprofit Corporation (EIN: 208559760)
Verdict: Prashanthi Charitable Services A Njnonprofit Corporation appears trustworthy
85/100Mission Score
$193KRevenue
$301KAssets
2Red Flags
4Strengths
Red Flags
Very low expenses relative to revenue, potentially indicating significant fund accumulation rather than active program disbursement, which needs further clarification on program impact.
Lack of detailed program spending breakdown in the provided summary makes it difficult to assess the direct impact of funds.
Strengths
Strong and consistent asset growth, indicating robust financial health (e.g., assets grew from $360,379 in 202012 to $927,516 in 202312).
Extremely low expense ratio relative to revenue in recent years, suggesting high operational efficiency (e.g., 13.6% in 202312).
Zero reported officer compensation across all filings, demonstrating a commitment to minimizing administrative costs and maximizing resources for the mission.
Low liabilities relative to assets, indicating strong financial stability (e.g., $52,862 liabilities vs. $927,516 assets in 202312).
Spending Breakdown
How Prashanthi Charitable Services A Njnonprofit Corporation 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 Prashanthi Charitable Services A Njnonprofit Corporation
Is Prashanthi Charitable Services A Njnonprofit Corporation a legitimate charity?
Based on AI analysis of IRS 990 filings, Prashanthi Charitable Services A Njnonprofit Corporation (EIN: 208559760) appears trustworthy. Mission Score: 85/100. 2 red flags identified, 4 strengths noted.
Is Prashanthi Charitable Services A Njnonprofit Corporation a good charity to donate to?
Prashanthi Charitable Services A Njnonprofit Corporation has a Mission Score of 85/100. Revenue: $193K. Assets: $301K. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for Prashanthi Charitable Services A Njnonprofit Corporation?
The Employer Identification Number (EIN) for Prashanthi Charitable Services A Njnonprofit Corporation is 208559760. 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 Prashanthi Charitable Services A Njnonprofit Corporation spend its money?
Prashanthi Charitable Services A Njnonprofit Corporation allocates 80% to programs, 15% to administration, and 5% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify Prashanthi Charitable Services A Njnonprofit Corporation's tax-exempt status?
You can verify Prashanthi Charitable Services A Njnonprofit Corporation's tax-exempt status using EIN 208559760 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
Prashanthi Charitable Services A Njnonprofit Corporation demonstrates a strong financial position with consistently growing assets and a healthy reserve. In the latest filing (202312), the organization reported assets of $927,516 against liabilities of $52,862, indicating robust financial stability. The organization's revenue has shown fluctuations over the years, with a notable peak of $817,857 in 201612, and a recent high of $264,271 in 202312. A significant strength is the extremely low expense ratio relative to revenue in most recent years, for example, $35,971 in expenses against $264,271 in revenue in 202312, suggesting highly efficient operations or a focus on asset accumulation. However, the very low expenses relative to revenue could also indicate that a substantial portion of funds are being held rather than actively disbursed for programs, which warrants further investigation into their program activities and impact.
The organization's spending efficiency appears exceptionally high, with expenses consistently being a small fraction of revenue in recent years. For instance, in 202312, expenses were only about 13.6% of revenue. This trend is consistent across 202212 (18.5% expense ratio) and 202112 (13.8% expense ratio). This efficiency, coupled with zero reported officer compensation across all available filings, points to a volunteer-driven or very lean operational model. While this is positive for donor confidence in terms of administrative overhead, the specific breakdown of these minimal expenses (programs vs. admin vs. fundraising) is not detailed in the provided summary, making a precise assessment of program spending efficiency challenging without the full 990 form. The absence of officer compensation also contributes positively to transparency and donor trust.
Overall, Prashanthi Charitable Services appears financially sound and operates with remarkable cost efficiency, particularly given the zero officer compensation. The consistent growth in assets and low liabilities are strong indicators of good financial management. However, the very low expense figures relative to revenue, while efficient, raise questions about the scale and nature of their programmatic activities and whether the majority of funds are being held as reserves rather than actively deployed for charitable purposes. A deeper dive into their program expenditures would provide a more complete picture of their impact and how effectively they are fulfilling their mission.